The purpose of an ERP system in Singapore is to facilitate business in streamlining business processes by integrating data from various departments. These ERP systems are usually customizable to suit the needs and requirements of a business.
Therefore, when your business begins evaluating an ERP system solution, you must understand the steps you must take to help ensure the procurement processes runs smoothly
Total Cost of Ownership
Purchasing ERP software is just the first step. While the cost of buying it is high, running the ERP system can cost much more. This is because you may need to hire more people to run it. The system hardware will need maintenance and upgrades. It’s easier to know how much this software may cost you in the long run.
Conduct A Process Review and Analysis
Before purchasing an ERP for your firm, it’s essential to analyse your company’s needs using your business processes to pinpoint strengths and analysis. This analysis should include your company’s plans. Are you planning to expand? If so, the software you will need must be able to grow with the company to support the projected growth. It is also essential to consider how you envisage a new ERP system assisting the business with achieving its company goals, both short and long-term.
Since the software operates across all departments in the firm, it’s essential to consult with employees and managers to establish a list of requirements to know what’s necessary and what’s desirable.
Compatibility and Integration
The primary function of an Enterprise Resource Planning system is to automate processes, streamline data and make it more manageable. It is essential to understand how a potential software solution will align with your current infrastructure of the organization.
When deciding on the ERP to choose for your business, make sure the system will merge with your existing network. A unified system makes it easy to share and transmit data across the application.
A system that is unable to fit in with your existing software could lead to unnecessary costs that can be avoided and therefore limit the benefits it could have. More often than not, if you purchase a well-established ERP system in the market, you won’t encounter a lot of issues because it has undergone rigorous testing.
Do You Have the Expertise?
You need to be aware of your team’s expertise as you decide o the EP system for your company. After all, a system is as good as the team running it. Your team must have the technical know-how to manage the software effectively. You may need to hire more staff, which will be an added cost in terms of pay and must be taken into consideration.
You are likely to get a well versed ERP system from a vendor with an extensive partner network. This is because they have experts that are available to you at short notice might you need them. Apart from selling the system to you, what other value-added service are they going to provide? Do they offer training? Will they carry out maintenance? You will require these critical services with a new ERP system.