Procrastination in the selection and implementation of an ERP system is one of the most common events (actually, better termed a non-event perhaps) we see today. And why not? It’s easy to delay… and at first blush, it appears cheaper too. But in fact, it actually costs more to delay a system than to move forward when that new system heralds the promise of big savings down the road, and the delays forestall those savings with each passing day.
So it’s timely that our friends at Panorama Consulting recently published an article under the title of our headline today. Here’s what they had to say are the five reasons not to delay, starting with the most obvious one, with which we couldn’t agree more…
- You are leaving too much money on the table. You are almost certainly wasting money today on inefficient processes, poor customer service, employee stress and redundancy, probably on many fronts.
- There are too many good ERP software options available. Today, options abound, from industry-specific solutions to best-of-breed general ERP systems. And today’s systems cost less than they did years ago. And, we might add, they do way, way more.
- Your organization can’t grow or scale effectively without a new system. Usually, the number one reason companies purchase or upgrade their ERP systems is because of growth, or the desire to grow. Today’s ERP systems deliver the operational framework that allows companies to grow without adding lots of cost, staff and overhead.
- Your operational breaking point is probably just around the corner. With most systems that have been around for ten years or more, companies have basically just “gotten by.” Their systems do a fraction of what they could do for them, if they only moved into the 21st century. But while you may have survived on it to this point, “you will eventually reach a breaking point where you simply can’t continue with the old system,” notes the Panorama researchers. The real question becomes: do you want to pressure your people into a ‘panic’ implementation, or start planning now in order to do it right?
- Morale and productivity is suffering. Your staff’s individual pain points are almost certainly also hurting your bottom line. A new system makes people’s lives harder in the short run, but better in the long run. It leads to happier, more productive employees who feel like their jobs mean something. It takes careful planning, to be sure – and a healthy dose of organizational change management – but it can be done. And the sooner you start, the sooner you and your entire team will reap those benefits.