To provide you with information that will allow you to decide which ERP system your company needs, we will begin by explaining what an ERP is , what are the benefits of implementing an ERP and we will debunk some myths that exist around this technology.
What is an ERP
erpAn ERP (Enterprise Resource line phone number data Planning) is a business management system that integrates and automates the processes and activities of different areas of a company.
It is the fundamental piece of a company's information system and allows them to manage and optimize their business processes efficiently, by providing a complete view of the information in real time that translates into more informed and faster decision-making.
ERP systems are usually made up of different modules that adapt to the specific needs of each company and, therefore, allow the system to be customized and adapted to the characteristics and business processes of each company.
Benefits of an ERP for your company
The implementation of an ERP solution in a company can provide multiple benefits , among which the following stand out:
Improves efficiency and productivity: By integrating and automating business processes , an ERP system can reduce the time and costs required to complete tasks and processes.
Improves visibility and control: An ERP system can provide a company with a complete, real-time view of its business processes, allowing its managers to make informed and fast decisions based on accurate data.
Enables data integration and exchange: An ERP system integrates data from all departments in the company into a single platform, enabling cross-departmental collaboration and improving communication and coordination across the company.
Improves inventory management: An ERP system can help the company improve its inventory management , reducing storage costs and ensuring that there is sufficient stock to avoid stock shortages.
Improves customer service: By providing employees with a complete view of the company's interactions with customers, an ERP system improves the quality of service and customer satisfaction .
Simplify financial management: The automation of accounting and economic transactions simplifies financial management, which translates into a reduction in errors and an improvement in the accuracy of financial reports.
ERP Implementation: Methodology
The methodology for implementing an ERP may vary depending on the specific needs of the company, however, certain phases can be distinguished that, depending on the digital maturity and information situation of the company, will be more or less significant in the process:
ERP
Planning: In this phase, the scope of the project is defined, the objectives and requirements of the company are identified, a pre-implementation schedule is established and a project team is created that will be responsible for the implementation.
Analysis: In this phase, current business processes are analyzed and areas that need improvement or change are identified. Existing data is also analyzed and technical requirements for the ERP system are defined.
Parameterization: In this phase, the ERP is configured according to the detected needs, the required modules are deployed and integration with other systems is carried out.
Data migration: In most cases, companies already have previous information systems and it is very important to migrate only the valid and necessary data. This is a good time to classify and clean up the existing information, in order to avoid transferring unnecessary or erroneous data.
Training: Training users is a vital phase of implementation, and allows for the correct use and exploitation of the ERP.
Go-live or Implementation: In this phase, the ERP system is installed in the company's production environment and final testing is performed to ensure that the system is working properly and meets the company's requirements.
Support and maintenance: After implementation, ongoing support and maintenance is provided for the ERP system, including troubleshooting, upgrades, and continuous enhancements to its functionality.
Myths about ERP implementation
There are several myths related to the implementation of an ERP system. Below are some of the most common ones:
ERP is a quick and easy solution:
This is one of the biggest myths related to ERP systems. Many companies believe that ERP implementation is quick and easy, but in reality it is a complex process that requires time, planning and effort . Implementing an ERP involves significant changes in the way the company works, which requires good change management.
ERP will solve all of the company's problems:
Another common myth is that implementing an ERP will solve all of the company's problems. However, an ERP cannot magically solve all of the company's problems. It is important to note that ERP is a tool that can help the company improve its efficiency , but it is not the solution to all of the problems.
ERP is too expensive:
Many companies believe that implementing an ERP is too expensive, but in reality, the cost of an ERP can vary depending on the size of the company and the scope of the project and the return on investment will depend on the initial state and the improvement they have been able to experience in their processes.
ERP is only for large companies:
Another common belief is that ERP systems are only for large companies. However, today there are ERP solutions for companies of different sizes, even for small companies, greatly reducing their implementation with previously defined and structured processes.
ERP implementation is an IT project:
This is another common myth. ERP implementation is a business project that involves different areas of the company , including finance, human resources, production, sales, among others. It is important to involve all areas in the planning and implementation of the project.
ERP cannot be modified once implemented:
Most ERP systems are designed to be customized and configured according to a company's specific needs.
It is true that some ERP systems may have limitations in terms of customization and modification capabilities, especially when it comes to the system's core processes. However, most modern ERP systems are highly customizable , allowing businesses to tailor the system to their specific needs and make changes to improve efficiency and productivity.
