The value of ERP (Enterprise Resource Planning) systems

The value of ERP (Enterprise Resource Planning) systems

The value of ERP Systems is evident, but companies frequently fail to reap the potential and functionality that come with ERP solutions. In addition, certain reports indicate that their ERP system isn’t working according to the plan. What’s the reason? The causes are numerous and might include a lack of goals and definitions inadequate training for personnel or insufficient ERP tests of systems, or insufficient budget or resource planning. The solution is easy: businesses must to make use of their ERP system in a proper manner. It’s obvious, however it’s surprising how many companies choose to adopt an ERP solution only to continue to utilize older tools and processes in order to operate within their new ERP system. In this light, we’ll go over the steps to assist your company to get the most value from its ERP technology investment.

Conduct an ERP Health Assessment:

Sometimes, the best method of running a procedure isn’t clear until the ERP software is implemented and established. Once you have established that your EPR tool has become operating for some time, you should conduct an evaluation of health in order to examine the processes in place and determine whether your business is reaping the advantages of the ERP tool. In most cases, ERP systems that are not functioning as expected can be the consequence of user or process– not the software -It is crucial to recognize the difference between the expectations of your team regarding your ERP tool and what actually happens.

Spend the time to speak with ERP end-users across all different business lines to find out what are the most difficult areas and what enhancements they’d like to be able to. Here are some examples of ways companies may not be using ERP tools correctly, as well as areas to look into in conversations with ERP users:

Connect with Your ERP Vendor: Continuous contact between you and the ERP vendor is vital in order to be informed of the most recent features and benefit from their experience! If employees aren’t adequately trained, they may fail to fully utilize the ERP tools, and may get frustrated and resort to manual methods of working around your ERP system. Review the new ERP Software If your staff has tried every one of the options listed above, but you aren’t satisfied with your current ERP system, it could be time to consider a fresh ERP software.

People continue to manual input the data in Excel spreadsheets, instead of connecting the ERP data output directly to Excel
People continue to use old printed reports, instead of custom-built data and dashboards online. reporting tools.
Users continue to utilize personal tools or other non-integrated ones for tasks the ERP system can (and is) managing.
Document Key Issues: After you have completed the health assessment along with the ERP users, record the most important issues you want to solve. Once you’ve compiled an inventory, you can prioritize your concerns based on their significance to your business and how simple they will be to address.

Review the new ERP Software If your team has considered all of the above options, but remain unsatisfied with the current ERP system, it could be time to consider a fresh ERP software. We’re reluctant to change however don’t stay with the current ERP solution because you are afraid that it will change. A better option could be available! Before making the switch, you’ll have to think about the cost, Value of ERP in personnel requirements, the risks and other ramifications of changing to a different ERP system to determine if a change in ERP system is the right choice for you.

get erp with invoice

Connect with your ERP Vendor: Maintaining a constant contact to you ERP vendor is essential in order to be aware about the latest features and benefit from their experience! Review your top issues list with your vendor and go through the current ERP procedures.

The importance that comes from Enterprise Resource Planning (ERP) tools is evident, but companies frequently fail to reap the potential and capabilities from their ERP solutions. And certain instances suggest that their ERP system isn’t functioning in the way they would like. Most of the time, ERP systems that are not functioning as expected are due to the process or users, not the software. Therefore it is crucial to recognize any discord between your staff’s expectations for the ERP software and what actually happens.
Be sure to use data efficiently During your review you could find that the program is able to provide what you need , but the business isn’t utilising the data to its full potential. If necessary, modify the dashboards and fields to ensure that your team is using only the “right” data. Convert reports that are not integrated and hardcopy into a dashboard-style format or specifically designed reports to reduce time and ensure that users are able to access real-time information. Take the time to comprehend the cost of each process and, when appropriate. Develop cost models that are robust that enable users to quickly assess the effect of different situations. Make sure your employees are using the ERP system’s mobile features to view and manage data while employees are off their computers.

Train the employees properly The resistance of employees to change is the most common reason to “flawed” ERP systems, and training is a method to ensure that employees are comfortable with the new procedure and system. If employees are not properly trained, they may fail to fully utilize the value of ERP tools, and may get frustrated and return to manual methods of working around using the ERP system.

Contact our specialist today at 800.650.3860 to find the solution to your ERP system needs, or request a demo.

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