Enterprise resource planning (ERP) has seen meaningful growth and sophisticated advancements in recent years, especially given the new obstacles we face. Looking back to 2020, companies all over the world began getting used to long-term remote working environments, creating the need for breakthrough technologies to be developed quickly so business applications could fill the gaps.
Business software is a significant resource investment for most companies, so it’s imperative to understand everything currently available in the software market. Deciding on an ERP and accounting solution is a major business decision that will impact every facet of your business, including production, research and development, purchasing, marketing and sales, not to mention human resources and accounting and finance departments. The departments stand to benefit immensely from modern trends in ERP software.
With 2021 in full swing, we uncover which new and impactful trends are gathering steam and influencing buying decisions. Between the cloud and AI acceleration, niche ERP solutions, mobile ERP and more, if you’re in the market for a new ERP solution, it’s time to look ahead and see what’s out there.
Cloud ERP for accessibility and flexibility
Most vendors now offer cloud-hosted ERP systems because they are more accessible to the customer without expensive maintenance or upgrade fees. Businesses that operate on-premise ERPs realize their boundaries of flexibility and modernization, not to mention the expense. As companies struggle to justify the on-premise implementation disruption, startup fees as well as hardware and IT management costs, cloud adoption will continue to accelerate in 2021. Globally, cloud computing is expected to increase from $371.4 billion in 2020 to a massive $832.1 billion by 2025. Companies on the verge of purchasing on-premise ERP prior to the pandemic, which saw sudden shutdowns of businesses, are taking a closer look at sophisticated cloud ERP adoption since the system would be operating offsite from their vendor’s cloud platform and allows them to access their operations over the internet.
Industry-specific ERP for a tailored experience
Companies are increasingly looking for tailored solutions to get industry-specific benefits and avoid unnecessary modifications. The growing appetite for an industry-focused ERP system shows that the one-size-fits-all approach to ERP systems is no longer fitting the bill in favor of better and more extensive user-friendly interfaces with seamless integration of breakthrough technologies such as Internet of Things (IoT) and advanced analytics. Companies want to future-proof their business with the freedom to choose what’s right and when it’s right for their business.
Mobile ERP for on-the-go functionality
The demand for mobile ERP platforms is growing as more businesses are driven from mobile devices, including phones and tablets, instead of at the office from computers. The pandemic proved a greater need for flexibility without requiring a large investment. An ERP system installed and accessible from a mobile device makes critical business data available on-the-go, giving employees and teams real-time, accurate information from user-friendly dashboards to complete jobs at home or in the field. The ongoing trend of remote collaboration with anywhere-anytime accessibility is the new normal and expected to continue well-beyond 2021.
AI ERP / iERP for improved processes, better automation
An ERP system continues to set the framework for an organization’s digital transformation. iERP systems are embedded with emerging technologies like AI, IoT, process automation and advanced analytics that help establish new and improved processes, better business models, and streamlined workflows on a more consumer-focused path. With capabilities to bring new possibilities, AI and machine learning (ML) technology has recently begun driving the market. iERP will become known for reducing errors and data load time, creating new workflows, automating routine tasks and transforming complex, unstructured data into actionable insights. Even with iERP trending in 2021 and beyond, companies still have an opportunity to become early adopters of tech like natural language processing and machine learning to give them a competitive advantage before it becomes the norm.
Two-tier ERP for multi-location flexibility
Two-tier ERP solutions are a booming trend, enabling businesses to customize system functionality and deployment options as needed across their entire footprint. Companies traditionally choose a single ERP system and deployment for the whole operation irrespective of the number of locations or subsidiaries and their needs. Imposing a central model on multi-location subsidiaries of global and regional companies creates implementation problems and more expenses to execute and sustain. A two-tier system gives organizations the ability to retain existing ERP software investments at the top from Tier 1. At the same time, branch subsidiaries run on Tier 2, specialized ERP from the cloud. Both tiers allow seamless data exchange and the flexibility to pivot quickly depending on the market.
Ready for the future
These trends indicate more buyers moving to the cloud, opting for industry specific, mobile ERP systems as vendors offer advanced technologies integrated into their ERPs. For a successful implementation, ERP prospective buyers should conduct thorough research on the ERP market today to understand which solutions meet their needs, cater to their niche and offer modern technology to future-proof their business.
Sage Intacct gives you the best functionality to meet your company needs and run your business ahead of the competition from the best solution on the market. Intacct excels at helping you with accounting and finance, inventory and business management, CRM, ecommerce, administration, payroll, point of sale, tax management and more.,Strengthen your business with best-in-class solutions for every business function
With Sage Intacct, you get peace of mind with easy and seamless third party integrations, increased efficiency and visibility from a single source of truth. If you’re ready to compare ERP solutions, contact one of our experts specializing in your industry to get you the best system to help your company succeed beyond 2021.