Friday, January 18, 2013

Select the right ERP system for manufacturing company



When a manufacturing company plans an enterprise system implementation, the primary motivations are business transformation, Business process harmonization and the technology upgrade which ultimately does the replacement of the legacy system.
                 
With the business transformation the aim of the top management is to undertake changes at the top line or bottom line of its Business process . Business process harmonization is a business transformation exercise but at a scale where the objective is to generate process benefits and a smooth activities across the organization.
                 
Technology upgrade is process Initiated by the IT organization to replace the legacy system with the latest technology product or service with similar functionality and reduce application management costs and total cost of ownership.

In this change over exercises the primary question that Decision makers often face is whether to develop a custom solution or implement a packaged solution. While there are complex and unique business scenarios that merit the development of custom solutions, most orga­nizations will benefit from a packaged enterprise systems solution for various reasons

The reasons why the companies choose for a packaged ERP Solution like eresource is the system is more user-friendly, economical, scalable and flexible. Being a Web-based application the implementation process also much easier than the traditional ERP package s.

Other important points that are considered when it comes to ERP package s like eresource is it is easily adopted industry best practices. It is also well proven and stable with better system documentation. Having its own upgrade roadmap it is also a system that is easier and cheaper to maintain with readily available round the clock customer assistance.

As there is a myriad of ERP appli­cation packages available in the market with a range of deployment options, selection of right ERP package a complex exercise. It is a fact that cannot be denied. Moreover most ERP package s claim to offer comprehensive, but similar, functionality.

There is no harm if Decision makers are given little more sleeping time to decide the selection of the right ERP package for their organization. Selecting an inappropriate ERP package is like inviting troubles.  An ERP System that is not a right fit tends to weigh down the entire organization. Wrong selection of an ERP package s can compromise security and audit requirements and have a debilitating effect on employee morale.

We have come across some cases where companies spending substantial amounts of time and money on ERP Implementation s only to realize that a different ERP System would have been a better fit.  On the other hand we would like to emphasize the fact that once a right ERP package is implemented it can bring handsome benefits to the organization. When implemented effectively, ERP can improve alignment of processes with organiza­tional strategy, reduce costs and improve pro­ductivity. 

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