5 Factors to Consider when Choosing an ERP Supplier

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What are the factors to consider when choosing an ERP supplier?

  1. Reputability
  2. Technical expertise
  3. Quality of after-sales service
  4. Training capabilities
  5. Pricing

 

With all the benefits that you can get from an ERP system, you’ll definitely have a lot of factors to consider when choosing an ERP supplier. The kind of ERP vendor that you choose is just as good as the modules, software, and the ERP architecture that you’ll end up integrating into your organization.

Think about it — your organization might not be familiar with the capabilities of enterprise resource planning. Choosing the right vendor will not only give you a basic introduction to this business centralization system, but they will also make sure that it is well-implemented in your business. Continue reading to learn more.

 

Reputability

One of the first things that you should look into, is the reputability of the ERP supplier. You want to be serviced by an ERP solutions provider that has been in the industry for many years. Not only that, but they also have a good track record of providing a range of companies with reliable ERP-based services.

A good way to gauge the reputability of the ERP company is to see what kind of clients they have served in the past. If this information is not available, you should also take a look at the many awards and certifications that the company has received over the years.

Direc Business, the leading ERP solutions provider in the Philippines, for example, has garnered numerous accolades for their ERP products and services. Most notably from 2016 to 2018, we were the recipient of the SAP Business One Partner of the Year award. This gives you a good picture of just how well your chosen provider has fared in the business with their knowledge, technical know-how, and support.

 

Technical Expertise

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Aside from the ERP company’s reputation, they should also have the proper technical knowledge about the ERP system that you’re looking into. More than that, they should also be able to properly explain to you and your employees just how well they’ll be able to use the software.

If your business has no experience with ERP systems in the past, the learning curve for your employees may be steep, especially if you want to see results as soon as possible. Knowing this, you want to entrust your organization with an ERP provider that can properly provide demonstrations and train you and your employees without sacrificing the system’s effectiveness and without a slowdown in your current processes.

The implementation phase for various ERP systems may take a while. Your provider will not only install ERP software and modules into your systems, but they would also need to make sure that everything is user-friendly and optimized for utility. They should also provide you with suggestions on what kind of modules will work best — be it warehouse management, accounting, financing, CRM, and the like.

Quality of After-Sales Service

After-sales support is essential for ERP. This is because the process doesn’t just end once the software has already been implemented. There’s still the matter of making modifications to your processes in the event that your organization might scale up or down.

You can easily determine whether or not you’re collaborating with an efficient vendor. For example, if they’re responsive to your calls and are always keen on providing 24/7 technical support, then these are already tell-tale signs that they care about how your organization makes use of the new system.  There may also be unforeseen problems that you may encounter throughout your use of ERP — it’s best to communicate with a company that knows how to resolve them.

Training Capabilities

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It’s one thing to invest in an ERP software, but it’s another to ensure that your entire organization is aligned with the change in processes. With this in mind, it’s crucial that you choose a vendor that can commit to providing sufficient training for your employees.

Various departments may exist in your company and can fall in a combination of two or more of the following: sales, operation, HR, production, manufacturing, purchasing, marketing, and the like. A good ERP vendor will not only give you the best type of ERP system, but they also need to make sure that every single department knows the ins and outs of the new software.

See to it that your vendor also has ERP training capabilities. This means that training courses, programs, classes, workshops, are all done with the goal of integrating your human resource as well. Proper training ensures that your business maximizes the ERP system that it has invested in.

 

Pricing

Most ERP software nowadays arrives in a subscription-based pricing model that your organization will invest in for a set period of time. You want to choose a vendor that can provide you with multiple options and other subscription plans that ultimately works best for your organization.

For example, small businesses would rather choose an all-in-one ERP package that also comes with features that fit the organization. They wouldn’t want to invest in another system that’s specifically designed for large organizations, as this may not be financially practical.

It’s important that you compare and contrast all the products and services offered by that company. This allows you to choose the most cost-effective ERP solution that’s not only affordable for your business, but also the most suitable.

 

Key Takeaway

Some of the factors to consider when choosing an ERP supplier include the following: pricing, technical expertise, presence of after-sales support, and reputation. Choosing an ERP is not an easy task. You may run the risk of getting a service that will worsen your business’ processes, or get an expensive solution that won’t be fully taken advantage of.

If you’re looking for the right supplier, Direc Business has just all the right ERP systems and services to match your business’ needs. We provide training, system demonstrations, and exceptional support for our ERP products. Click here to get in touch with us!

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