1. Regardless of the powerful features, is the ERP system suitable for your current company?

When selecting an ERP system, it is crucial to consider whether it is currently suitable for your company and will remain so in the next three to five years. Implementing an ERP system takes time and effort, and once your colleagues have adapted to the system, changing or undergoing a major upgrade will undoubtedly impact your business operations.

When choosing an ERP system, businesses should consider business strategy, operational systems, management structure, and business processes. An appropriate ERP system should meet the current business needs while having a certain scalability level. It is important to avoid following trends blindly when selecting an ERP system. Many people spend a significant amount of money on an ERP system simply because it is considered "good" by others. However, the actual results may not be as expected because that system may work well for other companies but may not be suitable for yours.

2. How strong is the scalability of this ERP system? How long can my company use it?

Even if the ERP system in front of you is highly suitable for your current company, you should also consider whether it will still be suitable for three, five, or even ten years. Another important aspect of an ERP system is its scalability. Many service providers in the market integrate systems for customers using hard-coded methods. This means certain data input and output parameters are directly written into the system's code, which cannot be easily modified. The problem with this approach is that if any party, whether the customer or the service provider, needs to make changes or add functionalities to the system, it will require time and money to modify the code. In some cases, the cost of modifying the system can even surpass the initial implementation cost.

Therefore, it is essential to consider the scalability of the ERP system and opt for a solution that allows for flexibility and future expansion without excessive reliance on hard-coded elements. This ensures that your company can adapt and grow with the system in the long run.

3. Are there any other peripheral costs associated with ERP besides the setup cost?

The development, installation, and maintenance processes of an ERP system are complex and require not only the vendor's services but also employee involvement in communication and learning. These can be considered as initial costs. However, other peripheral costs associated with ERP systems should be considered during the selection process.

The costs of an ERP system include third-party software fees, development tool expenses, installation costs, software system implementation fees, maintenance costs, enterprise servers, network equipment hardware, databases, personnel training expenses, and more. When considering implementing an ERP system, all these costs add up. Therefore, a good ERP system vendor should provide you with a cost estimate that gives you an idea of the initial investment required to improve operational efficiency in the future.

4. Service quality of ERP system vendors

If you, especially as a newcomer to the world of ERP systems, have to explore the ERP system on your own, such as how to use the system, improve communication with colleagues, and enhance operational efficiency, it goes against the original purpose of using an ERP system. Therefore, a good ERP system vendor should provide appropriate consulting services and training. For example, they should teach employees how to use the system when starting to use it and suggest suitable expansions after using it for several years to improve business efficiency further.

Of course, every industry, every company, and even every employee's situation is different. The four principles mentioned above are just initial guidelines for the first round of screening. If you truly want to know which ERP system is most suitable for your company, contact an experienced sales team and communicate your desired outcomes. With their experience, they can provide you with a suitable ERP system.

If your company is already using an ERP system but the operational efficiency is not as expected, stay tuned for our next discussion on the "Five Reasons to Upgrade or Replace an ERP System."