How to select the right ERP system for your business?

With so many ERP options available today, selecting the right ERP system for your business can be a difficult task. If you think any software would work for your organization and you simply choose any software without complete information, It would do more harm than good. The decision should be taken carefully.

So How to choose the ERP solution that’s going to solve your organization’s problem and help it to grow.

Here are some steps to help you choose the right software for your organization:

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This meeting is the first step in the whole process. Here needs of the new ERP project will be discussed and everyone’s approval will be taken.

This meeting will ensure that everyone knows what they’re getting into.

Before going ahead you must have a clear idea that a relevant amount of time will be spent in the selection process of the ERP system.

2. GATHER REQUIREMENTS

Gathering requirements is one of the most important steps in the selection process. Sometimes, Companies select an ERP system based on the current popularity of the system and later on face difficulties of high expense because it does not suit their organization’s goals, therefore causing more loss than profit.

Gathering information starts with your organization’s goals and scope.

Make an ERP selection team that includes your developer as well as your management team and discuss all the requirements.

Consider the following points:

• 1. What is the requirement of your project?
• 2. How is work currently performed? 
• 3. What is missing and what isn’t working?
• 4. What are your future plans?
• 5. How the ERP system will help you to achieve your goals.
• 6. List your requirements and prioritize them.
• 7. In the end, Find an ERP system with tools and features that will help in solving your business problems.

3. YOUR BUDGET PLAN

How much money do you want to invest in an ERP system?

And remember Most ERP systems will be used for a decade or longer, so for ongoing maintenance of the ERP system, a strong budget plan will need to be implemented. Your choice today will impact your future budgets. Choose an ERP system that fits your budget plans.

4. MAKE A SHORTLIST OF ERP SYSTEMS

Make a shortlist of ERP systems according to your requirements and budget plan. It is important to filter your longlist of ERP systems so that you don’t have to spend much time in the process. Depending on your shortlist of ERP systems, you can begin to search for vendors.

5. VENDOR RESEARCH

After having a shortlist of ERP systems and a clear idea of what your new ERP system should achieve, the next step is to find which vendor has the ERP solution that is best suited to your requirements?

Your initial research may create a list of 10 to 12 vendors but the next step is to shortlist vendors to meet with personally.

The following points can be considered for the shortlisting of vendors.

Customization according to your needs

Make sure the vendor’s product works with your company’s systems.

Check whether the vendor has relevant experience. Make sure that the vendor completely understands your business problems and is ready to provide customized ERP according to your need.

Ask for references

Every ERP vendor should give you the names of a few clients you can talk to know about the implementation process and client satisfaction. Ask the clients about their experience of using the provided system. How has the system helped them to achieve their goals?

Future proof

Ask vendors about their vision for the future of their ERP system and your industry. Look for vendors who can help you understand the most important trends and help you to adapt to them. 

6. SCHEDULE DEMOS

Demos help you to have your first look at the ERP systems.

Vendor demos are designed to provide your team with an overview of the functionality and give your team the opportunity to ask questions.

Send requests for proposals (RFPs) and demo scripts to each of your shortlist vendors which include a complete list of your requirements.

Sending RFP and demo scripts will help vendors to customize their demo according to your needs. And also you can get an idea of how much effort they are going to put into meeting your requirements by seeing the amount of effort they have put into customizing your demo.

After having demos you can narrow the list of ERP vendors to just a few with whom you want to proceed further.

7. WORKSHOP

After giving an overview of ERP on the demo, vendors will organize a workshop to present each and every functionality in detail. The workshop will give you an idea of how their ERP will help in solving your business problem. For making the most out of this workshop following points should be considered:

1. You should be clear with your requirements.
2. Every employee from all major departments and divisions should participate in this workshop.
3. Be sure to ask questions and clear your doubts.
4. Take your time to understand the whole process and how the vendor’s ERP works with your existing system.

8. FUTURE SCALABILITY

We live in a fast-paced world, so slowdowns in your work can be disappointing. It is very important that your ERP system is compatible with new technologies. An ERP system that can be customized according to future needs can give you more advantages.

When you are investing in an ERP system, you want to make a profit for the present as well as for the future.

Therefore choosing a flexible ERP which can easily adapt to new technologies is important.

9. DECISION

After going through each step mentioned above, it is finally time to make a decision. The more effort you’ve put into the selection of the system the lower the risk becomes that you will make a poor decision.

It is much more than just a technical process, it requires commitment from all involved employees. So make a good decision by keeping clear ideas of your goal in your mind. 

CONCLUSION

After reading all these steps you may be thinking about why you need to invest so much time in the selection process? All these steps will help you to find the best ERP suitable for your organization that will help you to achieve maximum benefit.

At Korecent we have been helping businesses to achieve their ambitions and fuel their targets with the right technology combinations and stacks. Should you need any assistance with the business application of technology to improve your customer satisfaction, feel free to contact us.

Our experts will be happy to assist you in adopting cutting-edge technology that can help you stay ahead of the competition.