How long can an ERP for SMEs last?

The useful life of a management software is 10-12 years old, as indicated from Datisa. Of course, as long as we talk about an application that updates automatically. And, that adapts to the growth or decrease of the business. Trade with a Obsolete or not very innovative ERP It implies failures in the interactive management of the critical lines of the business (accounting, finance, production, warehouse, etc.) And, it will also be a stumbling block to consolidate the use of strategic information in decision-making. That is, to make SMEs reach the goal of becoming data driven companies.

The purpose of an ERP is to promote the interactive management of all areas of the business. It does so through centralization, sharing, analytics, and consolidation of strategic information. If the company operates with outdated, obsolete or impractical software, it will not be possible to apply this smart management model.

Once its useful life has elapsed, it does not mean to dispose of the application, but it does mean to subject the system to a thorough review of its functions. And, above all, the efficiency it brings to business operations and strategy. And of the profitability that it reports.

The cloud ERP modelModular and flexible, it is still the most recommended because it facilitates continuous updating. And, because it allows you to gain functionalities or limit your functional coverage based on business needs.

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Pablo Couso, commercial director of Datisa says that “ERP software accelerates the productivity and growth of a company because it allows it to gain speed and security in decision-making. And, because, it introduces an analytical view of the data that provides a partial or global vision of the business. And, above all, an absolutely objective vision. For this reason, it is important to work with up-to-date tools that are adapted to the real needs of the business ”.

ERP as a process integrator

The useful life of the ERP will be extended as long as the system facilitates the integration of all management processes in a single information system. A system central, safe and easily accessible. And, while responding to the strategy and challenges of the business, taking into account the different variables that impact on it: environment, market, expansion or contraction plans, etc.

To extend the useful life of the ERP, SMEs can submit the system to periodic reviews. An evaluation, perhaps annual, in which it is verified that the software meets all the functional and legal requirements that the company needs. That its technology adapts to the needs of the business. And that incorporates technological innovations that help you, for example, to gain in speed or transparency. In this software review it will also be important to check that the system evolves and adapts to new requirements. But, also, that it is capable of anticipating, innovating and proposing new management formulas to the business to operate successfully.

Therefore, for an ERP to remain the perfect companion for an SME, it must be operational, but also innovative. “The ERP’s capacity for innovation – says Pablo Couso – will allow SMEs to explore and exploit new automation, functionalities and integration possibilities that facilitate the implementation of new business models ”.

In any case, an ERP is the true support to boost the efficiency of a business. Your productivity. And their ability to anticipate and / or respond to critical situations with solvency. Therefore, it is important to keep the system, not only updated, but 100% adapted to the present and future needs of the business. SMEs must be vigilant about the useful life of their management software if they want to remain competitive.

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