Implementing a generic cloud ERP versus a manufacturing cloud ERP: What and how would you choose?

May 20 15:52 2021 Biplob Dev Print This Article

Identifying Cloud ERP Software is a very important decision-making process while selecting SaaS-Based ERP Software services for your enterprise. There are two different types of ERP one is generic ERP and the other is a manufacturing ERP. Manufacturers need to identify a manufacturing ERP and trading concerns need to identify a Generic ERP that suits best for their business.

Who doesn't want to progress,Guest Posting everybody does and so is your business?

Every business owner either small or big wants to make progress in their business and build their brand.

But there are a lot of factors when it comes to business improvements and one such improvement can be seen with well-planned systems in your factory or office or your plant.

Either you are a trading concern or a manufacturing unit we all need a cloud ERP system to manage our business efficiently.

However, the right systems and infrastructure have to be in place to make it happen.

Now that you know that you need an ERP system to control your business process in and out of your organization.

It's time to review Cloud ERP Software and the overall cost of implementing these systems for your business.

But before that, you need to understand the type of ERP that can align with your business.

So here are several questions that come to mind and you need to address them with your cloud ERP vendors.

And based on it they may prepare a demo for your concern.

The basic question that needs to address might be many but here are some of few question that you should address it to your ERP vendors.

  1. What is the size of your organization?
  2. What kind of business are you into?
  3. Are you into trading or manufacturing?
  4. What type of manufacturing, whether it is discrete or process manufacturing?
  5. What niche you belong to such as automotive, garments and apparel, services, pharmaceutical, etc.
  6. What is your current scenario and how you want to improve your business with an ERP?
  7. Challenges that you are facing in your current business operations
  8. What are the modules that you require in an ERP?
  9. No of users you need in your business?
  10. What type of installations you would prefer a cloud hosting or on-premises hosting?
  11. What is your budget range?

And so on.

This will allow your ERP vendors to understand what exactly would fit or which product would fit your enterprise.

 

So which ERP should you choose? Generic or Manufacturing

ERP software often seems intimidating for most business owners who have failed to implement ERP software either in the past or are not satisfied with the current ERP installation.

A failed ERP implementation leads to wastage of money and time and also resources.

But what does a failure depend on?

There are various reasons that an ERP system implementation may fail.

And it depends on factors such as user’s acceptance, non-initiative of stakeholders, or heavy customization that may be unrealistic for ERP vendors.

So the first step in selecting the right ERP system is to take a thorough demo of as many products as you can.

At least compare 10 ERP products with all the possible options and features that you need.

And then compare their cost.

 

But how do you approach the right ERP vendor for the demo?

This is one of the important questions that many customers fail to identify.

I have often seen businesses mostly feel any ERP can satisfy their business needs but that is not true.

Now that you know what you need

You also know that you are either a manufacturer or a trader or both.

If you are a trader almost all ERP software can deal with your requirement unless they aren’t unrealistic, so going for a Generic ERP would make sense.

But if you are into manufacturing, not all ERP can fulfill your needs; you need a full-fledged manufacturing ERP to get your requirements fulfilled.

And in most case manufacturing ERP may also fail if it lacks an MRP integration that is the core of any manufacturing ERP

MRP stands for manufacturing resource planning and most MRP software can run even independently without the involvement of any ERP system.

Manufacturing is one of the most complex product development and a production house in any industry.

So as a manufacturer if your core purpose is to handle your shop floor machines, manage time and people, and research new product designs and development you would require an advanced manufacturing ERP.

But don’t stop here

Identify your core manufacturing process whether it is discrete manufacturing or a process manufacturing

So before you are going for a demo or you want to make a selective list of ERP vendors from whom you want to get the demo.

List your requirement and Google possible ERP with the right keywords

That is how you would be able to find the list of the right ERP vendors.

 

Difference between Generic Cloud ERP and a Manufacturing Cloud ERP?

There is a huge difference between a generic Cloud ERP and Manufacturing Cloud ERP. Here are some of them

  1. A generic cloud ERP does not have a manufacturing module as compared to a manufacturing cloud ERP
  2. A generic ERP mostly covers the trading aspect of the sales and purchase module in more detail while this may or may not exist in a manufacturing ERP
  3. Generic ERP mostly focuses on retail sectors and trading concerns while a manufacturing ERP focuses on small to large manufacturing plants and industries.
  4. Whatever product features are available in a generic ERP may also be available in a manufacturing ERP but vice versa does not exist.
  5. A generic ERP may be simple to operate but a manufacturing ERP is always complex to operate.
  6. Generic ERP handles the entire business operation but a manufacturing ERP handles core manufacturing processes and shop floor within an organization.
  7. A generic ERP is not too costly as compared to any manufacturing ERP
  8. A generic ERP is simply generic but manufacturing ERP is divided into discrete and process manufacturing ERP.
  9. Reporting in generic ERP can be simple but manufacturing ERP reporting is highly complex.
  10. Generic ERP implementation can be seamlessly easy but manufacturing ERP implementation can be scary and time-consuming.

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About Article Author

Biplob Dev
Biplob Dev

Biplob is a business software consultant for RealBooks, a digital entrepreneur, an ERP consultant, and occasionally loves to write. He also loves to travel and when he is not working he can be seen playing his favorite game table tennis or playing the guitar or reading the scriptures.

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