Stop Falling for The Wrong Guy... and Start Attracting Mr. Right! 5 Keys to Finding the Best ERP for Your Company

Did I say, “wrong guy” instead of “wrong ERP”? Forgive me, I am spending too much time on the HuffPost in the divorce blogs, but let’s carry on, shall we? An Enterprise Resource Planning (ERP) software selection and implementation have many similarities to romantic entanglements. Choosing Ms. Right or Mr. Right is just as critical for an ERP as it is for a blissful marriage.

Like a new romance, ERP software selection follows a halcyon course. All is right with the world in the beginning. The slick sales rep has all the right answers and is very attentive to your every need. During the software demos, the handsome presales team lead promises you a match made in heaven. There is nothing this software can’t do or will not do – for you. It can print cute puppies and make you more attractive. Then, WHAM! You sign the dotted line on the contract and reality hits you like a trout slap to the face. Your happily ever ERP system turns out to be real and Mr. Perfect Sales Rep is not returning your calls. ERP really stands for Real. Hard. Work.

Let’s stack the deck and choose the correct ERP for your company. Before you get to purchase an ERP system, talk to me girlfriend. I want to prevent you from getting saddled with an ERP system that sits on the couch in its underwear playing video games all day. I want to help you select and implement an ERP that will help your company bring home the bacon and make everyone’s life better.

My grandmother always said, “there is a lid for every jar.” That is certainly true in the ERP universe.Out there is a software that is a great fit for your company, you just need an introduction to start dancing with it. Relax and let the matchmakers at Liberty Technology Advisors introduce you to the right ERP as well as help you navigate that critical implementation path to happiness (and profitability). Here are five things to consider before leaping headfirst into a new (ERP) relationship.

1. Business Process Reengineering (BPR), including current state process reviews. Every beautiful relationship in the ERP universe includes BPR. It is a critical initiative that will result in improved quality, customer service, and competitiveness, as well as reductions in cost or cycle time if done properly. However, successful BPR is NOT intended to make a minor adjustment to critical processes, trim costs, or downsize employees. It is an ongoing and long-term commitment to your company. Also, take the time to consider that not all BPR consultants are the same. Be diligent in your search for qualified BPR consultants to lead your sessions.
   
   
2. Evaluate the technical fit. Liberty’s process takes a deep look at your company’s current IT environment, your key and unique requirements, gaps between ERP software requirements and your infrastructure, and other things you might not consider but are critical to success. The end state of this assessment is to have an unvarnished look at the strengths and challenges of going from your legacy system(s) to the new ERP system. We don’t want you to wear a suit off the ERP rack, we want a tailored ERP that will fit your company like a sunburn.
   
   
3. Understand the total cost of ownership. The cost of the ERP system is much more than just maintenance and software. It boils down to four areas that drive the overall cost. The first couple are more intuitive; however, the second two need to be added to the cost as well.
   
   
   1. Software: on the surface, this looks straightforward but pay attention to maintenance fees when you look at contracts. Also, there are differences between on-premise, hosted, SaaS, and a whole host of options today that have different fee structures.
      
      
   2. Implementation fees: include the time your employees will spend on the implementation while continuing to perform their regular duties. You may have to backfill some or all the project team, adding more costs. A senior executive should sponsor the project, another time-consuming activity with an associated cost.
      
      
   3. On-going infrastructure expense. You will need to look at the state of your hardware that will support the new ERP and perform a technical fit analysis. If you have not done an IT refresh for a few years, this may impact the total costs. For all the cloud-based solutions, your bandwidth will be critical to the user experience. If the cursor blink is slow, the ERP will get mistakenly blamed when it is an infrastructure issue. Whatever bandwidth you think you need now, you will need to double it in just a couple of years, then double it again. I am not kidding.
      
      
   4. On-going personnel costs. Added to the above, training and retraining of end-users, anticipating modifications in the future, upgrades, and recurrent training to keep your end-users on top of the ERP’s capabilities.
      
      
4. Develop and follow an honest implementation plan. I can see the future and if you are not realistic with your schedule and budget, the ERP selection and/or implementation will run long and break the budget. Here is an unpopular opinion: indecisive software selection or sliding go-live dates are usually not the ERP software or the software provider’s fault. If you did not factor in life getting in the way, your project will go long. Your budget is an estimate as your project team will not have a firm grasp of what will be required to successfully go live until the gaps have been identified about a third of the way in the implementation. The schedule should include at least a 10% contingency budget in time and dollars because no implementation is without hiccups, illnesses, or business emergencies.
   
   
5. Look for objective and independent advice. Successful and smooth ERP implementations require a game plan and a trail boss to turn visions into goals and objectives. You will need a thoughtful business coach that can shift between being a traffic cop directing the day-to-day grind and a leader that can take the team out of the quicksand. Successful and seasoned PMs know this and have a box full of management and leadership tools. Choose wisely and don’t shy away from getting help outside your company. Not only coin-operated consultants but friends in other companies that have recently implemented an ERP. Lean into their experience and learn from their mistakes.

Here is the bottom line: you don’t need to be Idris Elba or Scarlett Johansson to find your ERP soulmate. What you need is a competent guide that can advocate for your needs, wants, and requirements. Which ERP system is the key to your brighter future? Contact the experts at LTA and we will let you help you select and implement the perfect ERP for you as well as deliver the RomCom happy ending you desire. I know, I spend too much time on the Lifetime channel as well.