Enterprise Resource Planning (ERP) is a software system that help run an entire business. These software support automation and processes in finance, human resources, manufacturing, supply chain, services, procurement, and more. They play a pivotal role in streamlining business processes, enhancing efficiency, and driving growth. However, the decision to implement or switch ERP systems is not without significant risks. This article explores five significant ERP implementation risks common to businesses. We will delve into why, despite these risks, adding or switching ERP systems can be worth the investment.
Risk 1: Data Migration Challenges
One of the primary risks during an ERP system switch is the complex task of migrating data from the old system to the new one. Data inconsistencies, errors, or loss can occur, leading to disruptions in business operations and potential data-related issues. Significant time is required to test the data accuracy and often leads to time and cost overruns.
The INFAWORK Advantage is our easy, free, and fast onboarding process. In less than 90 minutes you will be able to add or import your customers, contacts, vendors, products, employees, open invoices, open bills, fixed assets, and add prior financial statements to help with year over performance comparison and budgeting. While some companies desire to have every prior transaction brought over from your legacy system, trust us that this is a giant hassle and not worth the significant time, cost, and aggravation it would take.
Risk 2: Integration Issues
ERP systems are deeply integrated into various business functions. Switching to a new system may pose challenges in integrating with existing software, leading to disruptions in communication between different departments and affecting overall business coherence. Not only do these integrations add to the cost and time required to complete a successful ERP implementation, the time required by employees can lead to frustration, business declines, poor customer satisfaction, and negatively impact company morale.
The INFAWORK Advantage is that we are removing the disparate software sprawl that is so prevalent in businesses of all sizes. Do you know how many applications the average small business uses to run their business? Twelve. By consolidating these into a single comprehensive toolbox, INFAWORK simplifies the integration headaches that come with switching ERP systems. Trying to run separate CRMs, Accounting, HR, Production software will inevitably lead to department silos, duplicate data entry, manual errors, API cost and management, to name a few. The INFAWORK Advantage is a single, all-in-one, solution.
Risk 3: Employee Resistance and Training
Change is scary and hard. Employees accustomed to the legacy software or manual processes will likely resist change. Fearing disruptions to their daily routines, employees will resist transitioning to any new solution. Early adopters and power users, active communication and a two-way feedback loop, and adequate training are all crucial ingredients to help mitigate this risk. A smooth transition will result in minimizing productivity and employee morale loss.
The INFAWORK Advantage is simplicity. Our team has used almost every ERP on the market and we designed INFAWORK for the non-technical team member. Our intuitive user interface and streamlined user experience is easy to learn. We provide step by step help articles and videos and are ready to chat anytime there is a question. The days of complicated, hard to understand and even harder to learn software is over.
Risk 4: Downtime and Business Disruption
Implementing a new ERP system often requires downtime for installation, data migration, and testing. Extended downtime can disrupt business operations, impacting customer satisfaction and revenue streams. Having to run parallel systems create parallel work for team members, and additional implementation and operational cost for a business. The focus of a business must be on its customers, its people, and its products. A ERP should support those three tenets. However, too often, users feel like they are supporting the ERP.
The INFAWORK Advantage can have your company up and running in less than 90 minutes. Sign up for free, onboarding your company, and get to work! That’s it! No third party consultants, no integration team meetings, and definitely no three month implementation timelines that inevitably stretch out to six months, twelve months, or longer. Put trust to work with INFAWORK today.
Risk 5: Cost Overruns
ERP system transitions can be expensive, and unforeseen challenges may lead to cost overruns. Budgeting errors or underestimating the resources required for a successful transition can strain financial resources. It is important to find other companies that have implemented the ERP you are considering and ask them if they hit their implementation budget. More time than not, these budgets are surpassed by 25%, 50%, 100%! If you are considering engaging a 3rd party consultant or software reseller to manage your implementation, those figures can be even higher.
The INFAWORK Advantage is 100% transparent and upfront pricing. Transitioning to INFAWORK is absolutely free. There is no cost to implement. Move your data over, try it for 30 days, and quit if you don’t absolutely love the simplicity and efficiency that INFAWORK can bring to your business and your team.
Now that we’ve mitigated the risks of switching to INFAWORK, lets look at why switching to INFAWORK is totally worth it!:
- Technological Advancements: INFAWORK comes with advanced features, improved security measures, and better scalability. Switching will allows your businesses to leverage the latest technologies, enhancing overall performance.
- Improved Efficiency and Productivity: Upgrading to INFAWORK will lead to streamlined processes and increased productivity. Automation features, real-time reporting, and enhanced analytics contribute to better decision-making and operational efficiency.
- Scalability and Flexibility: As a growing business, is your technical infrastructure keeping up with your growth? Switching to INFAWORK provides a more scalable and flexible system not only for where your business is today, but the vision you have for tomorrow. Switch now to give your business the best platform for growth and evolution.
- Competitive Edge: Adopting a state-of-the-art ERP system like INFAWORK can give your business a competitive edge in the market. Improved capabilities, faster response times, and enhanced customer service contribute to a stronger market position.
The INFAWORK Advantage
While there are risks associated with switching ERP systems, we have worked hard to address those risks through the INFAWORK advantage and the potential benefits of switching to INFAWORK far outweigh them. As a business owner, you must carefully assess your needs and determine if INFAWORK is the right system for you. The entire team at INFAWORK is standing by not only to make sure your transition is successful, but your business is successful. Our goal is to join your team as your most trusted team member. We look forward to earning your business and your trust.
Put trust to work with INFAWORK.