Tips for improving an ERP solution
For many businesses, the idea of upgrading a particular system can be nerve racking. This feeling in compounded when the system in question is something like an enterprise resource planning (ERP) software suite that has become a core tool for how an organization operates. In many cases, this can lead to a "if it ain't broke, don't fix it" mentality.
This is backed by a level of fear that is born out of fact. Traditionally, upgrading an ERP system was only something done when vendors were going to discontinue support, older skill sets for these systems were no longer needed or the system had clearly become outdated and presented hard-to-solve problems in order to keep running.
However, times have changed. New versions of popular systems like Microsoft Dynamics NAV are now releasing a new system update every year instead of the previous four-year release cycle that it had been following.
Regardless, investing in an ERP solution is not something to be taken lightly. This is not like upgrading an iPhone from iOS 5 to iOS 6. We are talking about a key solution that is used as part of core operations and could require new skills in order to be used successfully. This makes the expectations for a tangible return on investment higher than normal.
A recent article from MSDynamicsWorld featured a lengthy interview with Elliot Fishman, the CEO of a Microsoft Dynamics NAV and CRM service provider. He spoke about the changing ERP landscape and what organizations need to know in order to get the most out of any solution.
He mentioned that many company decision makers are starting to look into more things when it comes to selecting the right solution. This includes things like compliance and risk management.
"The most common situation is that companies grow and their needs change, sometimes very quickly, and the current implementation may not be supporting today's business needs very well," the article reads. "ERP systems don't automatically adapt to companies' changing needs, and at a certain point stakeholder intuitively know that investing in the old system makes little sense."
When it comes time to actually make an upgrade, there are multiple avenues that businesses can go down. Companies need to start with a detailed analysis of the current implementation to determine how many custom objects exist. This helps create context so organizations can more easily discuss what features of a new solution will have the greatest impact on their company. When you know what your challenge areas are, it becomes much easier to look through possible solutions and toss aside the ones that don't help you overcome them.
If you are partnering with a quality consulting firm, these pre-deployment steps are not only crucial for picking a new system, but can also be used to audit the existing software package to identify an additional areas that need to be addressed down the line.
There is a lot that can go into any ERP upgrade and this is just the tip of the iceberg. By partnering with a business software solution provider that specializes in manufacturing ERP software, any company can gain confidence when it comes to upgrading these complicated systems.