In the second part (here you can read the first part) in our series on the selection of an ERP system, we deal with the why and the what. Why does the company need new software and what and where is the company looking for such a solution.
The reason
In fact, there is usually THE trigger or at least a few reasons why the need for a (new) integrated ERP system was initially identified. Not infrequently the Reason already a state of emergency that moves the entrepreneur to want to make the not small investment of an ERP introduction. Stocks are never correct, costs can only be estimated, a sensible dunning system needs to be installed, a valid cash flow, the Order to Cash The process urgently needs to be speeded up, it is important to finally be able to tell the customer when the production order will be delivered... you could give pages and pages of different reasons.
TIP
Keep your eye on the real reason for introducing an ERP system in your company. It won't be easy! In the often months-long selection process, the focus can sometimes get lost.
Especially for young companies and Startups there is often the realisation that it is easier to introduce an ERP system at an early stage than at a more advanced stage of the company. Those who want to grow with ERP practice early.
Whatever the problem is, it leads to the realisation, software can help solve the problem. You just have to find the right software!
We are not so different after all
Almost all companies that want to introduce an ERP system have one assumption in common: surely you are not the only one who has exactly the same problems and works exactly the same way as you do. So there must be an ERP system that suits you particularly well. One that has already been integrated in companies similar to your own.
In addition, there are some providers who even specialise in specific sectors. So what could be more obvious than to find the right Industry suppliers to look around. Simple? Isn't it?
Which industry do you belong to? A machine and plant builder can be located, for example, from metalworking companies to project service providers. A software manufacturer produces AND often has a detailed expression as a service provider. You will quickly realise that the range of solutions is as broad as it is confusing. What is usually uniform is the promise of the respective marketing: "We have found the standard for your company/industry!
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Do not rely on the label 'industry application'! As a rule, the provider has given itself this label.
And assume that your company has special features.
The finding phase
Generally, when a medium-sized company is planning to introduce an ERP system, it should first do some soul-searching. An exact analysis What does my company need and what requirements does it place on the new software? This can only be defined if the processes in the company have also been defined. Often one discovers that these Prerequisite is not fulfilled, or at least only insufficiently fulfilled. Ergo, a detailed process analysis must be carried out in advance. This is where the course may be set that leads to the wrong or nonsensical tracks. The question is asked: How do we work?
Many cooks...
In addition to the fact that this first phase of discovery often brings about the first real change in the schedule, it is often a great surprise how differently the same processes are perceived by the different employees in the different departments. But it is precisely the latter who are asked: everyone should express their requirements, wishes and conditions. After all, you want to take everyone with you. After all, we know that the Acceptance of the employees can significantly promote or hinder an ERP project. The wish list that emerges is often opulent and ranges from 'this is how we have always worked' to 'everything happens automatically somehow'.
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When analysing processes, always check whether "we've-always-done-it-this-way" processes should be codified.
Check all processes for repetition. What is not (or rarely) repeated does not need to be standardised.