Enterprise Resource Planning
6 Common ERP Challenges
Chat to any IT manager about ERP implementation, and you will most likely witness a dramatic eye-roll and the sigh of a broken man or woman. But does the topic of implementing a new ERP really have to be so complicated?
Certainly not! And especially not if you know what to avoid in the process. You see, because installing an ERP system will affect your entire business, it's only natural that a number of challenges arise. However, these difficulties shouldn't stop you from enjoying the benefits of ERP. In this guide, we have listed six common ERP challenges to help you choose and implement the right ERP solution for your organisation.
Let's dive in!
6 Common ERP Challenges
1. Working out which processes need to be integrated
The first challenge of ERP implementation is trying to work out which of your already existing processes and systems would benefit from an ERP integration. And which of these would end up impeding the workflow of your business? This is especially difficult for organisations with different competing divisions.
Without an ERP, companies waste valuable time pulling together fragmented data from different spreadsheets and sources. By integrating your current systems and work processes with an ERP, you can ensure that there will always be one source of all data within your organisation.
2. Inadequate flexibility
If an ERP system isn’t adequately flexible, your company may have to adapt its processes to suit the ERP for it to work. This may seem a little backwards, and the time and resources it would take to reorganise your business and retrain your understandably reluctant team would not seem worth it.
However, by choosing the right software for your specific requirements, you will ensure that your integration is seamless and thereby eliminate the lack of flexibility.
3. Resistance to change
Despite the clear benefits of ERP solutions, people just really don’t like change, and replacing such an integral system will inevitably lead to resistance and delays from your team. This is worse if your team don’t fully understand the importance of implementing your ERP.
Always take your time to properly train your staff before implementing your new software. Focus on why the new ERP will make their daily tasks easier, rather than more complicated.
4. Not properly vetting vendors
It happens all the time; an IT buyer is swayed by a silver-tongued marketing team, but it’s only once the system is implemented that you realise how restricted the functionality is, and how this will affect your existing best practices.
Never implement a new software without properly vetting the vendors. We recommend meeting at least 5 different providers before making a final decision. If you think this sounds too complicated or time-consuming, you can get in touch with one of our ERP experts here at Software Advisory Service and we'll do all the hard work for you - completely free of charge, of course.
5. Maintenance costs
All ERP systems need regular maintenance, which comes with associated maintenance costs. An ERP system might seem cheap to start with, but if you don’t factor in the maintenance costs attached to it before implementation, you can end up with overwhelmingly large sums to pay. This is yet another reason to properly vetting your vendors before making a decision.
6. Not understanding or using key features
Though businesses can invest millions into their ERP system, users frequently aren’t aware of what features they are using or that are available to them. This means that businesses frequently miss chances to automate their business processes, speed up functionality, and meet more targets.
Do you want to avoid making these costly mistakes? Our experts here at Software Advisory Service can provide you with expert buying advice and a shortlist of potential partners to help find the ERP solution that's right for you. Are you ready for a seamless integration? Just fill in the form below to get started.
Need to know more first? Why don't you check out our ERP 8 Steps to Success guide here.
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