Misconception regarding the working of an ERP

Categorized as ERP

Misconception in the Market

Before implementing an ERP system to the organization, one needs to understand that ERP is all about providing a solution to the management complications.
It doesn’t include any designing part such as the way a data will appear to the user. The system is created well keeping the industry standards in mind.
Having served different sections of the industries with ChiefEx ERP solution, it has been observed that most of the customers are not quite aware of the working concept of an ERP.

    • The most common query is the request for options regarding the data appearance in the ERP system. Many customers want their data to be displayed in the same fashion as it appears in the excel sheet.
    • Secondly, customers want to input sequential order numbers for their data manually in the system, when an automation in the system can take care of this on its own. They also request for the header and footer option for the data.

These are the most common queries that customers come up with. It’s necessary that customers bring a change in their ideology regarding ERP working to gain maximum benefits out of the system.
ERP is a complete automated solution for management and does its work efficiently.
As mentioned, it doesn’t include the designing part for the data appearance and is neither of significance in the growth and productivity aspect.
The system does include a professional layout that is much easier and simple for viewing and analyzing the data.
Apart from the commonly mentioned query there are some myths circulating in the market.
Let’s draw a line between ERP myths and the actual facts
There are many technologies out there in the market and every one of them has one or the other misconceptions associated with it.
This is due to the lack of knowledge about the working of the system.
Let’s discuss the myths revolving around the ERP system that are circulating in the market.

    1. Myth – 1 : Return of investment (ROI) is achieved from day one with ERP.FACT
        • The expectation of every enterprise after implementing an ERP system is to receive an impeccable output of the system.
        • The fact is no system can be of the capability to provide a dynamic impact in the enterprise from the day one of it’s installation.
        • The system does help with some quite compelling benefits that will be visible but to achieve major objective of the enterprise it requires some time.
        • The employees outside the implementation team need to know about the system and be trained in using it whenever required.
        • Even though with intensive training, employees will take some time in getting familiar with the system and make use of it swiftly on a daily basis.
      • There are various other small issues like this that take a considerate time and will improve meeting the set goals of the enterprise.
    1. Myth – 2 : ERP is a management tool that serves only large enterprises.FACT
        • This myth or misconception is due to the lack of knowledge among the enterprises regarding the service and working of an ERP system.
        • ERP system is designed for the sole main objective of automating the management processes of enterprises, along with imparting simplicity and eliminating inefficiency in the process.
        • Enterprises irrespective of its size needs to manage processes of various departments.
        • Different enterprises have different requirements so the softwares for ERP is designed accordingly keeping the enterprise business objectives in mind.
      • The fact about ERP solution is that it’s for every company right from a startup to large enterprise.
    1. Myth – 3 : The process of ERP implementation is inexpensive and dynamic.FACT
        • In the technology business, we frequently come across the terms inexpensive and dynamic in a single sentence.
        • ERP vendors use these terms to sell their software to enterprises but many fail to deliver the promised services.
        • No ERP implementation is inexpensive and dynamic as they say it is. If someone claims to provide inexpensive and dynamic solutions then he’s just trying to sell the product.
        • Moving your data all together to a new software takes a considerable amount of time at the time of implementation. This opposes the term dynamic in the implementation process.
        • ERP implementation requires various expenses through the process of implementation.Expense is definitely higher for On-Premise ERP as compared to the Cloud ERP. An exceptional piece of technology such as ERP never comes at an inexpensive price.
      • ERP is surely an affordable technology but inexpensive is not the term that justifies the system.
  1. Myth – 4 : ERP solution is same for all the enterprises.FACT
      • Every industry has a unique structure and a different way of processing things. Opting for an ERP requires a lot of research and time.
      • An ERP solution working well for one enterprise may not work in the same manner for the other.Therefore its necessary to make a detailed report of the organization structure and objectives for selection of an ERP.
      • As said earlier, while selecting any software for the enterprise, one needs to get to the depth of the software and explore the pain points where the software can be of use.
      • Even though you are stuck in a marketing hassle never make decisions based on the myths circulating in the market. Do a detailed study of your requirement and proceed accordingly.

    At ChiefEx, we understand the needs of our customers before providing a solution by executing a detailed study of the organization and are always ready for any customization required from their side.