The selection of a new ERP system is probably the most critical IT decision your organisation will ever make. Enterprise Resource Planning (ERP) systems are designed to simplify and automate almost every aspect of a company’s operations. Through a single system, company data and processes are integrated and managed. Often, ERP is seen as a way to implement important components of an organisation’s strategic plan.
Market acceptance of ERP software solutions deployed in a Cloud SaaS model, particularly for the multi-tenant models that potentially offer significant savings in hardware, software and maintenance costs, has accelerated in recent years. However, most industry technology analysts and customers alike agree that five core factors and concerns still exist before more significant cloud adoption occurs:
The difficulty of modifying traditional ERP to support business change has been a major cause of so many project failures in the past. Traditional software evaluation has focused too much on the total cost of ownership (TCO), and implementation projects have concentrated on meeting the needs of the business at the time the project was agreed. Often the business changes even during the implementation project, causing disruption and budget overruns. Once the project team has left, further business change can render the initial ERP implementation outdated and almost useless.
For a long time the general opinion has been that some enterprise systems such as BI would just not fit into an App Store model. However, the importance of BI, despite its failure to deliver in the past, has led to an appetite for BI functions that are templated to solve real and industry-specific business issues and delivered in bite-sized chunks to employees across the enterprise. It’s the democratisation of intelligence. Real-time insights are becoming a possibility across all levels of the organisation, empowering workers to make decisions on the same information that has been available in the boardroom for a long time, but that was difficult to arrive at and report on in any meaningful way.