Your ERP
The pressure to migrate to newer ERP systems and cloud-based applications can be heavy, particularly if you’re using perceived “legacy” platforms like the IBM i server. However, the urge to replace one technology with another should be resisted, especially if your business challenges aren’t rooted in technology.
That’s the gist of a conversation with Eric Kimberling, the founder and managing director of Panorama Consulting Solutions, which functions as a neutral third-party adviser for customers’ ERP-related decisions. Panorama recently published a report poking holes in the widely held notion that newer ERP and cloud systems are better for business.
“First and foremost, it comes down to cost and risk,” Kimberling tells IT Jungle. “For a lot of companies, they may find that getting more out of their current system, or upgrading or enhancing the system they already have, is potentially less costly and less risky than if they to do a full-blown replacement.”
That doesn’t mean you should never abandon your old ERP system. In the battle for business supremacy, better technology can play an important role, especially if your technology dates back to the Carter Administration. “Lower cost doesn’t necessarily mean much if it turns out you have a big opportunity cost of not replacing your systems and the potential benefits that go along with that,” Kimberling acknowledges.
But companies should be careful not to ascribe too much worth to the power of technology to impact the business when other critical aspects are overlooked, out of whack, or otherwise misaligned.
“It’s important to not get too hung up or go in with a pre-conceived idea that you need to replace your current system, because you may find that the lower cost and lower risk option delivers more ROI,” he says. “Everybody is looking for that silver bullet as a way to just use technology to fix all our problems, because it’s a lot easier, it’s more predictable than the human and process side of things. If we could find a silver bullet technology, that’d be great, but so far it doesn’t seem to exist.”
Cloud Lures
Cloud-based applications, including cloud-based ERP, are hot. There’s no denying that cloud technology is tempting. If you just subscribe to a cloud provider’s service, the thinking goes, you can leverage the same capabilities and access the same pool of resources that the most successful and trend-setting companies are accessing.
The post Squeeze Your ERP A Little Harder Before Ditching It appeared first on Statii News.
source http://news.statii.co.uk/squeeze-your-erp-a-little-harder-before-ditching-it/
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