When it comes to predicting the future of ERP for 2020 and over, most consultants and vendors will talk heavy technical jargon to throw you off the track. But the reality is that the future is now, and there is a technological shift coming as the ERP software industry moves forward.
The main reason why cloud-based software has gained significant attention over the years is because of the efficient operational capabilities it offers. No matter what your business reason might be, from centralizing main business processes for information or just simplifying the IT structural system. Cloud ERP is a game-changer in the industry.
According to recent researches and 2019 ERP trends compiled by Accenture, 47% of companies already are using an on-location ERP and use APIs to extend their cloud access. Thus, it can easily be said that digital transformation is the key to modern business, and the cloud is the newest innovation in that realm. The technology has so far advanced that it has become a one-stop business solution for providing shared network, storage, and servers with minimal input or effort. Cloud-based ERP is capable of integrations with more efficient technologies as a basis of digital transformation to drive business growth and success.
Current digital transformation and ERP industry standpoints
Right now, the ERP industry is going through a tremulous shift for the next few years. Project navigation teams are working towards cloud adoption, dealing with deficiencies of flagship ERP systems and the customer pressure that vendors feel all the time. The vendors continuously think that they need to exceed expectations because their customers are big corporations doubling down their biases. Many industry players today understand that there is a lot of money at stake. They know that gone are the days when vendors used to enjoy reeling in big industry players. Now, these industry giants manipulate these vendors according to their own will and needs. With new technological advancements, it can be a tough time for vendors to keep up with the current industry demands.
Cloud ERP Solutions 2020
Here are the top 10 predictive ERP solutions for the year 2020 and beyond.
1. Adoption of Cloud Data Storage
It can be seen that customers are big on adopting cloud at scale now. The shift of embracing these new technological changes is far more due to the increased customer demands regarding more efficient technology than about the vendors pressurizing them. The shift has come mainly because the businesses today understand that cloud storage is for their own betterment. Vendors selling these solutions may only make the profit of developing, selling and implementing these technologies. But the corporations doing so would reap the long-term benefits of these upgradable technologies.
2. Flagship ERP software
There are many technical shortcomings of flagship ERP software. Both vendors and customers are quickly rushing towards cloud ERP without realizing that many flagship products are not yet ready to take over a bigger corporate data set as of yet. Organizations need to have an objective perspective when investing money and not start running in the race for acquiring the newest technology. It should be one of the first steps taken towards selecting an ERP software solution. Because in the near future, when these flagship technological advances would be well implemented, the software needs to be optimized for more significant new upgrades.
3. Customization of ERP systems
It is quite a dilemma for the customers when it comes to customization of ERP systems. It is like choosing the lesser of two evils as you are given a choice to either go for half-baked software or to get it customized according to your needs. Many people would say that getting it customized sound better and can be more ideal. However, the truth is far from it. Customizing ERP, according to your business needs, robs you of the chance of having the full software benefits that come with taking the complete package. Therefore, the companies are stuck with a hard choice.
4. Choosing the best system
Just as the customers want the most advanced technology to encompass their business dealings, they also desire the best of the lot in software solutions to fill in the gaps left by preexisting ERP vendor names like SAP, Oracle, and Microsoft. It is no longer the time where a single solution is considered a one-stop for all ERP systems. Despite all the big names in the vendor industry trying to push the same stale concept for days, customer corporations don’t buy the idea. They want updated systems that can easily undertake their big data needs and expand to make a place for even more necessary changes that would be made with time.
5. Prioritizing skills and resources
The newest current trend shift would see nothing more than a high increase in the demand for IT employee training to enhance skills and resources. With companies quickly adapting more modern technological changes, the employees need to be up to date with the advances too. Companies usually focus too much on acquiring new technology than practicing it with their employee teams. It is also one of the main reasons why many of the new tech-changes adopted don’t sit well with the corporation, and they end up dropping their initial idea. It is why, with this new technology revolution, companies would be seen prioritizing employee skill and training resources.
6. Taking the route of change management
According to the official definition on Wikipedia, “Change management is a collective term for all approaches to prepare, support, and help individuals, teams, and organizations in making organizational change.” It is why change management will now be the core of developing and implementing new ERP and digital cloud transformations happening in every corporation. It needs to be the front and center to help minimize the risks of acquiring new technology and also has higher financial risks involved.
7. Understanding failure is part of the process
As mentioned above, not all organizations will follow the protocol necessary when acquiring new technology. Therefore, it will ultimately lead to failure. Failure is one aspect of implementing any new technological change or shift of work that becomes difficult for companies to handle. However, it is a necessary part of the process that is bound to happen, one way or the other. One cannot completely mitigate the risk of failure. But what can one can do is take the necessary precautions that allow you to minimize the risk of failure.
8. Big ERP vendor’s customers may get affected
Many big ERP vendors have set up subtle deadlines pushing their customers to upgrade. However, feedback take from Literature Review Help, from their global clientele, suggests that customers are not happy with how these vendors render services. Therefore, there is a high chance that many big industry names will start losing their strong customer bases to many smaller corporations gaining momentum in the software business.
9. Increased backup and support
As mentioned above, there is a fair chance of having the risk of failure involved while your company prepares to invest, develop, and implement the new ERP digital transformation. Therefore, it is highly likely that the customer will demand more technical and solid back and support from their vendor service providers. Thus, many ERP consultants have to change their business game to provide the best consultancy services to help clients navigate through these issues.
10. Independent ERP firms will empower their business
Many ERP firms wrongfully claim to be independent businesses and service providers. In contrast, they are basically just taking services from a bigger vendor and passing it forward and keeping the incentive of commission in between. It is why there is a good enough chance of many ERP firms empowering their private services to ensure that their customers don’t have to deal with unofficial vendors.
In conclusion, while there are distinct challenges in acquiring digital transformation today, there are greater opportunities too. Not only does it highly increase the business opportunity for the long term, but it increases your competency in the industry as well. It is just about how you decide to customize, develop, and implement your cloud ERP digital transformation that suits your organization the best.