How to Lower Your ERP Implementation Costs

Most companies are facing a number of pressures, thanks to a stormy economic climate. To help control costs and resources, many small to medium businesses (SMBs) are looking at implementing an enterprise resource planning (ERP) system. But you also need to control the costs and the time frame of your ERP implementation. Discover how partnering with a value-added reseller (VAR) can help you with your ERP selection process.

Report Preview 

It’s no secret that wholesale distributors are facing a number of pressures, thanks to a worsening economic climate. This is particularly true for small to medium business (SMB) distributors, who are likely to be hit hard by cash flow difficulties and slow-as-molasses product movement. 

That’s why many SMB distributors are considering the acquisition of an enterprise resource planning (ERP) system to help improve their business processes, as well as their control over costs and resources.

Other benefits of ERP systems for the distribution sector include:
  • reduction in time and costs associated with warranty and returns processing
  • improved communication and coordination among cross-functional teams, including representatives from logistics, production, purchasing, finance, marketing, and research and development (R&D)
  • improved visibility into distribution capacity, inventory, and labor
  • reduction in delivery time and transportation costs through vehicle-routing analysis
However, SMB distributors are understandably reluctant to embark on an enterprise software deployment without some assurance that they can contain both the costs and the time frame of implementation. And in difficult economic times, they’re particularly concerned about the ability to be flexible about changing business requirements, on short notice.

Let’s face it: there’s no such thing as a simple ERP implementation. And unless you have deep expertise in enterprise-scale software implementations, you’re well advised to get some outside help.

We’ll look at ways you can squeeze value out of your ERP selection process by partnering with a value-added reseller (VAR) for the implementation process, and examine one VAR’s approach to delivering that value.

VARs and the ERP Community

First, what a VAR is not:

A VAR is not an independent software vendor (ISV). As the developer and vendor of an enterprise software application, an ISV is an expert when it comes to the technical functionality of that software application. That doesn’t mean the ISV is an expert in determining how your business processes ought to change in order to adapt to the new software.

A VAR is not a system integrator. System integrators ensure that the technical pieces of multiple systems function cohesively. They are naturally invaluable in a troubleshooting role. However, they are not experts when it comes to thinking strategically on your behalf through all the implications of the changes your business will face in adopting an ERP system.

And a VAR is not a consulting service. The experience and expertise of consultants can help you save time and resources during your software selection and implementation. Consultants can also guide you through the change management process of software implementation.

However, at certain points during implementation, you’ll also need to collaborate closely with a partner who is an expert in the technical aspects of the new software and sensitive to your strategic business needs.

So what is a VAR? Enterprise software VARs add features, functionality, or modules to existing enterprise applications, and sell them as integrated systems. VARs can also provide value through such services as customization, integration, implementation, application or technical consulting, training, and support.

Read the full report >>

Featured Software Research:

Total Cost of Goods Shipped: A Guide to Better Sourcing Decisions

To increase profits, companies are searching for ways to reduce costs or sell more at the highest possible price. Many companies are turning to imported goods and materials due to lower manufacturing costs, but this can involve many hidden costs. In this paper, PM War Stories and Pronto Software examines how to effectively track the total cost of goods shipped to aid executives in making faster, better sourcing decisions. Read More

The 8 Ways Outdated ERP Damages Your Business

In today's market, enterprise resource planning (ERP) systems need to adapt quickly to changing conditions. Download this white paper to find out how outdated systems drain your IT budget, how to ensure that your ERP systems keep pace with the demands of a global mobile business, and four reasons why companies are turning to the cloud to keep up. Read More

You may also be interested in these related documents:

Implementation Tips from the Trenches

  • Source: IQMS
  • Written By:
  • Published:
The successful and timely implementation of a new enterprise resource planning (ERP) solution is not a process to be taken lightly. A highly-skilled team of application specialists has gathered together in this whitepaper key advice and best practices for your implementation process. Learn how to keep your implementation on time and on budget from specialists who triumph every day on the implementation front lines. Read More

How to Start Down the ERP Selection Path

A decade ago, about 70 percent of major software initiatives failed, and nearly a quarter were cancelled. Today, with better data management, more flexible applications, and easier launches, there are fewer failed enterprise resource planning (ERP) programs. But some companies still manage to snatch defeat from the jaws of victory. Discover seven ERP selection rules to follow before you even start looking for a vendor. Read More

ERP Systems Buyer’s Guide

The implementation of an enterprise resource planning (ERP) system to automate business processes is a strategic investment. Buying the right system and choosing the best vendor for you are critical to a successful ERP implementation. As a decision maker, you need to quickly identify your ERP requirements, effectively communicate these needs to vendors, and successfully compare various product alternatives. Learn how. Read More
comments powered by Disqus