View Points >> Viewpoints

Jane Thomson is the MD of Softworx.Jane Thomson is the MD of Softworx.


According to recent research by the Aberdeen Group, companies that adopt ERP systems are realising 22% reduction in inventory levels, 97% inventory accuracy, 96% manufacturing schedule compliance, and 98% complete and on-time shipments. With this kind of evidence, why are many executives arguing that their ERP systems impede their organisations’ ability to grow and compete?

There is a growing perception that ERP systems prevent organisations from becoming strategically agile, operationally responsive and globally competitive. This is due to three main barriers to growth that hinder companies from being more effective in the use of their ERP systems.

The first is that many ERP systems are too complex. Often the problem does not lie with the ERP system itself, but the complexities of the business. Convoluted business processes make ERP systems lose their agility and intuitiveness.

The second barrier to growth is the high cost of ERP systems. While the purchasing of the system might be affordable, the customisation and integration costs add to the overall cost of the ERP deployment and decrease return on investment.

Thirdly, many ERP systems appear to be inflexible, unable to integrate information from different industry sectors and data sources. Other business operating systems might not be able to interact with the ERP, dividing the business and blocking the flow of data across all business units.

Given these issues, it is easy to see why executives might get frustrated with conventional ERP solutions.

Fortunately, with the next generation of ERP systems, you’ll have an opportunity to surmount these barriers and support your enterprise’s strategic growth objectives.

New generation ERP systems allow you to get the information you need when you need it, by accessing information wherever it resides and organising it as you wish. New ERP also allows you to navigate your information from one universal interface, across a range of applications.

With lightweight middleware based on open standards, you’ll be able to rapidly install, confi gure, and activate new linkages between applications. This will facilitate the fl ow of data and support the performance of the business.

New generation ERP provides a consumer-grade experience that enhances both personal productivity and enterprise performance.