SAP Business One and Secondary Market of ERP Consulting

Dec 2
06:38

2011

Andrew Karasev

Andrew Karasev

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Such things as initial Small Business ERP software license purchase with generic implementation and following technology oriented projects might be not possible with the same consulting firm. Let’s speculate about the business model where you are selling software licenses to new customers.

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First of all you have to pay sales people in order for them to call leads,SAP Business One and Secondary Market of ERP Consulting Articles channeling your offer through various chambers of commerce, trade shows and personal networks.  When your sales folks find new prospect then you have to deploy sales engineer and ERP consultants for doing non-billable sales cycle job: executive demos, communicating with software vendor on pricing and modules compatibility questions and the list is just at its opening.  When the deal is closed then where all expenses mentioned above should be paid from?  Yes from two sources where the first one is software margin and the second one is generic implementation consulting hours.  And you might be a bit surprised when talking with your consulting team down the road you remind them that the major issue was having new ERP and accounting system talk with your infrastructure such as EDI, eCommerce, Warehouse Management or Point of Sale.  Their answer might be simple – we do not carry programmer, who is familiar with such technologies as Software Development Kit, Microsoft Visual Studio and Web Services.  Fair enough but did you do something wrong in selecting initial VAR?  Likely answer is ‘no – you did your due diligence.’  Let’s review business model of Small Business ERP consulting firm:

1. Are we selling software to new customers or we are concentrating on technology projects such as programming, integration, modification and reporting?  If somebody is pursuing technology consulting they might choose the second option.  If you are positioning yourself as technology consulting organization then there is no need to have army of salespeople.  You rather have to organize order taking from somebody who is switching from initial reseller to technology firm.  And of course the major challenge is in attracting and retaining talented programmers and technical consultants

2. Are we opening office in India or somewhere offshore or should we stick to local programmers hiring strategy?  This question is difficult one to answer or recommend something.  Customers in the United States and Europe like local presence and such rituals as shaking hands and face to face business lunch.  Who are these people that you need locally?  They are probably project managers with programming and technical consulting background.  It is quite possible to send final coding and Quality Assurance work down to offshore outlets.  However the situation in the world is changing and such countries as Brazil, China, India and Russia which were formerly considered as good places for software developing outsourcing are getting richer.  This fact dictates higher salaries or hourly rates making outsource strategy less and less attractive

3. SAP Business One Technology Consulting.  With factors mentioned above we would like to resume the topic of this publication.  If you are reading this article then your phase two customization project was probably screwed by somebody who was in learning curve.  What to do next?  We recommend you to accommodate the idea that local firms with required expertise probably do not exist.  Try to expand your search borders to nationwide ERP consulting market

4. Please call us 1-866-304-3265, 1-269-605-4904 (for international customers, where our representative pick up the phone in St. Joseph, MI call center). help@efaru.com. We have local presence in Chicagoland, Southern California, South West Michigan and Houston and Dallas areas of Texas. We serve customers USA, Canada, Mexico and Brazil nationwide and internationally via web sessions and phone conferences (Skype is welcomed). Our consultants speak English, Spanish, Portuguese, Russian and Chinese. We feature our expertise is in International Business.  We provide second opinion in SB1 data migration, customization and reporting