Reflecting on the True Cost of an ERP Solution

Reflecting on the True Cost of an ERP Solution

Working with outdated business processes can be frustrating when you know that there is a better way of doing things. Whilst you may recognise that an ERP solution can make processes more efficient and effective, justifying the expense to your boss can be somewhat tricky.

In order to put forward the most persuasive case to your boss, it is vital that you do your research. You must be able to articulate in detail the long-term business benefits in comparison to the short-term costs; you must be able to demonstrate that the system will pay for itself within a few years and ultimately make the business more profitable. By helping your boss to understand that the correct ERP solution will be seamlessly integrated into the business, they will be hard pressed to find a reason to say no.

Finding arguments to support your case is easier than you may think.

Perhaps your business uses multiple, stand-alone software systems that don’t integrate information correctly. Not only does this slow business processes down, making them frustrating and ineffective, but it also means that your IT department are constantly chasing their tails just trying to keep up. An all-encompassing solution could help streamline workloads, enable departments to co-ordinate activities and provide up-to-date, real-time data to inform strategic decisions within the business. Furthermore the improvements that you would see in customer service, by having all parts of the business able to talk to each other, would undoubtedly project a more professional and competent image to existing and prospective customers.

By highlighting these points to your boss, you are well on your way to convincing them that an ERP system would be an invaluable addition to the business. To add weight to your case why not gather examples of successful ERP implementations that have improved processes, cut back on wasted effort, provided joined up thinking and ultimately increased profits? Draw up unequivocal financial data demonstrating how the business would ultimately prosper after the initial outlay.

Finally, do your homework and find out which solution would be best fit for your company. Draw up a shortlist based on the needs of the business and the budget available. Ask the experts in order to help you provide a more balanced case, they will be able to tell you not only the benefits of a new system but also any potential downsides to look out for. By making the decision as easy as possible for your boss, you are halfway to convincing them that they can’t possible operate any longer without an ERP system.

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