About ten years ago, on-premise ERP systems were the norm, which meant long, drawn out and disappointing ERP implementations were also the norm. Thanks to this, about three quarters of business leaders are not happy with their ERP system, but they are not willing to make a change either. On-premise ERP is not the only option anymore. Cloud systems have quicker implementation times, are easily upgraded and are better at giving real-time data. So how do you know it’s time to upgrade to cloud ERP?
Your ERP Expiration Date Has Passed
ERP systems usually last for about 10 years, the life can be even shorter if you haven’t been able to take the time and money to upgrade the system. If you have passed your ERP’s life date, it might be time to consider an upgrade to cloud ERP. Since cloud ERP is hosted by the vendor, it is easier to upgrade the system regularly and won’t take a lot of help from IT.
All the End Users are Annoyed
Your ERP usability is no time to ignore employee complaints. If all the end users are complaining about how the system works, this is a sign that it has reached the end of its life. If the usability is difficult, the system probably isn’t doing its job efficiently either, which means it is time to upgrade to cloud ERP.
Reporting is Difficult
If you start to feel like you’re doing work around to get the information you need, then you ERP system is not doing the job it needs to be doing. ERP is supposed to make your life easier, not make you jump through hoops.
Maintenance is Costly
Working with an aging system may mean that you’re paying way too much in maintenance. Whether this is paying IT to constantly be working with the system, end users wasting time doing work arounds or fees and service charges to the older system. An upgrade to cloud ERP will significantly reduce maintenance fees, by about 55 percent, since the vendor is hosting the system in the cloud.
You’ve Grown Too Big
If you bought your ERP system a decade ago, chances are your business has changed in one way or another. If you have grown at all, the system you purchased may not fit your needs anymore. In fact, an older ERP system that is difficult to use might actually be hindering your ability to grow.
Just because the same system has worked for you over the last decade, doesn’t it’s not time to make the switch now. If you have gotten stuck in your work around ways, it’s time to look at an upgrade to cloud ERP. There is less spending, lower costs and a higher ROI since maintenance fees and lengthy upgrades are a thing of the past.
8 TIPS FOR ERP EVALUATION
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