Companies of all sizes have to make ERP upgrade decisions at some point in time. When that time comes, it is important to think through the process thoroughly. If done properly, an ERP upgrade can be very healthy for any organization and improve its profit margins. However before making any critical decisions, consider the following three important factors:
Your reasons to upgrade
Why should you upgrade? Upgrades may be because support is ending on either the ERP version you are on, or perhaps the operating system and hardware that the ERP system is on, or because there is new functionality in the new ERP system version that your organization needs. No matter the reason for the Upgrade you should use the Upgrade as an opportunity to improve your business operations. While you may need to upgrade your ERP solution in order to update your old hardware or because other integrated systems have been upgraded, you must always look to improve your business process and make sure the upgrade will enhance your profitability and performance. Use the upgrade to ensure workflow improvements workflow and elimination of inefficiencies.
How will it improve decision making abilities?
Your ERP system should be a platform that helps you make important business decisions. Can the upgrade include features that will make the process of decision making simpler for you? Will the upgraded system provide dashboards or new reports and KPIs that team members can use. How can you leverage an upgrade that may be necessary due to circumstances out of your control to improve you decision making process for your organization?
Will it eliminate manual processes?
Other than looking at what will be improved in the system, it may be important to consider the things that will be eliminated because they hinder performance or consume so much time. For instance, can this upgrade eliminate the number of excel reports that are currently being generated manually? You shouldn’t have to utilize as many Excel spreadsheets as you do now in an updated ERP system. Too many manually generated spreadsheets can suck the life out of your organization. Make sure to have these items eliminated in the course of the upgrade. CONCLUSION:
At the end of the day, upgrades may be driven by a technical issue. However you need to make sure your organization receives proper ROI for undertaking an upgrade project. You need to be deeply involved in this process to ensure your organization reaps the benefits of newer technology that will provide your company lasting benefits.