Are ERP Consultants Really Necessary?

Converting your company from the use of disparate business applications to an integrated Enterprise Resource Planning (ERP) solution is an expensive proposition. If that conversion process runs into significant problems, and many have, your costs can easily double or triple. ERP consultants are available to assist in the selection and initial implementation of a new system, and they could be the best investment you ever made…or an expensive mistake.

While consultants are helpful in many ways, their services are costly and may not be required. Depending on the situation, an ERP consultant can be a cost effective tool for an enterprise or unnecessary expenditure. Extensive configurations, customizations, and governmental compliance standards are crucial factors in determining the need for an ERP consultant. Before engaging a consultant’s services, consider the following factors to ensure the most beneficial outcome.

Will You Require Extensive Configurations?

Most ERP systems are extremely configurable to meet an organization’s unique and constantly-evolving requirements. ERP consultants typically have expertise configuring one or more modules and may focus on specific industries. However, not every enterprise requires a uniquely configured system. For example, there are industry-specific ERP solutions that come pre-configured and eliminate the need for most specialized configurations. If an enterprise does not require a uniquely configured system, it is likely that an ERP consultant is not required.

Will You Require Extensive Customizations?

Larger enterprises often require customizations to the software. Changing the software in an ERP system is a tedious process with plenty of room for error and is best left to the expertise of a consultant. ERP consultants have the skills and training to develop required customizations to meet any needs requested by the user. While consultant services can be expensive, the benefits of having an ERP system customized to your business needs outweigh the initial costs. On the other hand, if the ERP software meets the needs of an enterprise without the need of customization, a consultant can be avoided.

Will You Host the Solution or Use a SaaS Provider?

If you have chosen to use a hosted ERP solution, you will not require the services of ERP consultants to assist the installation and network configuration. The hosting service provider will provide all of those services on an ongoing basis. However, ERP consultants are helpful if you choose to host the application on-premises.

Efficiently operating a network can be difficult and may require the assistance of a professional. In-house hosting solutions require careful and constant attention to the hardware and software infrastructure to ensure sufficient system uptime. Alternatively, an organization that uses a SaaS solution is less likely to require the services of a consultant. Hosting services take care of issues without the use of a third party ERP consultant.

Do you have compliance issues?

Compliance problems plague large and small enterprises alike. The hassle of ever-changing laws and regulations in our society require companies to be up to date or face penalties. ERP compliance consultants are often ex- government auditors and can be employed to ensure the compliance of an ERP system to governmental regulations.