What criteria should you consider when selecting an ERP system for your business?

1 Business needs and goals

The first step in selecting an ERP system is to identify your business needs and goals. What are the main challenges and pain points that you want to solve with an ERP system? What are the specific requirements and expectations that you have for each business function? How do you measure the success and performance of your business processes? By answering these questions, you can define the scope and objectives of your ERP project, and prioritize the features and functions that are most relevant and valuable for your business.

2 Budget and resources

The second step in selecting an ERP system is to determine your budget and resources. ERP systems vary widely in terms of cost, complexity, and implementation time. You need to consider how much you can afford to invest in an ERP system, both upfront and in the long run. You also need to assess how much time and effort you can dedicate to the ERP project, and what kind of technical and organizational support you need. You should compare the total cost of ownership (TCO) and the return on investment (ROI) of different ERP systems, and choose the one that fits your budget and resources.

3 Deployment and scalability

The third step in selecting an ERP system is to decide on the deployment and scalability options. ERP systems can be deployed either on-premise, in the cloud, or as a hybrid model. Each option has its own advantages and disadvantages, depending on your business needs and preferences. On-premise ERP systems offer more control and customization, but require more hardware and maintenance. Cloud-based ERP systems offer more flexibility and accessibility, but depend on the internet connection and the service provider. Hybrid ERP systems combine the best of both worlds, but may pose some integration and security challenges. You should also consider how scalable and adaptable the ERP system is, and whether it can accommodate your business growth and changes.

4 Functionality and usability

The fourth step in selecting an ERP system is to evaluate the functionality and usability of the system. Functionality refers to the features and capabilities that the ERP system offers, such as modules, reports, dashboards, workflows, and automation. Usability refers to how easy and intuitive the ERP system is to use, such as the user interface, the navigation, the customization, and the training. You should look for an ERP system that meets your functional needs and expectations, but also provides a user-friendly and engaging experience for your employees and stakeholders.

6 Vendor and support

The sixth and final step in selecting an ERP system is to research the vendor and support options. The vendor is the company that provides and sells the ERP system, and the support is the service and assistance that the vendor offers to the customers. You should look for a vendor that has a good reputation and track record in the ERP market, and that understands your industry and business needs. You should also look for a vendor that offers reliable and responsive support, such as technical help, customer service, training, updates, and maintenance. You should compare the vendor and support options of different ERP systems, and choose the one that offers the best value and quality for your business.

7 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?