If we were to ask most executives today, "Are you paying too much for your ERP?" They would answer yes quickly. Yes, the cost is too high. Yes, the constraints are too severe. No one intends to make efforts and expenses to implement the ERP to the end, to end negatively affecting your business. But unfortunately that is the situation in which many companies are. The initial benefits of implementing ERP have become mass consumed. ERP defects have transformed from annoyances to harmful obstacles.
In this article we discuss the issue of costs of ERP. We want to expose answers to questions like: What are the hidden costs of ERP systems?, How high are these costs?, What is the total cost of a traditional ERP compared to a modern ERP in the cloud?
The cloud is a term already quite famous, but not all software vendors and service providers use it the same way. We've talked several times as an ERP in the cloud and I think it is time to define in more detail what exactly we mean.
Here is our definition of an ERP in the cloud, which is shared by analysts and leading cloud service companies worldwide.
According to a survey conducted in 2012 by Aberdeen Group on the question of do or not an upgrade of an existing ERP, 1 in 3 entrepreneurs think that ERP is an enabler to create a solid business. " If the ERP can’t, better not do it."
From my point of view as a consultant I can only wonder at this result, but unfortunately also can corroborate from personal experience.
We all know the famous phrase "never touch a running system". And how not to, if many have often heard phrases like "Since the new update that no longer works" or "boss, since the new update our server does not start".
If we are talking about the ERP of the company, it all starts to unravel. The question is: Upgrade or not?
If we ask the experts (our coworkers from IT ), they will ensure that each update is important and imminent ... Are we talking to a lot of IT fans (but not necessarily objective) or is it true what they say?
Throughout my life as a business consultant I have had the pleasure of working with customers in different countries and industries. In this article I want to talk to leading companies in its niche, where the value delivered is magnificent and has potential to expand in the market. The limiting factor of these companies (the neck of the bottle) is not being able to make the right business decisions in the short time for lack of a holistic view of the business.