ERP software is a fast-growing technology trend among companies. Nearly 50% of companies have implemented ERP to automate business processes. These systems have various benefits like better business efficiency, cost savings, and task management. Yet, some companies are skeptical about implementing ERP.
The main reason for this is the lack of knowledge of what ERP is and how it can help the company. Moreover, certain misconceptions restrict these companies from leveraging the benefits of ERP solutions.
To clear some of these doubts, we have busted the top myths related to ERP software and integrations.
1. ERP is not for small businesses
In today’s world, ERP systems are available for a variety of industries and processes. The objective of ERP is to reduce inefficiencies by automating as many business processes as possible. No matter the size, every business has to take care of financial, managerial, and sales processes. Depending on your requirements, ERP software can be customized and scaled.
There are specific systems meant for large companies while others are meant for smaller businesses. By implementing the right ERP system, every business can leverage its benefits, irrespective of the size. In fact, 65% of small businesses are already taking advantage of ERP systems.
2. ERP systems take a long time to implement
Earlier, complex systems required a long time for implementation. But cloud technology has made ERP systems easy both for implementation and learning. The systems have also been improved and a complete setup is possible within a reasonable time.
If you want to hire an internal team for setting up and operating ERP, it will take additional time to train them. Instead, you can choose an outsourcing company that can help you with ERP implementation and maintenance. They have pre-trained staff who can save your time and make the process more efficient.
3. ERPs only benefit the internal processes of the company
Most companies use ERP for accounting, inventory and distribution, and CRM. While ERP automates internal processes, it also benefits the company as a whole. It can influence employees, investors, and even customers. ERP systems that have integrated CRM make customer management easier. The processes are faster, accurate, and efficient, building the brand image of the company. This attracts both customers as well as investors.
By using data from ERP, you can also get insights into new business opportunities and increase your customer base. By making optimal use of the system, every member of the business is benefitted.
4. ERP systems are expensive
This myth might have some basis in the ERP systems of the past. But with more small businesses implementing ERP, the software has become more affordable to meet their demands. Since most systems are designed for specific business processes, companies only need to pay for what they choose. Even though high-end solutions may be expensive, they still have a high return on investment.
5. ERP and CRM software are the same
This is one of the biggest myths in this industry. While a business requires both ERP and CRM, both differ a lot in features and functions. ERP can automate a variety of functions like bookkeeping, accounting, sales, and management. CRM is a module of ERP which manages customer data for sales and services.
According to a survey by SelectHub, 33% of companies used ERP software for customer relationship management. Even though both are similar, using CRM as a replacement for ERP is not sufficient. What companies actually require is an integrated platform that handles multiple business functions including CRM.
6. ERP systems restrict the working process
ERP systems do not have a one-way process. Instead, they improve the pre-established business processes through automation. Though they introduce standardization and simplify most business aspects, they do not restrict the workflow. The users decide up to what extent ERP systems will be implemented. Nowadays, ERP systems have become so versatile that they can be customized for any type of business. For example, depending on your real estate portfolio, separate ERP systems can be developed for commercial and residential property management.
Many property managers do not like automation as they think it replaces their traditional processes. But ERP is not mere automation. It is the combination of traditional methods and technology.
7. Implementing ERP is a one-time process
Setting up the system might be a one-time process. But ERP software requires continuous updates according to the market trends. As technology changes, the company also adds new features to the software. If your business has grown or introduced a new product, your ERP software will also need the necessary features. Even if nothing has changed and your ERP software is doing well, the system requires regular check-ups to avoid any further challenges.
8. ERP gives immediate benefits
It is also wrong to assume that once you have installed ERP, you will immediately reap benefits. Even after implementation, ERP systems show visible results only after a few days or months. This is usually because employees take a while to get used to the new software. According to the functions and features, you might also need to streamline some business processes to suit the software.
9. All ERP outsourcing companies are the same
Not all ERP products and companies are the same. They differ in their features, functionality, and process. Some tools are better for accounting while others are good for CRM. The ideal ERP outsourcing company should be able to understand your requirements and suggest solutions accordingly. Do they have solutions for your industry? Are they updated? Do they provide after-sales support? As ERP implementation isn’t a one-time process, the vendor needs to provide you long-term support. By choosing the right outsourcing company, you can smoothly implement ERP for your business.
Implement the Right ERP Software with KriyaGo
KriyaGo helps clients automate their business processes by building the right ERP strategy for them. Whether it is software selection or integration, we can help you leverage the benefits of different platforms. With state-of-art software like Yardi, Procore, and SAP Concur, we have solutions for all property management functions. Our professional team can understand your requirements and provide unique insights through their extensive knowledge. Along with integration, we can also take care of support, data integration, and staff training.
For a complete ERP solution, reach out to KriyaGo!
