The decision to implement a new ERP system, such as SAP Business One, for the first time is not easy for many entrepreneurs. Some enter new territory with this investment and hear many different voices offering good advice or warnings. Others, even if it was a long time ago, still have the past introduction of an ERP system "in their bones". What is clear, however, is that it is always an investment that needs to be well thought out and secured. Investment security in the context of the rollout an ERP software should then also be one of the essential criteria for deciding which business application gets the contract.
Before the investment: Test who commits eternally
Since an ERP system is usually designed to run for 8 ? 10 years, one should first look at the manufacturer of the software. You should not only have confidence in their solution, but also in their economic future. The ERP market is not necessarily characterised by continuity. Often, in the fierce competition, one or the other ERP provider has had to give up from one day to the next. Takeovers are also not uncommon. These usually take place in order to get the customers, not the solutions, of the acquired company. Despite all vows of continuity, ERP providers who take over a competitor naturally strive to harmonise their offer and not to waste resources on maintaining two parallel products.
Changing interests are associated with the investment
Sometimes ERP providers also resort to less customer-friendly strategies to persuade their customers to change products. An example of this went through the trade press. Apparently SAGE wants to convince its customers of the SAGE Classic Line solution with an offer to switch from the old, but especially in Germany widespread former KHK to the modern SAGE 100. This is an offer that cannot be refused, as it is linked to a 45% increase in the SAGE Classic Line.
What's in it ... what's not
But even if maintenance fees are not intended as a 'termination aid', they are often a source of subsequent and uncalculated costs. Some updates and upgrades are included in the maintenance fee and others are not. In some cases, 30 to 80% of the original investment is due per upgrade. In addition, there are service fees that are justified but often not really transparent.
The role of the partner
ERP introductions are often projects in which three parties are involved: the software producer, the client and a consulting firm. The latter, like the software manufacturer, is a guarantor or risk for the success of the project and thus for securing the investment. ERP software that is suitable for SMEs also has a certain complexity that comes with it. The correct use and implementation of the business software is in the hands of the ERP partner, who must have the appropriate know-how and personnel at the ready. Thus, the implementation partner must also convey a convincing idea of what its future will look like. For despite all standardisation and the natural option that the system can be maintained by another partner: An ERP system (once introduced) should no longer be the subject of discussions and raise new questions, but help to answer questions.
SAP Business ByDesign vs SAP S/4HANA Cloud
SAP Business One vs SAP Business ByDesign
Business process reengineering before ERP implementation
Enterprise software adoption - surprisingly non-technological
ERP selection ? if it were that easy / part 9
