ERP helps streamline operations and boost productivity, but firms have yet to experience its benefits due to a lack of understanding or misconceptions. Approaching ERP software selection while believing these myths might set the firms up for ERP failure. Hence, it is essential to understand the misconceptions and exactly what ERP software does.
Here are the top 6 ERP misbeliefs to be aware of.
ERP platforms help integrate the complete operations under a single platform. This integration helps streamline business processes and data, allowing firms to make better data-driven business decisions. But, small firms believe it is only for large firms with complex processes.
The second misconception is that the ERP implementation will likely fail or exceed the allocated budget. This regard is common because there have been instances of failed ERP implementations with massive cost overruns. However, believing that "all" ERP implementations fail or go over budget is a misconception.
Firms often believe they can implement an ERP solution with robust IT staff to save costs. Even if some IT team members have the required expertise, focusing on implementation will take time away from their routine tasks. Conducting an extensive feasibility analysis is essential to ensure that the chosen ERP partner will help implement the right solution correctly.