For small businesses in the 21st century, running your business functions manually is a time-guzzling, expensive, and human resources-draining task. How do you achieve improved efficiency? You employ one of the many popular Enterprise Resource Planning (ERP) systems.
ERPs make managing tasks in a company easier by connecting departments. They reduce human effort and provide organized, up-to-date information that helps users make data-driven decisions.
Many companies want to implement ERP software but are concerned about the complexity of the project. Introducing software to automate time consuming tasks like financial reports and supply chain management, requires a big change for the entire staff. It also means redesigning those processes.
You might ask yourself: is ERP simple to implement? In this article, we’ll answer that question by breaking down the expectations and realities of successful implementation.
The Promises of ERP Simplicity
With choosing an ERP software, beware. The typical ERP vendor will make many claims about the simplicity and ease of implementation of their product. For example, “Our ERP can be rapidly deployed” or “Buying a cloud-based ERP means implementation is smooth and fast.”
These promises of simple implementation might sound great on the surface, but don’t let marketing campaigns fool you. “Simple” implementation isn’t always simple. Be sure to evaluate the ERP software carefully and thoroughly research the implementation process before proceeding.
As mentioned above, ERP software has many advantages for streamlining and enhancing business processes. ERP projects often provide more benefits in the long run despite their complex setup. Initially, these projects may present challenges. However, these challenges are outweighed by the long-term advantages they offer. Specifically, allowing everyone to work together on a single platform considerably boosts efficiency and minimize the possibility of human error.
The promises of the simplicity of ERP software implementation might sometimes be true. Consider the case of Cadbury, which reduced operating costs and boosted productivity thanks to implementing an ERP system.
The Reality Check: Challenges in ERP Implementation
The reality of ERP implementation is much more complex than the nice-sounding phrases of “rapid deployment.” For instance, when an ERP vendor advertises “implementation included” it is merely an advertising ploy. Why?
Because every business has complex and customized processes. A one-size-fits-all implementation plan doesn’t exist.
There are several other challenges in ERP implementation that you need to take into consideration. Ask yourself:
- How will the software handle data migration and integration with your current systems?
- How will you train and respond to employees who might be resistant to change?
- What will you do about budget overruns and time delays during implementation?
The most common mistake you’ll want to avoid during ERP implementation is thinking it will be easy. It’s not. ERP software implementation requires patience and effort, but the results are worth every minute.
Factors Affecting ERP Implementation Complexity
So, what exactly makes ERP easy to implement? Simply put, it’s the business. The size and structure of the company affect how easy implementation is, as does the industry it is in. Your choice of ERP system and vendor will play a role in how easy implementation is.
On the human side, the choice to hire external consultants or use staff as your ERP implementation team, is a key factor. An in-house team will have more familiarity with your current systems and processes, while an external team will not. But an external team might have more expertise with and understanding of the ERP software itself.
Last, the level of stakeholder involvement and communication can also affect the complexity of implementation. At a minimum, they will want to know of and be able to approve any changes in your business processes.
Strategies for Simplifying ERP Implementation
All this sounds complex and daunting, so here are some strategies for simplifying ERP software management and implementation.
Begin with comprehensive planning. Carefully consider all the possibilities and outcomes before jumping in.
Your plan should involve a strategy for selecting the right ERP solution for your business. Bear in mind the unique needs of your business processes. It should also set realistic goals and timelines for implementation and provide materials and training for engaging with employees. Finally, your plan needs to include collaboration with experienced ERP implementation partners.
By creating and adhering to this kind of detailed plan, you can simplify ERP implementation.
Expert Insights: Thoughts of ERP Consultants
Let’s talk a bit more about that last point–collaborating with ERP implementation partners. This is vital. ERP consultants can help you simplify implementation in several major ways:
- They know the ERP software inside.
- They have experience in this work.
- They can offer a plethora of expert advice.
They will also be able guide you if you are still considering ERP adoption and haven’t made the leap yet.
The Post-Implementation Phase: Maintaining Simplicity
No one wants added complexities and issues when it’s all said and done. To keep things running smoothly, you’ll want to ensure the software has ongoing support and system upgrades.
Measure the ROI and evaluate the success of the ERP implementation. Then, you can continuously optimize ERP usage for better efficiency and productivity, making it all worthwhile.
ERP Implementation – Final Thoughts
So, is ERP software simple to implement? The answer is: it can be if it’s done correctly, but there is no click-of-a-button solution. It all boils down to balancing your expectations with the realities of ERP implementation.
In the end, ERP software takes time and effort to implement and will cause a big change for the company. However, the long-term benefits of a successful ERP integration are enormous. They can lower costs thanks to automation. or provide you with more accurate inventory management, simpler financial management and reporting, and smoother project management. In short, like the Swiss Army knife of software solutions, ERP can do it all.
Are you ready to take the next step in your ERP implementation journey? Talk to an expert today!