How to Choose the Best Cloud ERP Solution

With the constant shifts in the supply chain industry, from disruptions to more and more competition, businesses must adopt the most cutting-edge technologies to remain competitive. Cloud-based Enterprise Resource Planning (ERP) solutions have become popular in recent years with 42% of supply chain businesses adopting these systems to manage operations. According to a recent survey,  54% of businesses use ERPs to improve reporting and analytics.

ERP solutions help streamline processes and offer real-time visibility to meet the specific needs of the business and scalability. However, choosing the best cloud-based ERP solution for your supply chain business can be a challenging task, from deciding what functionalities are right for your organization to considering the system’s user-friendliness. To help your organization find the best ERP solution, we have outlined some best practices below. 

Evaluate Your Business Needs

The first step in choosing the best cloud ERP solution is to identify what solutions your business requires. Consider the specific challenges and pain points that you are facing, such as inventory management, demand forecasting, or order fulfillment, and your expected outcomes. Make a list of must-have features and functionalities that you need in an ERP solution to address these challenges. Some of these features could include:

Other considerations include the size of your business and the complexity of your operations. Smaller businesses with fewer employees may require a more straightforward and user-friendly solution, while larger businesses may require a more robust and scalable solution.

Another question to ask is if the solution can handle the unique requirements of your business. If your organization handles perishable goods or cold storage, for example, look for an ERP that includes features for tracking expiration dates and shelf life.

Scalability and Flexibility

Scalability and flexibility are critical factors when deciding on a cloud ERP solution for your supply chain business. For retailers who may work with multiple third-party logistics warehouses (3PLs), a system that can grow with your business and adapt to changing requirements is a must. Look for a solution that can handle increasing data volumes, additional users, and new features and functionalities.

Businesses should also consider how easy it is to customize the solution to meet your specific needs. Some solutions may offer more flexibility than others when it comes to customizing workflows, reports, and dashboards.

User-Friendliness

User-friendliness is an essential factor when evaluating cloud-native ERP solutions. Supply chain businesses will require technology that is easy to use and requires minimal training for newly on-boarded employees or seasonal staff. Look for a solution with an intuitive user interface that makes it easy for team members to access information and workflows they need.

Mobile accessibility is another factor to consider when thinking of ERP user-friendliness. With an increasing number of employees working remotely, having mobile access can be a significant advantage.

Integration Capabilities

Integration capabilities are crucial when evaluating cloud ERP solutions. The solution should be able to integrate with existing systems, such as your CRM, e-commerce platforms, or manufacturing software, and more in order to provide a comprehensive view of your operations. This will help the business make more informed decisions, reduce data duplication, and improve efficiency across multiple departments.

When looking for integration capabilities, consider the level of customization required to integrate your existing systems with the new solution. Some ERP solutions have pre-built integrations with commonly used systems, while others require custom development. Be sure to also consider the level of support the vendor provides for integration, including ongoing maintenance and troubleshooting.

Evaluate Cost and Return on Investment

The cost of a cloud-based ERP solution is a significant investment for any business, and it's essential to evaluate the total cost of ownership before making a decision. This includes not only the upfront costs of the software, but also ongoing maintenance, support, and upgrades.

When evaluating cost, consider the total cost of ownership over the expected lifespan of the solution. You should also think about the return on investment (ROI) and the potential cost savings that the solution can deliver, such as enhanced efficiency, reduced labor costs, and improved customer satisfaction. It's important to balance the upfront costs of the solution with the potential long-term benefits to determine the true ROI.

Making the Best Decision

Choosing the best cloud ERP solution for your supply chain business requires careful evaluation of your business needs, industry-specific functionality, scalability, user-friendliness, integration capabilities, and cost. By considering these factors, choose a solution that will streamline operations, improve efficiency, and provide a significant ROI over time. It's also important to consider working with an experienced ERP partner who understands the unique challenges of the supply chain industry. Technology partners should be able to provide guidance on selecting the right solutions and offer ongoing support and training to ensure that you get the most out of your investment.

One of the most important factors in choosing an ERP is how it connects with your other supply chain systems as we mentioned above. Utilizing tech-agnostic supply chain technology, like the Osa Unified Commerce Platform, allows for an easier and less time intensive implementation. For example, integration, order, warehouse, and last-mile management systems should be seamlessly connected to the platform. 

Logistics professionals can gain a comprehensive view of their entire supply chain network and customer experience with powerful AI-enabled data—especially when using supply chain management technology that routes information directly to the ERP.  When you combine the right ERP and Unified Commerce Platform together to create a collaborative solution that shares visibility across the entire business, you will be able to effortlessly manage all inventory and order activities from the cloud with data that can be easily synchronized across all the selling channels, partner systems, or technologies that are integrated into your supply chain. Incorporating AI-backed software also provides real-time information that surpasses traditional reports and summaries. Flexible and adaptable dashboards are also able to simplify complex and disparate data into easy-to-understand insights, making decision-making effortless.

Choosing an ERP system can be a big decision. However, it can be easier to implement with the right supply chain management systems. The Osa Unified Commerce Platform helps monitor business performance, identify areas for improvement, and creates more opportunities for informed decisions that positively impact your bottom line.