By Phil Nicholls, Medatech UK Ltd
For those who are considering a move to or change of ERP system this is a highly pertinent question. Well let’s investigate some economic and business fundamentals to reach a considered conclusion. This, of course, all depends on the type of business you are, what stage in your growth cycle you are, the maturity of your industry, etc, etc. But if we can draw some general conclusions then you can pick and choose your reasons for implementing an ERP.
The world has had a tough time in the last 3 years and some would argue the UK has had a tougher time than most. So for those that have survived, now is a great time for capitalising on growth. There are fewer companies around, but the demand is still there. There are many stories across different industries where specific businesses have done disproportionately well out of the recent economic downturn.
All businesses need to ensure that they are operating as efficiently as possible. Because if you don’t your competitors will and you will suffer the consequences. Greater efficiency allows one of two outcomes: higher profit margins for the same throughput or lower prices leading to greater sales. Both of these will result in higher profits for the business.
Commonly used software in businesses is almost unrecognisable from, say, 5 years ago. There has been an explosion in the number of people working in IT and that has produced a wealth of new functionality and capabilities. AI and machine learning are adding new features which allows many manual based transactions to become automated. And yet again this means a more fulfilled employee and a more efficient business. Such companies are now finding it easier to out-perform their competitors.
Everyone is seeking the best customer experience. ERP systems today are providing greater traceability in the service experience which allows businesses to understand their customer’s journey better giving them ample opportunity to improve it and cement those all-important business relationships.
It doesn’t matter whether you are a high-volume manufacturer, bespoke project service provider, multi-channel distributor or any other form of business. Ultimately you need to provide the best products and services to your customers at the lowest price so you can maximise profits. Now is one of the best times to invest in this technology. If you have been thinking about this for some time, just remember, you do this to save money, (every project has a payback period) so the longer you put off starting, the longer it will take to get that payback.
Go on, bite the bullet, do it now.