What should your company take into account when choosing an ERP?

It is very important to know how to choose the right ERP because amanagement software allows to solve in an integral way all the management of a company. The ERP arises from the need to implement fast and effective solutions in a world of digital transformation like the one we are witnessing. Administrative problems, documentation that must be classified or even the business organization itself had to be carried out manually being a very tedious job that made us waste a lot of time and time, is money.

A management software solves productive problems within a company but also, it is oriented to the client and to the fact of being able to facilitate the usability and the experience of purchase and to guide them in the process of purchase. So what we need is an ERP that offers an intelligent solution that combines the management of both internal and external processes and offers a solution and a great customer experience. This is where the ERP solution is born.

The process of evaluating and selecting an Enterprise Resource Planning (ERP) system for your small or medium business can be a very complex task. Its implementation must provide key competitive advantages for the organization, therefore it is a decision that should not be taken lightly.

Select the right ERP system for your business in few steps

select-choose-erpToday there is a lot of information and a lot of options in the market, so it is necessary to acquire the ERP system to take advantage of the competition and best suited to the needs of the organization. Many organizations lack the in-house expertise to implement an ERP. Considering employing or hiring a team of experienced consultants who can guide you through the selection process will save you both time and money.

1-. Create a work team

The first step in selecting an ERP system is to establish a selection committee. These will be the decision-makers representing the different departments of the organization.

To create an integral, proactive and efficient work team is necessary:

  • Choosing a team leader: While choosing Enterprise Resource Planning software must be a joint decision and the support of the organization’s executives is indispensable, a leader with business and industry knowledge will be able to take the initiative throughout the process and ensure the selection of the most suitable system.
  • All members of the work team must be committed to the entire ERP selection process and the time involved.

2-. Assess the company’s needs

A fundamental factor when selecting an ERP system is to start from the needs of the company and not from the characteristics of the software. Team members should define which organizational problems need to be solved. This can be done by drawing up a list of what the company wants to achieve.

It is also necessary to make a list of more far-reaching achievements, involving training of employees and simplification of processes, to increase profitability and the working environment.

3-. Prioritize achievements

By sorting the elements of the list of needs and achievements the work team can make more assertive decisions when selecting the software that best suits the company. Once ordered, all ERP system options should be evaluated to determine which of these is best suited to the organization.

4-. What is the budget?

When selecting an ERP, all companies seek to minimize costs; however, it is very important to make an investment that costs a little more but responds to the needs of the organization. If you decide to hire a team of consultants, they will help you select the most convenient tool according to the budget that the company manages for the implementation and expectations in the short, medium and term.

5-. Selecting and contacting suppliers

Consultants will help the team find a supplier that offers the right system for the organization. The most important thing is to always keep in mind the list of objectives, the approximate number of users and the budget.

It is advisable to contact the suppliers directly to clarify any doubts that may arise during the ERP search. Make sure that the consulting company with which you are evaluating the software gives you all the information and time to know both your company and your processes to be able to offer the best alternative according to your needs.

6-. Ask for references

Once you think you have selected your supplier, ask for references from other clients; this will allow you to check the characteristics, the relation quality/price and if the software is able to fulfill the expectations of your project.

The comments, whether positive or negative, will help you make up your mind or go deeper into the research. Aspects such as customer service, training, degree of commitment or costs are fundamental and can be of great help in finalizing the selection process.

7-. Prepare the template for change

Implementing an ERP system can be a drastic change for many companies, especially if their workers have not used one before. Transparency throughout the process is important, as well as keeping employees informed and giving them the opportunity to participate.

It is very likely that the first reaction of the staff is a resistance to change and fear for the uncertainty that this new tool and the practices it brings, so it is important that there is communication and a lot of information from the leaders to the team.

Criteria for selecting an ERP solution

These are the most important factors that you should take into account when choosing an ERP solution in the most appropriate way possible:

ERP functionality

Considering the size of our business, the sector in which we operate, we must also pay attention to the level of complexity of the ERP we are going to choose to ensure that it meets our business needs and is really what we are looking for. A good example of scalable and specially designed ERP for most sectors and different company sizes is Now Freeware, an ERP where you don’t pay for user and usage licenses. You only pay for services such as installation services, configuration services, specific work to develop or support among others.

Technical

Whether the user interface is simple and clear or the tools it offers are the ones we need like data exploration or business intelligence.

Economical

Choosing an expensive ERP solution is not always the right choice. It is important to adapt the functionalities with the budget that we have.

Organizational

From a business point of view, it is important to know the characteristics of management to know if it fits within the organizational policy of the company as this point will be one of the most important when choosing one ERP or another.

Ease of use

If the interface is simple to use and does not require a great deal of technical knowledge or excessive training, the results in terms of effectiveness and productivity of the workers will be very positive.

Suppliers

Choosing management software for ERP companies by a company that offers maintenance and the corresponding updates that the ERP program needs throughout its useful life, is another key factor to consider.
Implantation. Whether the software implementation is fast and without problems such as data loss or the paralysis of the productive system for days, it is also important to choose a management solution among other options.

In short, implementing the right ERP solution that meets our business expectations, internal organizational policy, is also appropriate to the size of our company, offers a single management solution among other advantages, will be part of the success or failure of a company.

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