Expectations of ERP Systems

Process support

Central business software applications, also known as enterprise resource planning (ERP) systems, are designed to support your processes rather than hinder them or make them more difficult. However, a lot of experience with processes has usually gone into the development of ERP systems, which you should take advantage of. Therefore, an often expressed demand that ERP systems should exactly mirror the processes “lived” in the company is not always reasonable. In fact, companies can often benefit from adapting their processes to best practices implemented in ERP systems. Also keep in mind that customizations are likely to cause you difficulties and additional effort with each update. Approach the potential task of an ERP change with an open mind.

Data consistency

A key aspect expected of ERP systems is their consistent and up-to-date database, so that consistent statements are ensured at all times in accordance with Oracle’s demand for “the single truth”. Define the leading data source, and derive any further information from this data source. Avoid isolated solutions for IT applications whose results, in the worst case, you feed back into your ERP system. The likelihood of discrepancies occurring in the process is high.

Functionality

Another expectation is adequate functionality. The functionality you need depends on the nature and industry of your business. Retail companies work with different processes than manufacturing companies. The latter must be able to manage multi-stage manufacturing processes in the ERP system. Service companies have different demands again. Different ERP systems cover different industry specifics. The selected ERP system must fit your industry. Your processes should be best supported by your ERP system. It should also enhance the knowledge management in your company.

Finally, the scale and structure of your company is also important to consider when selecting a suitable ERP system. Make a selection for a pragmatic ERP system, and avoid “overkill”. There are now some proven “small” ERP systems that cover common requirements very well.

If you want to manage a group of companies in an integrated way, your ERP system should be able to map such structures.

Evaluations

Standard evaluations should also be possible by default with a good ERP system. Special queries should be possible at short notice without having to rely on IT specialists. Not only your present processes should be possible, but also agile working– and agile planning with Beyond-Budgeting methods should be enabled.

Investment security

An ERP change is associated with high expenditure. Therefore, when making your selection, make sure that the provider is economically stable and that the product is likely to be available and maintained in the long term.

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