Why Is It Time to Implement ERP?
Nobody should ever jump into making a major business decision. The wrong choice, after all, could put your company in the red and have you scrambling to recover your investment. But sitting on the fence for too long also has its negative consequences, particularly if you’re struggling to determine whether you should implement ERP software.
While you might think delaying the decision is having no impact for better or worse on your business, research from Aberdeen found that this isn’t the case. They found that companies on the latest version of ERP performed better in days sales outstanding (DSO), on-time delivery, inventory accuracy and customer satisfaction than those who have yet to implement or upgrade their ERP.
At this point, ERP is an accessible solution for businesses of all sizes. Furthermore, pressures in the manufacturing and distribution industries make the software essential for getting a leg up over your competition. If you’re tired of roadblocks and looking to grow your business, stop delaying your ERP project. We explain why the time to implement ERP is now.
If you’re not operating an up-to-date ERP system, chances are you’re relying on outdated or insufficient applications to manage critical data and processes. You may have compiled several platforms and spreadsheets since your company’s launch, resulting in data silos and disorganized information. The Aberdeen study found that those who lack ERP software are more likely to struggle with redundant data and lose track of business processes.
Furthermore, the longer you delay an ERP project, the more expensive your IT infrastructure will become. Organizations with aging platforms devote approximately 70% of their IT budgets to legacy software maintenance. As your business grows, your applications won’t support big data and complex processes. QuickBooks, Excel and other common tools for small businesses have limited functionality and poor scalability, making them incapable of supporting sustainable growth.
Modern ERP systems, on the other hand, include comprehensive features and greater agility to provide access to valuable metrics across your enterprise. That means ERP can manage operations from top to bottom, so you don’t have to struggle with maintaining and updating several applications. This makes ERP more effective for promoting long-term business growth, streamlining processes and providing transparency.
Many manufacturers and distributors are either far along in their digital transformation strategies or planning to embark on them soon. A 2018 McKinsey survey found that more than eight out of ten respondents have undertaken digital transformation efforts in the past five years. Though small and midmarket companies face the challenge of updating their digital infrastructure without substantial resources, 82% of SMBs are still making the effort to modernize their technology. That leaves companies that delay IT projects well behind their competition.
ERP serves as a strong foundation for digital transformation. Modern solutions include cutting-edge technology such as IoT, BI and AI features. These features aren’t just for show; they provide deeper insights into your data and operations. For example, Epicor’s new IoT tool gives users real-time metrics of their assets and equipment to alert them of issues and improve maintenance scheduling. EVA, or the Epicor Virtual Assistant, uses AI to analyze data and deliver forecasts and insights to help you make critical decisions. ERP simplifies digital transformation to allow businesses of all sizes to elevate their technology and practices.
With labor shortages, global industry turbulence and rising customer demands, manufacturers and distributors must bring their “A” game. Disjointed and legacy applications only exacerbate these challenges. Outdated software is at greater risk of incurring viruses and cyberattacks. Disconnected platforms create data silos that impede visibility and decision making. Manual labor and data entry increase human error and slow down processes.
ERP gives businesses the tools to streamline tasks and become a data-driven enterprise. ERP can automate processes and approvals throughout each step of the supply chain to optimize your accuracy and efficiency. This will help you fulfill orders on time and keep operations moving along even if you are understaffed. Your software will also analyze data to give you predictions as well as real-time notifications. This level of insight facilitates a deeper understanding of customers and improves risk mitigation. By enabling your organization to increase productivity and easily access data, ERP helps you face industry challenges.
Without ERP, you’re holding your business back. The software gives you the support to weather challenges, pursue digital transformation and optimize your processes. For over 45 years, Epicor has served as a leading ERP vendor for manufacturers and distributors. Epicor ERP includes the comprehensive features and innovative technology you need to boost your business performance.
But to make your ERP project a success, you’ll need help from the experts. Datix is an Epicor Gold Partner that has executed projects for manufacturers and distributors for over 20 years. We’re a one-stop shop for enterprise software solutions and services. One of our solutions is our Epicor fixed fee implementation, which gives you a fast, cost-effective implementation without any hassle or hidden fees. From start to finish, our certified consultants are committed to simplifying ERP projects and promoting business growth.
There’s no reason to hold off on your ERP project. Get started by contacting Datix today!