ERP Systems: How To Choose The Best One For Your Organization

Sep 27
09:12

2007

Carl Formby

Carl Formby

  • Share this article on Facebook
  • Share this article on Twitter
  • Share this article on Linkedin

What ERP software does and how it helps a business

mediaimage

Choosing an Enterprise Resource Planning (ERP) system is something that many companies have to do at some time or another,ERP Systems: How To Choose The Best One For Your Organization Articles and when they do they find that it is not an easy task. ERP systems are complex pieces of software which manage many components of a business, and finding the right package can be a minefield. Still, there are some pointers which can make the job easier. The choice of an ERP package can be made using either industry specific criteria or functional criteria, or a mixture of both. There is also budget to pay attention to. This article will look at these points and discuss some other considerations needed to be borne in mind when choosing an ERP system, such as the useful role that an ERP consultant can play.

When choosing an ERP system, great care must be taken to ensure that the system deals with all the functions of the company. These can include things like inventory management, accounting, freight tracking and customer after-sales service. In some companies, some of these functions will be more important than others, and it is essential that the most important functions are handled by the ERP package that is chosen. There is a flip side to this, in that some ERP packages will be extremely wide-ranging in the number and scope of business functions they deal with, and so may not be suitable for some companies. ERP packages are expensive pieces of software, and paying for software modules that deal with business processes that a company doesn't have or deems unimportant can be costly.

As well as choosing a package based on the business process that the package covers, there is also the option of looking at how specific the package is for a certain industry. Some packages are designed expressly for certain industries, such as banking or construction, while others are simply more suited to various types of business. Choosing a package that has been designed for use in your particular industry is one way of ensuring that a suitable system is chosen.

In order to make a good choice, the role of an ERP consultant should not be ignored. As with choosing a particular type of ERP package, a consultant should be chosen for his knowledge in a particular industry such as yours, or for his knowledge in choosing and implementing ERP systems for functions that are important in your organization. An ERP consultant should also be able to advise on the type of training that is needed to ensure staff can use the system effectively. The role of an ERP consultant is covered in more detail at http://www.erpsoftwareworld.com

Budget is always a consideration in any expensive corporate purchase, and an ERP system is no exception. As with all things, buying too cheaply can cost more in the long run, if the ERP system chosen does not do the job effectively and ends up costing a huge amount of time and resources in order to make things work. Choosing a system within budget that is also effective is also a decision that can be helped by the services of an ERP consultant.

Choosing such a complex piece of software as an ERP system will always be difficult. But by bearing the above points in mind, the choice should become a little easier. Take time to research the best ERP vendors in the market, and hire the services of a consultant to help you with the final choice.