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Monday, January 4, 2010

ERP - Fact or Fiction?

ERP is bound to have its fair share of myths and misconceptions. Integration of ERP is an especially grey area. Most small business owners think of ERP in terms of old communication principles, and think of ERP as no more than an upgraded version of its old system.

Some ERP Myths are discussed below.

1) Information Transfer Is Unidirectional
Information can flow in both directions, either from or to the ERP. If the ERP is integrated with the site, it will have a bi-directional information flow.

2) ERP Integration Is All About Copying Data
Since older methods of integration follow a system of copying a tag and its profile, business owners think modern ERP system can be integrated the same way. However, there is more to ERP integration, since the business related-date that the ERP handles is very different from what the site handles.

3) ERP Can Come Up With Standardized Answers All the Time
Many people think that queries related to a business process follow a set pattern, as do their answers. They cannot be more wrong. Even if the system knows the right question, the right answer may depend on a number of factors.

4) You Must Use Only the Latest ERP Technology
Although the latest ERP integration technologies offer many advantages to small business owners, they have their own share of problems. The biggest problem is the integration of new technology to the old. In some systems, you will find that retaining older applications may be more useful than overhauling it completely. Financially, it might be beneficial to the organization. An experianced ERP Consultant can assist you in making that decision.

5) ERP to Site Integration Needs To Be Total
The ERP system deals with business process, while the site system deals with manufacturing and procurement issues. While the site capacity fluctuates, the ERP capacity remains stable.

6) Data Security Is Compromised When You Integrate Plant to ERP
Nothing can be farther from the truth. Many people are concerned about what happens to the data that is not on site. ERP programmers have spent a lot of time and money on making the system as foolproof as possible, so even data that is not protected by elaborate passwords are not easily accessible to unauthorized personnel. Just make sure that your servers are properly configured with appropriate security measures.

7) Installing ERP System Means That You Can Keep Fewer IT Staff
The ERP system is not meant to replace your IT staff, it is there to help them with day-to-day problems related to maintenance and troubleshooting. In some cases, IT Staff will need to be increased to maintain the database, write and create reports, and fullfil special programming needs.

Now that you the answers to some common questions regarding ERP, you can take a better decision regarding the kind of ERP system you need. If you need help in deciding which the best ERP is for you, you can contact MCDA Cre8tive Consulting Group, Inc and one of our consultants will put together a proposal for your enterprise.

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MCDA Cre8tive Consulting Group, Inc

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