Regardless of the industry sector in which you operate, having an efficient, sophisticated, fully integrated ERP solution can help you succeed instead of just survive. Even the business people who like to do things the old fashioned way are starting to realize that hand-written records and reports printed on paper and stored in file cabinets are a thing of the past. Furthermore, gone are the days of on-premise ERP technology that lacks advanced functionality, limiting sustainable growth.
With businesses growing faster than ever before and operations becoming increasingly complex, a high number of companies are reporting instability, low productivity, and revenue loss, typically resulting from outdated business solutions. If you’re having doubts about the efficiency of your system, you should think about upgrading ERP software. Below are five signs that indicate it’s time to take your ERP system to the next level.
- Availability, usability, mobility, and disaster recovery issues: Using an on-premise ERP solution has certain advantages that can’t be denied. However, being tied to a local server implies not only a huge risk of data loss due to errors or malfunctions, but also the inability to get timely updates and access data remotely. Since the advent of mobile technology has revolutionized the way we live and work, upgrading ERP by choosing a cloud-based solution is one thing you can do to benefit from improved availability and usability, and take full advantage of new enterprise concepts, such as BYOD, BYOC, BYON, and BYOA.
- Integration problems: Having a system that doesn’t integrate seamlessly with third-party software will make it impossible for you to manage your business efficiently. In this case, you’ll end up with disjointed software, which will eventually lead to redundancies, omissions, errors, rework, disputes, and frustration, making your staff unhappy, less efficient, and unproductive. Upgrading to a modern ERP system should solve most of the integration problems you’re dealing with.
- Limitations: If your business has grown over the past few years, it’s imperative that you consider upgrading ERP software. The latest versions of ERP systems usually make available cutting-edge features to help companies better handle complexities, respond more efficiently to new requirements, streamline cumbersome processes, and ensure regulatory compliance.
- Cessation of support: If your vendor has already announced the end of support for the ERP system you’re using, it’s time to upgrade. Although many companies continue to use outdated system versions, an obsolete software solution can do more harm than good. That’s because cessation of support means that you’ll no longer receive updates, hotfixes, and security patches. Consequently, your business will encounter prolonged periods of downtime, which will result in loss of productivity, decreased customer satisfaction, and lower revenue; have to cover higher IT costs because free and paid support, including extended support, will also be terminated; and become an easy target for hackers, who can easily exploit security vulnerabilities.
- Inability to handle all areas: Most ERP systems focus on specific business areas. Some solutions are great at managing manufacturing operations, but completely inefficient when it comes to handling supply chains. Some can help you manage complicated tasks along with customers and vendors, but not HR. Others can handle almost everything, but get stuck in accounting. Since what happens in one area of your company will indubitably impact the other areas, you need an advanced, complex ERP system that can manage everything in order to improve business efficiency and profitability.
If you’re thinking about upgrading ERP, one of the best solutions is Microsoft Dynamics AX. In a nutshell, this system gives you all the tools you need to succeed in any industry sector, regardless of how challenging it may seem.
