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It’s Not a Software Problem – It’s the Process

ERP systems like Macola 10, SAP Business One and Sage 100 were designed the allow small to mid-sized businesses compete and be more efficient. But most importantly, and this is something that is too often overlooked, these modern software systems are designed with industry best practices in mind. Trying to fit old and outdated processes into a modern ERP system simply won’t work. And if you find a consultant willing to try and integrate old processes into a new software the project is likely to take much longer, cost more and result in more bugs and errors once everything is in place.

Why Implement Now, Update Later Simply Doesn’t Work

Best practices change. That could be in accounting, warehouse management, manufacturing processes or any other number of departments. Innovation and change is the cornerstone of business growth. Unfortunately, many business hold onto outdated practices because they are comfortable and getting the job done. Modern ERP isn’t designed to manage outdated business practices. The end result is a longer implementation process as your consultant tries to customize your new system to old principles. Even worse, manual processes don’t go away. Even if a business’ intention is to just get the software in place and then update processes later, the reality is that process change rarely happens after the fact.

Setting Yourself up for Sustainable Growth

Excel isn’t an ERP system.When a company is in startup mode, or even in the early growth stages, it can work just fine. After all, there is only so much data that needs to be processed and analyzed. Excel is sufficient at this stage. Eventually a business will grow to the point that spreadsheets simply can’t properly process data and the number of decision makers in an organization makes it impossible to integrate departments without ERP software. There is a reason why so many companies seem to hit a wall when they reach $5-10 million in annual revenue. That is because their systems aren’t capable of handling all of that data and inefficient processes make growth beyond a certain point all but impossible. ERP is designed to help companies break through that wall and set themselves up for sustained growth by eliminating inefficiency and automating processes.

The Business Process Assessment

Whether your company is in startup mode investing in their first ERP system, or it is an established business running on legacy software in need of an upgrade, identifying inefficient processes before software selection and developing new processes is the key to success. Imagine a 1950’s basketball team trying to compete in today’s NBA. Without implementing modern tactics and strategies, they could never hope to compete. The same is true in business. A business process assessment not only allows you to figure out what isn’t working, it also gives you the chance to update your processes to adhere to industry best practices. Doing so will make your ERP project much more likely to achieve desired ROI.

ERP software isn’t a panacea on its own. Without updating processes your software can’t possibly perform in the way it was intended. For more information on how to conduct a business process assessment and implement best practices into your operations you can call The Attivo Group at 877-428-8486 or contact us here.