The lifeblood of many businesses, an ERP system can be seen as a fundamental tool in today’s competitive and digitalised marketplace, however they are not right for all types of business. In this latest blog post we will examine the pros and cons of ERP solutions to help you determine if your organisation would benefit.
ERP stands for Enterprise Resource Planning and encompasses multiple business functions in one solution such as finance, supply chain management, human resources and many more. You can often pick and choose the functionality you require to suit your business based on your size, industry, and requirements.
The manufacturing industry was responsible for the first ERP solution, but they have quickly gained popularity within all industries such as hospitality, construction, and wholesale.
In 2020 when the global pandemic began and the world descended into chaos, it was clear to see why so many businesses consider an ERP to be essential, because those with robust systems in place were able to adapt to the unprecedented challenges more easily than those without.
When you integrate all your business functions into one solution, collaboration becomes much more manageable, because employees can share key data easily to enhance decision making and make the running of projects more efficient.
Enable employees to access real-time information from anywhere to gain a complete picture of your business, to help identify challenges and implement strategies before it becomes too late.
There is no need to be held back by your software as your business grows as ERP systems are fully flexible and expandable, making it easy to add users or different functionality as your business grows and its needs change.
Many key business functions can be automated saving you time, reducing the risk of human error and helping to keep your business compliant.
Once your ERP solution is set up and fully working, the efficiency savings can be quite considerable as processes become quicker due to the consistency of using one solution rather than several platforms.
Stacks of paper can be hard to manage, leave you open to security threats and can be expensive to both print and store. One of the big benefits of an ERP solution is the ability to store all your data electronically eliminating the need for so much paper. Not only is this cheaper but it’s more environmentally friendly too and makes it much easier to find the information you are looking for.
Despite the unrivalled benefits to ERP solutions, there unfortunately some downsides too, and to see the true benefit of an ERP, there are some challenges that businesses must get around first.
A big downside of installing an ERP solution is the cost which can be high if you have a large business and require in-depth functionality. You must also factor in infrastructure costs and support if you opt for an on-premise solution.
It can take time to get a solution fully integrated into your business and up and running, when you consider the time to re-train employees, migrate your data and re-adjust your internal processes to fit around the new solution.
There is a lot to consider when deciding whether to invest in an ERP solution including your business goals, challenges, and budget. When implemented the benefits can be considerable, such as efficiency savings, improved reporting, and greater consolidation, but it can take time to see the benefits in the initial months.
If you would like to see a no obligation demo of our award-winning ERP solution, Opera 3, and to discuss its functionality and your business requirements then please get in touch today.