After evaluation the different types of software available and deciding which of those solutions best fit your company's needs, your next step is to select a company and a specific solution to implement. Often, this is the moment in your selection process that involves the greatest amount of risk. How do you reduce that risk?
So, you've learned what an ERP can do and how it can help your company, you've outlined your purchasing and decision process, and you've identified your needs. The next step is finding a solution. Choosing a solution is not as clear cut as you need to understand the market and the different types of software available in order to ensure that the solution you purchase fits your needs.
Generic Business Management Software
Generic Business Management Software is developed by large companies such as SAP, Oracle, and Microsoft, among others. Companies of this ilk target broad customer markets and therefore execute commonly used features very well – i.e. order entry, purchasing, accounting, etc. – regardless of the industry. These modules can be integrated or simply connected – commonly referred to as “companion” software.
A recent post in OpsPro Essential from Aberdeen Group discussed the fact that complex manufacturers – such as equipment and machinery manufacturers – were severely hurt by the shortage of engineers in the hiring market. They mention that engineering job postings stay open more than twice longer than any other employment field. Because of this shortage, salary offers for fresh graduates will be around $80,000. (Hmmm, this is almost twice the amount I made 15 years ago…) As a result of this shortage, manufacturers need to find a way to increase the knowledge of the engineers that they already have on their payroll. As products become increasingly complex, they must make these high skill resources more effective… the question is, how?