Enterprise Resource Planning (ERP)
– Trends to Outlook in 2020
DECEMBER 26, 2019 Category: ERP Software
Enterprise Resource Planning (ERP) system is one of the biggest investments companies will have to make in the coming year. Besides, not only is it a major financial decision, but also an effective solution that can impact all parts of your business.
Considering it as a critical element, ERP buyers should not only research on what’s currently available. But, also on what can adapt with their business operations in the future.
ERP systems used to be slow to change. However, with the emerging technology trends, it requires companies to update their ERP systems or be left behind within a few years.
ERP brings a mixed carrier of opportunities, difficulty, options, and risk. Here are five of the many major ERP trends to watch out for in 2020:
- Cloud-based Enterprise Resource Planning (ERP) system
- ERPs To Deliver Platform Scalability and Flexibility
- Increased Importance of Security
- Friendly User Interface (UI)
- Personalized Solutions
1. Cloud-Based ERP
In the last two years, we saw a lot of softwares moving towards cloud. But, ERPs movement to cloud is interesting especially in the small & mid-sized businesses.
There are numerous benefits of a cloud-based ERPs and this provides the most help to SMBs. Through a cloud-based solutions, you don’t have to maintain or own a system, which drastically reduces the need for an in-house IT infrastructure.
Large companies also can reap the benefits of cloud-based ERP in numerous ways. In fact, by 2020 the cloud-based market is expected to reach a valuation of Bn $411.
Cloud ERPs are new. It creates a constant stream of improvements
Regular updates can be good for companies since it reduces the sheer learning curve between system versions.
But there are shortcomings as well. To plan for the continuous feature changes and updates, you need to be decently staffed.
Basically, instead of one big change every few years, your company will have to adjust to many small changes over time. Employees will have to be more open to change. Businesses may need to invest more in training as well as vendor support.
2. ERPs to Deliver Platform Scalability and Flexibility
Purchasing decision of ERPs should not be made only based on the current list of requirements. Rather, you must also consider list of features that are needed to upscale the performance in future. ERP framework must be adaptable enough to match with your operational needs.
You need to have those flexibility built into the ERP system already. Otherwise, these inflexible ERP system will hamper your progress, rather than supporting it.
With looking for an agile ERP, you’re future-proofing your business and its operations and that matters a lot.
This means that you must look beyond the standard features any ERP system offers. What you should consider is, how easy it will be for a business to adapt the changing needs and get along with the evolving technologies.
If there are extreme limitations on how much your ERP can be tailored, you should be looking for another solution. In ERP systems, you would want a flexible solution to support future growths and help easily integrate with the emerging technologies.
3. Increased Importance of Security
Every day we hear about a new cyber-attack on a company, organization or high-profile individual. Security threats from malicious agencies, shady hacker groups and cybercriminals come at us around the clock.
With the world witnessing high data security breaches every now, businesses are more inclined to invest in a strong & reliable security mechanisms.
Reference to the previous cyber-attacks such as WannaCry & Ransomware, ERP security should now be a priority. An unified ERP system will harden the security protocols and increase management control at the same time.
Fortunately, today’s sophisticated ERP systems provide solutions that can prevent these attacks. Businesses wants a solution that apart from protecting their data, do not hamper the usability of system. Meaning the speed and functionality of ERP systems remains intact.
4. Friendly User Interface (UI)
With the increasing number of employees, interaction with ERP systems will rise. Organizations will start adapting to the latest technologies to get a more real-time data.
A friendly UI and appealing design will be part of these gradually developed interface. It is important because your employees now prefer tapping and not typing.
Businesses now trust a capable ERP systems as the key contributor to their growth. These solutions must integrate and be flexible enough to support personalization, unlike those legacy ERPs.
ERP applications need this transition to provide more assistive and friendly UIs. The addition of Business Intelligence (BI) has converted it into a powerful system that has every capability to improve operations and execute flawless services.
5. Personalized Solutions
Each organization is unique and so is its business needs. Customization of ERP frameworks to help these imperatives frequently takes a good amount of time. Beyond this, the standardization of segments empowers organizations to make the deployment procedure fundamentally quick.
As a result, we’ll witness an increase in the personalization on ERP systems with the rise of Artificial Intelligence (AI) . The flexible solution will have more user-interfaces (UIs) and will improve personalization.
To avoid customization, ERP users will look for solutions that are tailored specifically to their industry.
With the new Enterprise Resource Planning trends getting introduced in the market, it can disrupt the entire business scenario in the coming year. Therefore, decision-makers must watch out for upcoming trends in 2020. They should also ink how this can affect the structure, output and results of an organization.