Business must constantly plan for the future. In the world of ERPs, the future is now. For over 25 years companies have implemented and benefited from traditional ERP solutions. Your favorite t-shirt might be 25 years old but it is highly unlikely your employing decades-old technology.
An ERP is an integral part of your business. Why doesn’t it update as often as our computers, cell phones, tablets and TVs? The simple answer is cost and time. A traditional ERP is big, rigid and expensive…really expensive. Naturally, you are not going to abandon your current traditional ERP tomorrow but it would be beneficial to explore transitioning to a Postmodern ERP.
The Primary Difference
A traditional ERP is a single large platform that covers every aspect of a company. A postmodern ERP has a core ERP that covers the most important business functions but unique parts of your business are covered by specialized software applications.
A traditional ERP could be compared to buying a new car. The dealer will let you pick the color, leather or cloth interior and a few other options. However, your choices are limited to what he has on the lot or the manufacturer has in production.
Now imagine you could design your own car. Sports car styling and power with the efficiency of a hybrid and the highest safety ratings. Then a few years later you decide an SUV is more practical so the dealer simply swaps everything over to a new body style. That is a postmodern ERP. A core ERP with almost unlimited flexibility.
For example, with postmodern, the core ERP may be responsible for financials, procurement, and managing orders, while unique solutions may be used for quality management or retail. Then a few years down the road your retail operation expands to include a web presence or international sales. You quickly and easily change that part of the ERP.
As is evident, a postmodern ERP is much more flexible and agile than its traditional counterpart. This is partially due to its ability to integrate unique solutions as needed. Additionally, software can be changed and/or upgraded much more quickly. Being flexible is crucial in a business world that is always changing, particularly if your business is growing quickly.
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Vendors and Strategies
With postmodern ERP software, you will most likely have to manage multiple vendor strategies. On the surface it would appear to be a more complicated option than traditional ERP software, where you deal with a single vendor. However, before selecting any ERP it is wise to employ an ERP consultant. A reputable ERP Consulting firm like Panorama Consulting Solutions can manage it for you. This makes postmodern ERPs no more complicated than a traditional ERP.
Utilizing postmodern ERP software allows for a level of customization that is simply not available with traditional ERP software. You are not locked into trying to make an off-the-shelf solution work or forced to spend large amounts of money on small custom changes. You have the opportunity to create software and hardware solutions that are precisely suited to the needs of your business and its ever-changing requirements. You gain a competitive edge over your competition and greater profit margin.
The Use of Your Business’s IT Resources
The IT department is probably spending a good bit of time maintaining your traditional ERP. However, when it comes to postmodern ERP, the system is often based on site and in the cloud. This lightens the load on your IT department. Now they can focus on more on differentiation and innovation.
Continuous Deployment of Upgrades
Postmodern ERP software allows for the continuous deployment of upgrades without the need for any additional work on your part. Upgrades made to traditional ERP software systems often require great expense in software and/or hardware. A postmodern ERP can often be upgrade only where needed. By combining on-premise and cloud-based software often upgrades occur continuously and seamlessly without large capital expenses. The benefit is constant improved performance and the growth of your business.