IndustriesAbout usEvents
Back

How to be successful with your ERP selection?

Share

The Essentials

  • Successful ERP selection follows 5 steps: business context analysis, solutions and implementation partner identification, tender evaluation, demonstration preparation, and contract review.
  • Choosing the right implementation partner demands professionalism, experience, industry knowledge, and professional resource capacity.
  • A well-designed ERP strategy enables long-term cost savings despite initial complexity and maintenance expenses.
  • Seek legal advice before signing the supplier contract to protect yourself.

 

The decision to choose an enterprise resource planning (ERP) system is of paramount importance to a company's digital strategy. Indeed, the ERP selection process is able to encompass almost all the functionalities of a company, making it a crucial aspect of the overall business strategy: finance management, supply chain management, human resources, marketing and sales, project management, production, customer management and even business intelligence.

Therefore, implementing a well-designed strategy using an ERP software may result in initial complexity and maintenance expenses, but it enables long-term cost savings and meets selection criteria.

It is up to the company to make an informed decision about the new systems and solutions that will be integrated into operations. When it comes to supply chain management, the warehouse distribution center is a critical component, and choosing the right ERP system plays a vital role in optimizing this aspect of the business.

To make this selection, a comprehensive approach is necessary, and it must be in line with your expertise and your long-term growth vision.

1. Understand your business context

The first step in choosing the ERP selection criteria consists of an in-depth analysis of the business processes of your company's key departments, identifying the main issues and understanding the long-term growth strategy. You must translate them into functional requirements and build a specification that will be an integral part of the tender documents that will be presented to potential suppliers.

2. Identify the right solutions and potential implementation partners

During this step, it is important to select the potential solutions that will be considered in the bidding process, such as improving warehouse operations for your storage site. It is also important to learn about the different solutions that are available on the market and identify the one that meets the best practices of your industry.

In addition to the suitability of the modules and functional requirements, it is important to question the language used by the system, the support offered by the editor or supplier, the number and types of customers served by the solution and also the maturity of the solution.

In addition, many solutions are often implemented by integration partners, who will take care of the entire solution implementation. It is also important to choose the right partner based on specific criteria, such as:

  • professionalism,
  • experience,
  • knowledge of your industry,
  • capacity in terms of professional resources.

3. Evaluate the responses to the call for tenders

The suppliers contacted will have to respond in detail to the documents sent to them during the call for tenders, and this, within the prescribed deadlines. When analyzing the responses received, it is important to look at your plan’s qualitative criteria, such as the respect of deadlines or the professionalism demonstrated by the supplier.

Moreover, an in-depth quantitative analysis of the adequacy of the system's functionalities must be performed with your functional requirements. Finally, the solution's capacity to meet them without customization or recourse to third-party solutions.

4. Prepare for demonstrations

Demonstrating the solutions will allow you to familiarize yourself with the system's functionalities, including the technical requirements and user interface. To properly project yourself in the use of the solution, it is important to build a demonstration scenario that will reflect your business processes.

5. Review your supplier contract

When the final decision is made, it is important to analyze each component of your supplier contract and to clarify all the elements that may involve risks for you. Do not hesitate to seek legal advice to protect yourself.

Get support from an expert

Being accompanied by a specialized consultant from the GCL logistics consulting team will allow you to be guided properly throughout the process. You can benefit from the precious advice of an expert and delegating the management of the selection project.

Similar publications
4200 Saint-Laurent BLVD
Suite 900, Montreal, QC H2W 2R2
Canada
Follow us
Stay informed with our newsletter

Autorisation(Required)
Hidden
Hidden
Hidden
This field is for validation purposes and should be left unchanged.

Privacy policy - All rights reserved