Implementing a cloud ERP (Enterprise Resource Planning) system is one of the best decisions you can make for your startup. A cloud ERP startup solution can help you coordinate your business activities and perfectly streamline your operations, helping you make much better business decisions and reduce costs simultaneously.
A cloud ERP system can also help you improve collaboration and communication within your company, leading to higher productivity and efficiency. Your workforce will significantly enhance their performance, resulting in greater customer satisfaction and a higher Return on Investment (ROI). There are also a lot of automation abilities, allowing you to get a lot done with few employees, making ERP a perfect choice for startups.
However, since there are many ERP options, you must choose the right solution that will work for your company. We’ll review the factors you must consider to make an intelligent decision.
Your Business Requirements
The first and most important item to consider is your business requirements. Different ERP systems are designed for various industries, so you need to ensure that the one you choose suits all your business needs.
For instance, you shouldn’t purchase an ERP designed for manufacturing if you’re a professional services firm. It would simply make no sense and wouldn’t bring you any benefits. Therefore, narrow your list by looking only at those systems that fit your business requirements.
Basic Modules
It would be best to ensure that your cloud ERP has modules that will benefit your business. Don’t shy away from asking your vendor questions about all the modules their system offers and the advantages they will provide you with.
Nonetheless, there are some essential modules that a typical cloud ERP system should include. They are finance and accounting, inventory management, supply chain management (SCM), production management, sales and marketing, purchase management, customer relationship management (CRM), and human resource management (HRM). You may not need some of these modules, and you may need additional modules that are not listed here. Make sure you discuss what’s available to ensure you’re getting the best system for your startup.
Scalability
Your ERP solution should enable seamless scalability so you don’t have to worry about not having enough space for your data once your business starts expanding. Although all cloud ERP systems enable scalability, which is the point of the cloud, not every vendor will provide you with the same level of scalability.
For instance, some vendors offer exceptional systems for scaling up, but they tend to charge very high penalties when scaling back down. Although scaling down is certainly not on your agenda, you still need to be prepared for any unforeseen circumstances, so you should ensure that your chosen vendor provides you with a system that can expand and contract with demand.
Data Security
Data security is one of the most essential concerns for every business organization. Not only do you need to protect sensitive information about your business, but you also need to ensure the safety of your client’s personal information.
When you choose the best ERP for your startup, please make sure that your vendor has every possible data security measure in place so that you can effectively secure the data in your ERP. They need to have the best security controls that adhere to all industry legalities, and they also need to consider your company’s auditing controls.
You should also check their data recovery options to ensure that your important data can easily be retrieved in case something happens.
Ease of Use
Ease of use is also essential when selecting the best ERP for startups because if you need to jump through hoops to manage your daily business operations, you will have wasted time that you would have otherwise used constructively.
Make sure that the software you choose is intuitive and easy to use so that you and anyone else in your company who will be in direct contact with the system won’t be confused and lose precious time that could be focused on core competencies.
Easy Customization
When you’re a startup, ease of customization is essential. As you grow, there are bound to be processes, departments, or modules you’ll want to change. Many vendors can provide features for customizing your ERP system that you can implement very quickly, even when you integrate your ERP with other systems you use. Most importantly, you won’t need to invest additional money to implement customization.
Customer Support
Even if you choose a high-quality system that is easy to use, there may come a time when you may need support from your vendor. You should make sure that the vendor you choose offers fast and reliable customer support so that they can help you solve any potential problem whenever you need it.
ERP Vendor’s Reliability
A vendor’s reliability is another important factor for startups to consider when choosing the best ERP. You must ensure that your preferred vendor is reliable and will provide you with experience and knowledge to benefit your company.
The best way to verify their credibility and reliability is to check their references or online reviews and ratings. This will provide clear insight and help you make a more informed decision.
Conclusion
Finding the right ERP system for startups can be confusing and challenging if you don’t know what to look for. That is why you should make sure that you take all of the factors above into consideration, as they will help you come to the right decision that will enable your company to grow.