ERP systems have been deployed for the purpose of reducing costs through efficient management of materials and processes. ERP systems were built for just few business needs like order management, inventory control and account payables in 1990s but now things have changed and ERP systems of today are fully capable of running complete businesses successfully.
Main Benefits
Main benefit which you get from a consolidated ERP strategy is that you can ensure that data is not get duplicated between the departments and processes can be linked even after separation which enables efficient enterprise wide optimization and planning. Suppliers, partners and facilities are dispersed geographically nowadays and supply and demand needs are spread over increasingly complex networks nowadays and that is the reason old top down orientation of traditional ERPs don’t really prove much beneficial.
Complex business environment of today involves quick change and innovation while risk and opportunity are the dynamics elements which are evolving at a great pace. Competitive landscape demands an ERP which not only support executive agenda but also satisfy the needs of individuals no matter whether they exist in an organization value network. Companies can respond efficiently and mobilize quickly to events wherever they happen. ERP needs to get evolved into an adaptive ERP.
Why Adaptive ERP is Important?
In a global marketplace where speed innovation and change are accelerating challenges, expectations from ERPs have also changed. It is not only about cutting costs but ERP must also enable businesses to grow by taking complete advantage of the new opportunities when they emerge. Competition can come from anywhere like disruptive technologies and unfamiliar players and this tough competition can change game in short span of time. All the companies need ERP systems which can adapt to the dynamic and unique business environments to drive growth and control the increasing costs.
Businesses want to try new things which involve less risk, best ideas and outcomes and they want to change the way people work with less information by providing them sufficient information. ERP system of the modern world must be approachable by all employees, changeable to prevent loss of time and must have the ability to integrate with other systems. ERP needs to get adapted to the business needs at a quick pace or it needs to get out of the way if it cannot fulfill the objectives of the business.