Picking an ERP package is a difficult and time-consuming process, it needs a lot of analysis and research for the right ERP software selection. Here we discuss the must ask questions during an ERP software selection.
Many companies continue to use various software to manage various departments, functions and business operations. But if the systems cannot be scalable and are legacy, it can hinder growth. It is time to implement an ERP system if your company is ready to increase productivity while cutting costs.
It is no small task to implement the ERP system; it takes a huge amount of time and resources and if you are not fully knowledgeable, the cost will be much higher.
Here are some questions during your selection of ERP software.
Is the solution scalable and flexible?
Throughout the years, businesses must change to reflect the needs of changing markets. A business that never changes can quickly become an industry dinosaur. It is essential to not only determine your current needs but also to forecast future requirements. Your ERP system should have the ability to scale along with your business.
Does the solution fit your industry?
You want an ERP system that is proven to work well in your industry. Ask for customer testimonials and references. If your company manufactures baking equipment, see if your vendor has another baking equipment customer. You’re not looking for other bakeries.
Some vendors are better suited to one industry over another. This is an important question because it helps you see whether the solution provides relevant services that will improve current processes. You want to know if your vendor develops best practices for other clients in your industry.
How much training is involved?
Even if an ERP system saves your company money, you still need to get buy-in from your employees since they will be using the solution daily. You want to know about the training details. Ask your ERP vendor if they provide training and how they provide future support. This can be customer support via email, on the phone or in-person.
Can you test out the software?
Many companies want to “try before they buy,” and for a good reason. It takes time to choose the right ERP solution. And, many businesses are operating on limited resources.
You want to see first-hand whether the solution is user-friendly, easy to integrate and easy to implement. Test whether the functionality and capabilities align with your business needs. Ask for a personalized demo or test drive.
How much does it cost?
Cost is certainly significant. You don’t want to spend more money than is necessary. At the same time, you don’t want to purchase the least expensive option only to find out it is not the solution you need or want. Solutions can vary in price depending on functionality, modules, and the number of users.
Evaluate the actual cost. This includes the long-term savings you will reap with the right solution. Remember, you will have access to more centralized and real-time data than that you had before.
How will that affect decision making? How much do you save as your business becomes much more efficient? How much does it cost to send an employee to a warehouse or stockroom opposed to seeing inventory on-hand, digitally?
Final Thought:
The right ERP solution should help your business respond faster with more accurate data to customers. You should be able to identify items in stock and when it's time to replenish them at a glance. You're going to get traceability features much better. When you can improve all your business processes with a scalable and flexible solution, it is a win-win.
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