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Why invest in a new ERP system?

In our experience, companies invest in enterprise solutions to support one of three objectives: to Run the Business, Grow the Business, or Transform the Business.

This chart provides a list of characteristics that satisfies each corporate objective. The key to any systems investment is to understand where the company plans on being in the years ahead. The concept of a Digital Transformation where a company goes from paper-based manual procedures to a fully paper-less environment sounds cool but is it right for every company . . . of course not.

If a company wishes to continue to Run the Business with minimal change, we would recommend the company continue to support the existing legacy systems, knowing its limitations, and apply third-party solutions where feasible to fulfill short-term needs. These needs might be departmental as opposed to enterprise-wide.

If the company is on a track to Grow the Business the systems strategy will be different. This change in direction might require the introduction of a new enterprise system to support the planned growth. For instance, if a company chooses to move in the direction of selling its products via eCommerce we would suggest that a new systems platform will be needed to satisfy that objective.

More dramatically if there are plans to Transform the Business, a more dramatic approach might we warranted via the introduction of a completely new infrastructure and enterprise software.

Before embarking upon any path we recommend taking the time and effort to understand and document your current environment, the various levels of existing and required integration, as well as the current costs to deliver IT services today.

Rubenstein / Justman Management Consultants can quickly assist you in understanding your existing technology and working with you to develop a new technology roadmap based upon the business strategy of the company. If it is decided that new systems are warranted, we will assist in identifying the right solutions at the right price!

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