Part 1: Top Issues Facing ERP Users in 2024
By Katie Foley
This is not your father's ERP system. Gone are the days of the clunky, legacy ERP system. In the fast-paced world of technology, ERP users can find the perfect mix of functionality and user friendly design in an ERP solution. Let's take a look at the top issues facing ERP users in 2024.
Challenges & Solutions for ERP Users
While there are many advantages to technological enhancements, new technology comes with new problems. Here are the top challenges that ERP users must consider:
1. Complex Customizations & Integrations. While ERP systems are powerful out-of-the-box, every business is unique and some may require complex ERP system customizations or an integration between the ERP system and another piece of software to meet its business needs. Some of the risks of customizations include the added cost and time of making customizations as well as the possibility of over customizing to the point where the software isn't flexible as your business processes change.
Solution: Be clear about the needed functionality up front during the initial ERP search so that you have an accurate sense of cost & time from the ERP vendor. Also, be flexible. Sometimes it may be your outdated business processes that need to adapt to best practices rather than tailoring your software to meet your outdated processes.
2. Cloud Migration. Many ERP users are faced with the issue of what to do when they want to move their system to the cloud. The majority of ERP implementations used to be 'on-premise', but now we are seeing a huge shift towards more cloud based systems as the cloud offers cost savings, automatic updates/maintenance, and more flexibility for scaling and for remote work. Some of the risks of cloud migration include the technical complexity of moving large amounts fo data, increased downtime, and training employees on the updated system.
Solution: ERP users should take proactive steps to protect their data (encryption, multi-factor authentification). They should also have a robust disaster recovery plan in place. ERP users who wish to move to the cloud should work with an ERP provider they trust with a strong history of successful migrations. If their legacy system is no longer the right fit it may be time for another ERP search for a cloud-based solution.
3. User Training. Challenges with adoption and training by users is not something new in the ERP world. ERP solutions are incredibly powerful when used to the fullest potential. As ERP systems have grown more complex, users embracing the system can also become more difficult.
Solution: To maximize user adoption and training, there must be buy in from the top down. Senior management must be strong and vocal in their support of the system. With buy in from senior management should also come investment in continuous training on the system. Users should have hands-on, interactive training so they can master the system. Training should also be an ongoing project as new features roll out and new employees join the team. If user adoption and training is a struggle for your organization, we highly recommend looking into your ERP vendor's customer conference as it typically has a great ROI.
Conclusion
ERP systems are incredibly powerful for streamlining your business processes, but with complex software can also come challenges. This is a look at a few of the challenges along with solutions that ERP users might face in 2024. We believe that Visibility is the optimal ERP solution for the make-to-order manufacturer in 2024 and we have the years of experience and roster of happy customers to prove it. Learn more about what makes Visibility's solution so special here.
Want to learn more? Contact us - we are here to help support you to grow and improve your business.
