In order to decide on which ERP is best for your company model, it is often better to understand what an ERP is and what this resource tool has to offer.

Enterprise Resource Planning (ERP) is a sophisticated software package that is design to allow a business to integrate the many aspects of processes within a company. The main aim of an ERP is to improve communication across different departments or divisions within a company with the overall outcome of increased cost effectiveness and improve overall efficiency and productivity.

By using an ERP, data is imputed into the company’s system in real time which means that information is always current and can be easily and quickly accessed. One of the most influential benefits of this software is when it is used for financial control because the accounts department will have a constant and up to date overview of the company finances and when needed, decision makers have access to information immediately. The software greatly benefits stock control and the procurement processes within a business.

Now that you understand what this software is capable of you will need to factor in two keys tasks in your decision making. Firstly, this decision should not be taken lightly and secondly, do not make the decision without having done proper research about the software you are interested in.

There are a number of ERP software packages that are available today but you need to choose one that one that suits your specific needs and your long term objective. It is essential to determine the advantages the software has to offer and determine whether or not the implementation will save or make you money.

Analysis

In order to determine which system will work for your business, you need to first define and document your current business processes, strengths and weaknesses and look at what you future processes and requirements should be. Once you have done this you can narrow down the list of possible systems that are specifically aligned to your needs and industry.

Technology

It is important to understand the potential software solution you will be using to align with your needs but it is even more important to understand who the software solution will integrate with your current structure. While choosing an ERP is a business initiative you need to consider the impact on your technology and current data communications as well.

Plan

It is vital to develop a comprehensive plan that will include all of the activities required to install this software to ensure that it is fully functions, tested and that the staff who will use the software are trained. Your plan should include everything from start to finish of the business process, workflow, data integration and how the system will be implemented and monitored. Research has shown that us high at 72% of ERP are not implemented correctly mainly due to the little to no planning.

Costs

If you are looking at implementing an ERP into your business, the chances are you are looking for ways to reduce costs and increase revenue and productivity. Make sure that you are aware of all of the costs involved in making this change including the cost for implementation, downtime, training, hardware or software upgrades and backing up data.

Seek Advice

If you don’t have experience with ERP, don’t assume you have all of the answers to making this decision. It is always a good idea to seek out advice and expertise’s from the specialists in these services or have implemented software before. Talk to colleagues who may have used a ERP or have experience with them in the past.

Finally, the important thing to remember when choosing ERP for your business, is to choose what is best for your business requirements and current systems that will boost your company’s competitor advantage.