What an ERP system really needs

Quick and easy: the decision for a new ERP system is not. First of all, you have to answer the question of whether you need a software at all? And if the company already has one, does it really always have to be faster, better and newer? And these questions are justified. But even as ERP consultant this is not an easy question to answer.

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Organism Company

Companies are similar to us as individuals. A company is an organism and if you break it down into its individual parts, they are all equally important. Heart and brain. Accounting and sales. One needs the other. Otherwise the business falls apart.

So now, if you want to preserve the life of the whole thing for as long as possible, you have to keep it in good shape accordingly. In the case of the company, this means keeping the processes and processes must flow. Deposits in the raceways can lead to errors and thus to losses of efficiency. In the worst case, this not only paralyses you in your creative work, but then throws you off track.

But the word 'organism' already contains the solution here. An organism is a system that consists of individual, interacting ?organs? And what better way to 'organise' this than through an 'organism'? ERP system? Right ? that's what these systems are for. But that would be too easy.

What companies need

But now we are back to the question of when is it enough enterprise resource planning?
And that is just as difficult to answer as the question of healthy eating. And the answer is just as unsatisfactory. Because just like with food, (apart from a few basic rules) this is better for one person, that for another. Your supply chain is very uncomplicated? Then they can chow down on orders without restraint. An order goes through many different stations before it goes out? Then you should rather go for more specific products.

What companies want

Nevertheless, there are of course plenty of things that are not necessarily relevant to the life of the company, but can still be important. Here, too, it is similar. Do you need the car, the tailor-made suit, the holiday on the South Sea island. No, you don't. But it might make you happy anyway. At least temporarily. Happiness' in business is called 'success'. And this is measured by how it does on the market. A successful company is always in relation to its competitors. If there is only one milk seller in the village, he has great freedom of action. If a second milk seller comes along, competition begins. They have to distinguish themselves. While one sells milk in different quantities, the other always has especially fresh milk. But the milk sellers have to guarantee this offer. And if another milk seller comes along who delivers his product ? You know what that can lead to.

ERP systems therefore offer many possibilities to make one's own company more successful. However, many functions are not "vital" implementations. implementations. Nevertheless, it can be motivating for you and your employees to have a little more than is necessary. And here again, the individual applies. For one person it is the new car, for another the tailor-made suit.

In the end, as in life, it is often an emotional decision whether a new ERP system is needed and if so, what it has to do. It is important to make decisions in such a way that priority is given to the necessary part. The rest comes later.

SAP B1 blog