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Posted by : Al in (General ERP)
June 18, 2009

Things to Consider When Choosing an ERP System

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The act of choosing an erp system is one of the most  important decisions a growing company has to make. Companies are looking for a technological edge to help them stay ahead of their competition. But they want to make sure they have every possibility of ensuring a successful implementation.

There’s an interesting article by Steve Hammett on ERP Software Blog, where he shares his experience and helps to guide companies in the erp selection/implementation process:

Price-driven, fire-aim-ready technology deployments are proven to fail. Company decision makers unable or unwilling to commit to do the job right are asking for trouble-and that’s what they typically get, along with very costly fixes.  Reasons abound, but most often it boils down to the basics: budgetary mandate to go as cheap as possible and to implement in an impossibly-short time period. While cost and time efficiency certainly factor into the final equation, they should be guidelines, not primary decision-making drivers.

Before making determinations about either, commit to researching what’s needed in scope, time, and money. Then, and only then, establish a timeline and budget for the process. Instead, what often happens is a dramatic call for sweeping improvement. Technology is thrown at the problem as a quick-fix. Companies substitute the technology itself for sound business process.

So, Basically, where should one begin the process of ERP Software Selecion? Deloitte and Touche conducted a survey of several hundred comapanies who had recently purchased new ERP Software. The results are split into 1st and 2nd time purchasers. The responses were eye-opening, because like many things in life, experience changes your perspective…

Top Ten Criteria for Selecting Software

2nd Time

1st Time

Level of support from the solution provider

1

8

Vendor’s track record of performance

2

10

Software’s ability to fit the business

3

4

Growth potential of software

4

7

Price of the software

5

1

Quality of documentation

6

9

Functionality of the software

7

5

Ease of use

8

3

Ease of implementation of the new system

9

2

Software works with existing hardware

10

6

 

As you can clearly see, for the 2nd time buyer, price is no longer the highest priority. Now, it becomes clear that the level of support and experience of the provider is paramount. The buyer now has a more realistic, logical view of what is required to ensure a successful ERP Implentation. The ability of the software comes next, followed by it’s growth potential and then by price (somewhere in the middle priority).

If you would like more info about iNECTA’s proven track record and our high level of support, please visit our main website - Microsoft Dynamics NAV (formerly Navision)


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