One of the first things many consultants will recommend when you begin your search for an ERP is utilizing a scorecard for erp evaluation. Although leveraging a scorecard seems like an easy informational tool, it can quickly become complicated, time consuming, and costly.
Prior to ERP vendors presenting to the company, scorecards are typically handed out to all key departments including sales, operations, finance, and purchasing. After all presentations have happened, scores from every stakeholder are tallied and the highest scoring vendors are brought back again. Repeat the process until one vendor comes out on top.
At this point, many people at your company have invested multiple hours into the evaluation, it’s likely that a consultant is continuing to be paid to guide the process along, and many opinions on what the ERP should and shouldn’t have may be hindering the process.
Just like most things, there are multiple ways to get to a successful ERP implementation. The following 3 questions can more quickly and affordably guide you to the ERP system that will best fit the needs of your company:
1) What ERP looks or acts closest to what you have today?
If your existing ERP system is lacking in some way, narrow down your new ERP options by identifying ones that are similar to what you currently have. This knowledge allows you to eliminate those systems as you’ll already be aware that they don’t fit the company’s current needs.
2) Will the new ERP fix your short-term problems?
This is when collecting feedback from all your key players comes in handy. Gather information from all departments on what immediate needs in an ERP are. Then, based on this knowledge, identify all the reasons which your company needs a different ERP and ensure that the updated systems being considered address those needs.
3) What ERP supports your growth strategy?
Consider how you’d like an ERP to integrate into your company’s long-term goals. Identify ERP systems that provide functions to assist in that growth, even if perhaps they won’t be utilized immediately.
As mentioned above, there are always several ways to reach the same outcome. Some companies will choose to stay true to the traditional route of engaging a consultant and using scorecards. But if you’re looking for a more streamlined, less costly choice use these three simple questions to lead you to the ERP system that can best help you and your team succeed.
In the meantime, if you’re looking for more knowledge on how to select the right ERP for your needs, check out this article Paapri write about selecting an ERP that focuses on all 4 Cs (customers, components, company, and competitors).