Home » About Enapps » Knowledge Base » Choosing an ERP Solution

How to choose an ERP system

how to choose an erp system

‘How to choose an ERP System’ question should be answered taking into consideration such details: business impact, requirements, budget, implementation etc. That is why the procedure of choosing an ERP System should be made carefully. An ERP system running your business is analogous to our central nervous system. It is complex, very important to have working effectively and efficiently and should be with you for a long time. Replacing it can be painful and costly. Living with ineffective systems can introduce chaos to your business on just about every level. You need to make the right choice, by doing it once and doing it right. The bottom line is to make sure that your choice keeps your technology options open, uses a long term horizon and ensures that you are set up for success moving forward.

We hope the following tools will explain you how to choose an ERP system. Please contact us if you would like some help in this ‘early definition’ stage. We would like to win your business but in advance of that we are happy to provide comments on what we believe to be best practice and give you some real world examples to consider.

ERP Readiness Check-list when choosing an ERP solution

The ERP Readiness Check-list is designed to help companies shape an ERP selection process. A disciplined approach on this phase of the project will reap major rewards further down the line. The Check-list looks at several phases, the desired future, current systems, current issues and requirements.

ERP Implementation Goals

The implementation goals are broken down into the following 6 areas: Streamline business processes, Sales/Revenue growth, Cost Management, Improved Efficiency, Enhanced system flexibility and Happy People and the specifics are in the form of questions. Some goals are related to recurring activities/processes, some are single occurrence examples.

How to choose an ERP system

  • Business Impact

    This is a planning document which defines the desired impact that an ERP system will have on your business. Make sure it defines the benefits to your business over a multi-year horizon.

  • Requirements

    This is a document that maps out the current business processes by department. Make sure that you gather input and feedback from all parts of the business and formulate a new document which maps the current system to the new system functionalities.

  • Budget

    Determine the budget for the project, future developments, support and maintenance over a multi-year horizon. Within your budget consider the option of engaging a consultant to run the selection process with you.

  • Decisions

    Determine the decision makers for the project. This could be a single person like the Owner or CEO or the sign off could require Board approval.

  • Leader

    Determine who will lead the project internally. To ensure the project stays on time and on budget a main interface with the vendor is invaluable. This person is also able to coach and manage the change management plan for the business.

  • Change

    Outline a change management plan. Consider the impact training will have, expected staff turnover for 5 years, populations per department, transaction volume and anything else you think that may impact the project.

  • Implementation

    Determine how your business will perform the work required during the implementation phase, whilst still performing the daily responsibilities. This is often an area that is left unconsidered. For example when your data is migrated from existing systems to the ERP system it needs to be cross checked by your team.