The decision to introduce a new ERP system, such as SAP Business One, for the first time is not an easy one for many entrepreneurs. Some are entering uncharted territory with this investment and hear many different voices offering good advice or warnings. Others still have the past introduction of an ERP system "in their bones", even if it was a long time ago. However, it is clear that this 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 key criteria for deciding which business application wins the contract.
Before investing: Let he who binds himself forever beware
As an ERP system is generally designed to run for 8 - 10 years, you should first look at the software manufacturer. You should not only have confidence in their solution, but also in its economic future. The ERP market is not necessarily characterised by continuity. In the face of fierce competition, one ERP provider or another has often had to give up from one day to the next. Takeovers are also not uncommon. These usually take place in order to obtain the customers, rather than the solutions, of the acquired company. Despite all vows of continuity, ERP providers who take over a competitor naturally strive to harmonise their offering and not to burn up resources 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 switch products. An example of this went through the trade press. SAGE apparently 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. An offer that cannot be refused, as it is linked to a 45% upgrade of the SAGE Classic Line.
What's in it ... what's not
But even if maintenance fees are not intended as a "cancellation 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 for each upgrade that appears. In addition, there are service fees which, although justified, are often not really transparent.
The role of the partner
ERP implementations are often projects in which three parties are involved: the software manufacturer, the customer and a consulting company. Similar to the software manufacturer, the latter is a guarantor or risk for the success of the project and thus the safeguarding of the investment. ERP software that is suitable for SMEs also has a certain degree of 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 expertise and personnel available. This means that the implementation partner must also convey a convincing idea of how secure its future looks. After all, despite all standardisation and the natural option that the system can be maintained by another partner: An ERP system (once implemented) should no longer be the subject of discussions and new questions, but should help to answer questions.
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