What to look for in an ERP – ERP Selection.
There are multiple sets of criteria on which any ERP system can be assessed. These criteria are built around some basic questions which needs to be asked and responded to. Some of them are:
- Does the ERP System cater to all my present business needs and functions?
- Will the ERP system be able to upgrade to my future business growth?
- Will I be able to deploy ERP system in phased manner or do I have to implement it in one go?
- What is the total cost of ownership of the ERP system? How much it will cost me?
- Has it been implemented for similar business entities?
- Does it bring any Industry specific best practices on the table?
- Is it India ready? Taxation, GST, Legal compliance, Integration capability.
- Will I be able to add or integrate other software systems with this ERP?
- Will my team be able to adapt to the new system?
- Do I have the necessary technical components / systems for implementing this ERP?
- Reference and Stability of the ERP Software provider. Availability of upgrades in future.
When we are able to ask the right questions, we will be able to evaluate the available ERP package options more effectively. We also need to assign proper weightage to each factor so that an objective conclusion on the right-fit can be arrived at.
This exercise can be done internally, if we have right skills available within the organization. However, it is recommended to engage an external consultant who is package or vendor agnostic to help us navigate this very first step in this exciting and rewarding journey.