When choosing an ERP system, many companies focus on features and functionality. What can and cannot I do with the system? This is also very important, but as a result, other important criteria are neglected or forgotten altogether. These are the 6 most important criteria when selecting an ERP system (and 'Cost' is not included!):
1. Quality of the ERP system
It is important that an ERP system provides you with the capabilities your company needs. Do not go for the best possible copy of the old ERP system, because then you are taking a step backwards! The business processes should be leading and when you have optimized these, you look at how the new software fits in as well as possible. In doing so, you should also pay attention to usability. An ERP system that is easy to learn and use will save time on employee training, increases the likelihood of acceptance and is also pleasant for users.
2. Business partner
The right business partner is just as important as the system. Business partner, that is, not software vendor. Because ERP is about driving the business and that includes a partner who can help you make strategic decisions and optimize business processes. Of course, also with extensive knowledge of the system. But first and foremost with industry knowledge and a focus on helping companies active in your industry. Therefore, look for a business partner that has built up a successful track record of helping similar organizations over many years, with employees who know all the ins and outs of the industry and with software solutions developed based on real-world requirements and wishes.
3. Technique
Although ERP is a business project, technology does play a crucial role. You are looking for a system that functions top notch now and in the future. Therefore, choose a proven successful platform, where you are assured of continuity and innovation. Also consider how the ERP system fits into your IT landscape and how collaboration with other applications is facilitated. Integrations with e.g. Office programs, the CRM system or supplier and customer systems can be follow-up projects. And the system must be able to grow with your organization. For example, when you have more users, enter new markets or want to upgrade to a new version.
"Few business decisions affect the continuity of your business as much as the choice of an ERP system. "
4. Support
A successful go-live is a great start, but even after that, you need the right guidance and support. Preferably from experienced in-house support staff who know your company and version of the software. But support starts with self-support. That means consulting instructions in the system, being able to watch videos or consult documentation on an online portal. Then answer some questions yourself and contact your business partner for other questions. Also important to map out the route for the coming years; will you stay on this version for a long time or will you upgrade frequently?
5. Return on Investment
Too often people look at the "cost" of an ERP system without weighing it against the potential gains it brings. A cheap ERP system that doesn't make you better is ultimately a much worse investment than an expensive ERP system that makes you more efficient and successful. That's why it's better to look at the Return On Investment. Weighing the costs against the (expected) benefits. Those expected benefits are not easy to determine. But think, for example, of more efficient service staff, higher rental occupancy or more after-sales revenue.
6. Viability
Few business decisions affect the continuity of your business as much as the choice of an ERP system. If you want your business to still exist in 10 or 20 years or even longer, you would do well to examine the viability of the ERP system and your partner. Ask yourself these questions:
- Is the technology used reliable, popular and stable?
- Do many companies work with this ERP system and do these companies operate in the same industry?
- Does my ERP partner have a successful track record in my industry and all the knowledge and experience in-house to support me?
So look beyond your list of system requirements; other factors play an important role in choosing a new ERP system!
