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5 Ways to Sabotage Your ERP Software Selection Process


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Obviously, the first step toward a successful ERP project is selecting the right solution for your business.  After implementing almost 2000 ERP solutions for businesses since 1984, we’ve seen the dramatic and long-lasting effects that selecting the wrong software solution can have on an organization.  From our experience, we’ve compiled a list of the five biggest mistakes you should avoid when deciding on an ERP software solution.

Think price before fit

When the price-tag becomes your focal point, it can blind you to the true benefits of the solution.  If you rule out software based on price alone, you may be eliminating solutions that would save you time and costs over the long-term in order to save some money in the short term.  Plus, if you select the wrong solution because you are only looking at price, you can end up replacing your software, costing you more in the long run.

Hire outside consultants

No one knows your business the way you do and no one knows ERP solutions and the way they work in the real-world the way the partners who implement them do.  Often the benefits of bringing in an outside consultant do not outweigh the costs.  An outside consultant will need to learn the intricacies of your business in order to help you select the solution, but then the software partner will also have to learn those same processes and requirements in order to customize and implement the solution to fit your needs.  The added step of hiring the outside consultants can add time and cost to the project as well as put you at risk for missed information.

Fail to consider who you are buying from

ERP software is intended to be a long-term solution for your business and it follows that you will have a long-term relationship with your software vendor and your software partner. Therefore, you need to consider the background of the organizations that you are working with and how their business will affect yours.  By selecting a solution that was created by a creditable vendor with a strong history and choosing a partner with integrity and expertise in your industry, you can feel more secure that your ERP solution and your business will have the support they need long into the future.

Focus on features not value

If you go into your software selection process with a checklist of features that you think you want, you can easily overlook the total value of the solution.  The right ERP solution for your business will include functionality that enables enhanced reporting and business intelligence, leverage other investments you have already made in technology, and deliver a timely return on your investment.  All of these value-added elements cannot be attributed to a single feature in an ERP solution.  That is why it is important to look beyond the features to the benefits that the total solution can provide.

Get bogged down in time-wasting RFPs


Many organizations think that the best way to find a solution that fits their business requirements is to send out a request for proposals (RFP).  They then use the responses to the RFP to conduct a side-by-side comparison of solutions.  However, the process of developing the RFP and reviewing the responses can be very time consuming and costly.  Additionally, a partner can give you a much more effective recommendation on a solution once they have spoken to people in several roles in your organization and seen your business processes in action than they ever could from gathering some basic background information off of sheet of paper.

For assistance in avoiding these pitfalls and starting your ERP software selection process on the right foot, begin with business strategy assessment today!

By Socius, an ERP Software Partner in Ohio, California, and Kansas City

One Response to “5 Ways to Sabotage Your ERP Software Selection Process”

  1. Nancy says:

    As a salesperson for Dynamics GP I have run across all of these scenarios. Your article should be read by all prospective customers! Thanks.