Choosing the right ERP for your business is not an easy task. There are dozens of ERPs available today. E.g., Microsoft Dynamics, QuickBooks, Sage, SAP, Zoho, etc. Each one has a specific set of features and functionalities, you need to make sure you choose one that suits your needs.
ERP stands for Enterprise Resource Planning. It is a business software package that integrates all company financial and business management processes. It is used to manage all aspects of the business, from finance to manufacturing and sales, as well as inventory control, payroll, customer relationship management (CRM) systems, and other functionalities.
Benefits of ERP include:
- Optimised resource allocation which enhances the performance of employees at every level of an organization.
- Repetitive tasks are automated which also increases productivity as well as saves time and costs.
- Improved operational efficiency through a unified system of record.
- Better customer satisfaction due to improved processes which leads to higher retention rates and ultimately an increase in revenue generation for businesses.
- Increased transparency by providing access to all relevant information on a single platform regardless of location – whether remote or local.
- Reduced regulatory issues by centralizing financial and operational data
- Minimization of vendor risk through greater transparency and visibility
ERP tools are known to be the best way to help companies streamline their operations. There are, however, many considerations that you need to take into account before making a decision. What do you want from your ERP system? Do you want it to be easy to use or do you want it to be robust and scalable? What are the characteristics of good ERP systems? What makes an ERP solution suitable for your company?
This article aims to give you detailed information on what to look out for when choosing an ERP tool or system so that you can decide on what suits best in your business!
1. Business Type
What kind of business do you run?
Businesses of different sizes and industries have different needs when it comes to enterprise resource planning (ERP) software. Some ERPs are designed for large enterprises while others are designed for small businesses. Consider your business needs and contexts when choosing an ERP system to install. For example;
- Your company size and the number of employees
- Your business scope
- The features & functionalities your business needs
The ERP features that work well for a school or a hotel may not be suitable for construction or inventory-heavy businesses.
2. Support of Key Business Processes
How does the ERP software support your business operations?
Your ERP system should be able to automate all of your business processes — from human resource management (HR) to accounting, finance, and marketing. It should also enable you to create new processes as needed. Your ERP software should allow you to create different user roles within each process so that employees can access specific functions only if they have been authorized by their supervisors or managers.
3. Customisation
Can it be adjusted to fit business needs?
Every business is unique hence you need an ERP tool whose features are adaptable to your peculiar needs. For example, your business may require inventory control more than other features at this time, a good solution should be customisable to suit this need.
4. Scalability
Can your ERP systems be scalable as your company grows?
Imagine outgrowing your ERP system in just a year of setup. To avoid the cost and time lost in migrating from one system to another, it is important to confirm that the ERP you’re considering has upgrade packages and growth tiers.
5. Integration with other Systems
Does it integrate with your existing systems?
When choosing an ERP tool, it’s important to check how it integrates with your existing systems. It should work well with other tools in your company, such as CRM (Customer Relationship Management) and payment systems, on mobile devices and tablets. This will ensure that your data is synchronized across your platforms and that there are no gaps in data sharing.
6. Database Storage System
What kind of database storage does the software support?
Database storage, also known as a data warehouse, is a system that contains all the information about your company, including customers and products. It’s usually stored on a server or cloud computing environment and accessed via a database application. Data storage can be cloud-based or on-premise.
If you want to keep track of all your data, your ERP software should support both SQL and NoSQL databases.
7. Collaboration Tools & Usability
Does it have user-friendly features?
Your ERP should be easy to use for all employees in your company. Your team will use this tool on their desktops, laptops, or smartphones, so it has to be intuitive enough for them to learn quickly and easily without a lot of training needed.
There should also be training materials readily available for users who need help navigating the system.
8. Security and Privacy
Does it have high-security features and access controls?
A key consideration for any company when choosing ERP software is the security and privacy of your data. The security features are important because they must keep your company’s data safe from hackers, malicious users, and even accidental loss or theft. The most secure systems use either two-factor authentication or multi-factor authentication.
9. Reporting and Analytics
Are there real-time analytics and data mining features?
Reporting and analytics are two key components of any good ERP software system. You need to be able to easily see the data that is being collected in real time so that you can react quickly if there is an issue or opportunity that warrants further investigation.
10. Cost Implications
What is the cost of purchasing and maintaining this software?
A good ERP software is an investment that should last you many years. While the initial purchase of the software will cost your company a fair bit, the paperwork and time saved will earn it back several times over.
Nonetheless, there are several tools available for varying business sizes. Whatever solution you decide on, ensure it works for your business.
Weighing all options
The first step to choosing the right ERP software for your company is knowing what elements make good ERP software.
Once you have decided on these factors then you can decide on which ERP software solution suits your needs best.
Manual processes and inaccuracies should be addressed with the help of this software. Once you understand your requirements, you can then rate various qualities to find the best suitable one.
As a final note, choose the one which best matches your business needs, and don’t hesitate to get help in making the right decision. A good ERP software can help you run your business more efficiently, so it’s worth taking your time and choosing wisely.
Duplo’s solution for business payments provides easy integration and sync with your team’s existing ERP. This allows for quicker reconciliations and high productivity for everyone involved, especially the finance department.
Contact our team to learn how Duplo integrates with ERPs.
