As the enterprise resource planning (ERP) market grows, companies have a full slate of choices. They also encounter a challenge: finding the best ERP solution for current and future needs. An ERP software selection consulting firm can help improve business decision-making by providing a full evaluation of available options and potential pitfalls.
However, just as ERP tools vary in quality, performance, and functionality, ERP selection consulting firms come with differing approaches to preparation, implementation, and support. How do you know you’re making the right choice? Here’s what to look for in an ERP software selection partner.
Five Components of Effective ERP Selection
While every ERP implementation is different, there are five non-negotiables every company should seek in an ERP selection firm.
1, Future-State Thinking
Your business isn’t static. As a result, a strong selection firm offers more than expertise in ERP—it also excels in business transformation and has a proven track record of leading complex implementations. This includes experience in developing process best practices, improving organizational design, and creating solutions architecture.
This takes the form of future-state thinking. Your selection firm must help evaluate potential solutions against both current needs and future-state requirements to find software capable of growing alongside your business. In practice, this includes a detailed business assessment of current-to-future-state analysis as a precursor to vendor selection.
2. Proven Methodology and Evaluation Processes
Features and functions play a critical role in the ERP implementation process, but these aren’t the only considerations in effective implementation and deployment. Instead, it’s worth looking for selection partners that have developed a time-tested approach to evaluating vendors and their solutions to help companies select the right-fitting ERP. This means taking a structured approach to the evaluation of long-term needs, the total cost of ownership (TCO), vendor viability, and other vendor fit dimensions.
3. Contract Negotiation Experience
Contracts are the bridge between the selection of ERP software and its implementation. Well-negotiated contracts allow companies to integrate key requirements from the selection process as legal, contractual obligations, ensuring that vendors are compelled to live up to their sales promises. In addition, contracts provide incentives or penalties that encourage service firms to deliver consistent and comprehensive implementation services.
Pemeco is one of the few firms in the ERP selection industry with a legal practice dedicated to technology contract negotiations. This means businesses aren’t simply getting a contract—they’re getting one that details their specific expectations, desired outcomes, and consequences for missing the mark. These contracts also act as a baseline for ongoing negotiations when services are up for renewal, providing an easily-auditable record of what services were provided at what price.
4. Proven ERP Selection Methodology and Deep Expertise
What does the right ERP look like? It’s a question that varies from company to company, and one that can change even as the vendor selection process evolves. As a result, selection firm advisors must have expertise in implementing and running the ERP systems they’re evaluating.
In practice, this allows implementation advisors to visualize how prospective systems will align with current business processes and where there may be friction. Deep implementation expertise also makes it possible for firms to identify where potential ERP software can’t bridge the gap between existing and new processes—and where workarounds may be possible.
5. End-to-End Support for Implementation Readiness
Selection is just the start. Effective ERP deployments require a focus on readiness that helps businesses prepare for large, disruptive, costly, and potentially risky implementations. Pemeco offers end-to-end support that includes building teams, cleaning data, and establishing a strong governance structure before implementation begins. This allows companies to hit the ground running with processes that naturally facilitate implementation, and support that continues beyond deployment.
The Pemeco Position: Next-Generation ERP Selection
Expertise and experience set Pemeco apart from the competition and help us deliver a next-generation ERP selection experience.
What does this mean in practice for our ERP implementation services? We’ve helped clients select and implement more than 140 different ERP systems. We typically manage more than 40 selection projects a year, and we’re the only firm in the industry with a 100% implementation success rate. Pemeco is also one of the few firms with a technology law practice to ensure that clients negotiate deals that align the parties’ interests to a successful outcome.
Contact Pemeco today to discuss your ERP selection project.