Software is one of the most important and costly investments your company will make. Of particular importance is that software that will impact all levels of your business, like ERP (Enterprise Resource Planning). There are continuous advancements not only in ERP technology, which is rapidly changing, but also in consumer behaviour, competition, and the market. Keeping up with current and emerging trends in ERP is of vital importance.
When you are looking at implementing a new system or upgrading an existing it’s important to do your research. Additionally, you should look not only at what is currently available but also at current and emerging trends. When you know where trends are heading, you’ll have a better idea of what will suit your business needs.
To save you the effort, we researched some of the latest trends in ERP Software.
As with most software, ERP has been moving away from on-premises solutions. The rise of remote working has only increased that transition. It’s easy to implement, is low cost and significantly, allows for increased collaboration. We have previously written a blog on the benefits of Cloud-based ERP which you can read for more detail here.
The IoT is put simply, the way machines connect and talk to each other. It’s being used a lot in manufacturing or in businesses that use automated data collection. For example, in manufacturing, placing a sensor on a machine can send updates in real time to the ERP software. Benefits include:
Two-tier ERP is when companies run two merged solutions at the same time. It’s usually used by large businesses with multiple locations or subsidiaries. Headquarters will use Tier 1, a customised solution with the functionality to run a large business. Subsidiaries and smaller locations will use Tier 2, which is a less resource-intensive solution. Data is exchanged between the two systems, allowing for a single source of truth.
Some companies are integrating e-commerce with their ERP Software. As a result, data only has to be entered into a system once as there is information flow between the two systems. This means that inventory will update in two places: at the back end when the product is sold on your site and concurrently, at the front end where it is added to your inventory. It means inventory and pricing are available to staff and customers in real time.
A basic out-of-the-box ERP solution will work perfectly well for the needs of some businesses. However, others require a high degree of specificity. Customisation can be expensive, so there are businesses turning to industry specific products. A few fields working with specific solutions include:
AI allows ERP to take integration to the next level. It analyses large amounts of data, makes predictions, and suggests next steps. It uses machine learning and natural language interfaces to do so. AI improves ERP in many ways including offering advanced analytics, warehouse management, interdepartmental processes and more.
More companies are likely to continue toward Cloud migration because of the advantages of speed and agility. Those that are already there will be looking for ways to make more use of it. Consequently, it’s likely that companies will continue to optimize their ERP software for remote work. This should include ensuring remote access, remote training and increased automation of workflows. We might also see the expansion of ERP supply chain management to help protect against supply chain disruptions and other changes in economic conditions.
If you would like to talk to one of our ERP experts about how you can keep up with the changing face of ERP then please get in touch today.