Is an antiquated ERP bogging down your business?


Is an antiquated ERP bogging down your business?

As it turns out, the oldies aren’t always golden—especially when it comes to antiquated enterprise resource planning (ERP) software. Whether your business is still using a legacy ERP or is simply behind on updates, out-dated operating systems could be holding you back from success.

How do I know if my ERP system is out-dated?

If your ERP system has gone years without an upgrade, you’re likely well behind the times. However, you’re not alone: a study from Forrester revealed that about half of ERP customers are using software that is two to three releases (or about four years) behind the latest version. Unfortunately, this lack of enhancement is putting you squarely behind 50% of your competition—an immense disadvantage.

Alternatively, your business could be running on a highly-customized, obsolete legacy ERP. Created in the eighties and nineties, these systems were generally built on older technologies (including Progress Software, Sage MAS, Microsoft Dynamics GP, DOS, and IBM AS/400), and were tailored to a business’s specific needs. While they were once highly effective, their need for the continued writing of application code made them non-transferrable to modern technologies, leading to their eventual retirement.

Why should I upgrade my old ERP software?

Today’s business landscape is incredibly fluid. Because of this, relying on an old, unadaptable ERP system could be a fatal mistake for your company.

Here’s why you should ditch your old-school ERP software:

1. They are resistant to change

Older ERP solutions (especially those which have been customized) can be inflexible, creating “version locking.” With this, making any updates to the system becomes very difficult.  Whether your internal operations have changed or industry regulations are amended, your antiquated ERP will remain unable to adapt to your needs, leaving you in the dust.

2. They could impede your overall growth

What’s more, an out-dated ERP can obstruct your expansion at the global level. This is especially true for businesses with on-site software: these systems can be difficult—and incredibly expensive—to replicate and mobilize across different countries.

3. They could cause major internal discord

Finally, customized legacy ERPs could cause unwanted siloes across your corporation. Certain departments (which may not have existed at the time of the software’s creation) could be overlooked by your legacy system, causing them to turn to stand-alone, disconnected applications. This can cause breaks in the inter-organizational flow of data, leading to a serious decrease in efficiency.

So, what’s the solution?

As the old adage goes, you can’t teach an old dog new tricks. If your ERP system has lost its bite, it’s time for you to upgrade to a modern, easily adaptable alternative. While this may sound like a frightening, costly endeavor, ERP Advisers is here to help: with our decades of industry experience, we’re well-equipped to provide you with the best fit for your business.