It's a question many organization's encounter at one point or another: Does enterprise resources planning (ERP) development mean customization or replacement? For most manufacturing businesses the answer is customization. Brand new implementations can cost up to 14 percent more than for non-manufacturing companies, and manufacturing processes tend to be more complex, pushing executives to add custom options before upgrades where such options are standard become available.

Moreover people are creatures of habit, and abandoning a system employees are comfortable with can be a difficult prospect. Manufacturers, in general, choose not to implement new systems until they absolutely must. 

If your business chooses customization options over upgrades, there are a number of things to consider. Manufacturing companies tend to experience budget overrun when they do not plan well or evaluate enough proposals. Here are a couple of steps to take as you begin the customization process:

Evaluate ERP systems

If you have been using your current ERP for a long time it can be beneficial to step out and see what the modern market is offering. It is very possible that available functionality of newer systems, such as Microsoft Dynamics NAV, will make the modifications you have or are aiming to add unnecessary. It is also possible that tools available in newer ERP will allow the development of the customizations you need at a lower price and in less time. In such cases it might be beneficial to upgrade before customizing. 

Evaluate customizations

Approach the process with an open mind. Customization might sound easier than replacement, but if it is to succeed you may need to make process changes. Customizations evolve over time, and it's possible that a new option might be able to achieve the same results as your old system, while adding additional features. Don't balk at the idea of removing certain customizations from your current system entirely, to make room for a more functional solution.

It is also important to be aware of what is a standard report in your software, versus what is a customization. There are a few ways to handle this:

• In-house customizations can be identified by a member of your IT staff.
• If a third party conducted the work reach out and request a list of modifications.
• ERP consultants and certain software programs can detect changes made to a standard ERP.  

If there is no contact you can turn to you may need to do some digging on your own, or with the help of your IT staff, to determine which processes are customizations:

• Customizations are often stored in unique folders on your server's hard drive. Scour your menu system for folders with "custom" or "mods" in the name.
• If you have an unmodified version of the software you may be able to run a comparison of the standard version versus the modified version to learn where customizations were made.
• Microsoft Dynamics NAV offers specific tracking capabilities through the use of the Team Foundation Server's Source Control Explorer, which can be used to view a full history of customizations.

Finally, assess the purpose and functionality of your current customizations. If a certain modification has had little to no effect, or was rendered obsolete during a previous customizations. This is a good opportunity to remove counterproductive and expendable options. Removing these will also help clear the way for a better understanding of what you will need in your new system. A qualified NAV partner can then help you decide which customizations should be carried forward versus those that are no longer necessary due to advancements in the standard program.

ERP software is a lifeline for manufacturing businesses, simplifying complex processes and increasing efficiency. As with any large business decision, take the time to plan, map out routes for success and review potential results. Accent Software, a trusted Microsoft Business Solutions partner, can work with your company to provide effective business management software solutions. Microsoft Dynamics NAV offers rapid adaptability, simplified customization, and ease of use which allows businesses to easily add functionality and custom applications that enhance software to be relevant to each business's needs.