Things to look for in ERP selection

Things to look for in ERP selection

Digital technologies are the heart of our businesses today and we can't grow and scale without implementing them in our business. One such technology is ERP (Enterprise Resource Planning) software.

ERP system is a kind of business process management software used by enterprises to streamline and automate business functions especially those related to resources and planning. You can manage from product process, procurement, supply chain, and human resource module to finances and accounting. 

So, it has become one of the crucial systems your business should have to accelerate and improve itself. Hence, selecting an ERP system is not an easy job especially when you have so many options available.

To make ERP selection easy for you we have penned down some must-to-have things you should look for to get the right ERP solution for your business. Before that let’s see its importance.


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Importance of an ERP system

Wondering why choose an ERP system for your business and what impact it will have on your business? Let’s get your answer through some stats. One of the reports suggested that the companies that used ERP software, show 28% positive ROI within a span of a year. Another report states that after using ERP software, administrative cost has been reduced by 22%. Some of the reasons your company should also invest in ERP software are:

  • It integrates multiple managerial and administrative processes into a single platform, thereby streamlining the overall operation of your company.
  • Usually, ERP software is cost-effective as it's a one-time investment in implementing it. Its functionalities overweigh the cost of its development and implementation by providing a positive return on investment in a short time.
  • With a centralized platform, ERP increases overall productivity. As teams can have easy access to the data using tools they need especially for the finance and accounting departments.
  • You can get data-driven insights with data analytics and reporting functionality. This will give you accurate and quick information to plan your strategies accordingly.
  • ERP software is equipped with CRM (Customer Relationship Management) tools that provide robust customer services helping you to make real-time engagements and boost your sales.

Top 7 things to look for in ERP selection

1. Functionalities and features fit for your business

The most important ERP system selection criteria are the functionalities, features, and tools that are tailored to your business's unique needs. For that, it is necessary to sit with the ERP consultants and plan the type of ERP system you want. If you have a construction business, construction ERP software specifically customed with your business will be your requirements. 

Similarly, every business has its own type of requirements, then do a market analysis of the ERP top vendors and request a demo of their solution while telling them your business needs. This way you will get all the features fit for your business.

2. ERP vendor viability

As you are analyzing and evaluating the ERP software, it is best to assess the ERP vendors for their previous work. They should have a certain success rate, read their testimonials, and don't hesitate to ask for the companies who have been using their ERP solution.

Look for yourself the relevancy with their previous customers having similar industry or the business size. It is always good to satisfy yourself in every aspect, especially the financial aspect.

3. Flexibility and scalability of the ERP software

While selecting an ERP system, you shouldn’t only keep in mind the current needs and goals of your business but you have to think about the coming future as well. As with time, your needs will change, new technologies will emerge, your business will grow and your old ERP software couldn’t be able to fulfill all these needs.

Therefore, it is important to select the type of ERP software that has room for adding more features, emerging technologies, and integrations, removing some old ones, and modifying the structure of your software.  

4. System integration capabilities

Sometimes you have solid systems integrated with your business and you don’t want to change them you want to integrate these already existing systems with your ERP system. Find a customized ERP system that can easily integrate all the existing systems with it.

Besides this, the ERP vendors should devise methods by which real-time synchronization of all the previous data occurs. This will help keep it updated. Not only this, obviously! Your ERP system should integrate with new applications as well.

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5. Platform with mobile accessibility

Another important ERP system selection criterion is the mobile support of your ERP software. You should go for a solution that is mobile-friendly so that it is easily accessible from anywhere and at any time. This will help your employees to avoid downtime and improves their productivity as they can access the workflow and enter data on the go, eliminating the chances of error.

6. ERP ownership cost and ROI

You need to add up all the costs this new ERP system is going to cause you. This includes the cost of development, implementation cost, consultation fees, cost of training employees, customization, maintenance, and upgradation cost. This is how you will get your Total Cost of Ownership (TCO). 

Then try to calculate the estimated improvements in cost over time with ERP and calculate your Return on Investment (ROI). 

7. Technology

Other than the set functionalities for your business, the best ERP software is the one that includes some of the emerging technologies in it such as:

  • Machine learning
  • Artificial Intelligence
  • Internet of Things (IoT)
  • Business intelligence
  • Data security etc.

Wrapping up

If you want the most user-friendly ERP system, you should look for these 7 things to make it suitable for your business.

Web Alliance is a dedicated service provider and is one of the top ERP solutions in the UK providing bespoke and custom ERP solution tailored for your business. Our ERP software is cost-effective, customized, and smart.

Go and visit our website, read the testimonials, and request a demo of our ERP system to streamline your business's processes. 


Q. What are the key factors to consider when selecting an ERP system?

Q. How can I determine which ERP system is best suited for my business?

Q. How important is scalability when selecting an ERP system?

Q. What role does vendor support play in ERP selection?

Q. How can I ensure that an ERP system integrates seamlessly with my existing systems?

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