Good VS Bad

What to Do- It is best to use two implementers; one for hardware and the other for ERP software. Be sure your hardware specialist has sufficient knowledge of current and coming versions of the operating system you will be using. Lastly, before choosing your software specialist, be assured he or she not only has an adequate understanding of servers and software, but the business process as well.

What not to do- Don't forget. Remember, some major ERP applications are revolved around sales volume. They are not necessarily arranged around the number of users (or traffic volume). You want to be able to determine how large an ERP database will need to be. Never break ERP deployments into simple phased-in projects which are based solely upon architecture. ERP applications are incomplete or ineffective for key business processes if you take such a long-established client-server approach. It would be more beneficial if you do not over-engineer your ERP systems. While you may get higher-performance you may still experience difficulties.

Advantages- There are several advantages to using ERP software. One can see a decline inventory carrying costs, ordering costs, production costs, accounting and record keeping costs, transportation costs, investment in equipment, investment in plant, assembly-line down-times, number of stock-outs. One can expect more flexible production processes, efficient lot sizes and scheduling, cost and efficiency improvements, increase process transparency for the customer, product customization, and revenue. This Increased profitability, increased sales volume and sales, more customer satisfaction, an increase in profitability and market share.

Disadvantages- Systems can be very expensive to install and maintain when dealing with ERP software. Though the benefits of the software can be over powering compared to its downfalls, the disadvantages must still be recognized. Disadvantages include; systems that can be difficult to use, a bad system can affect you, one of your partners and all other participants. If you are using an ERP system that is integrated with a supply chain management system, your system may be susceptible to a strike problems at any one link in the chain, there can be transportation inefficiencies if small lots of product are transported several times before reaching the consumer/user. If the system is established, switching cost is very high for any one of the partners. Blurring of company boundaries can cause problems in accountability, lines of responsibility, and employee morale. There may be resistance to sharing sensitive internal information and information that may be essential to the process.