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ERP Modernisation – “These are complex, challenging projects that are the ‘heart’ of the business and they cannot afford to have a business ‘cardiac arrest’ due to data issues”
Disruption or no disruption, ERP systems continue to be the bedrock for innovative businesses, writes Mike Kiersey, Principal Technologist, Boomi. From supply chain management through to HR processes, successful ERP modernisation or simply implementation is often the difference between a company succeeding or falling behind more digitally advanced competitors.
This is not to mean that ERP implementation is an easy process, with dozens of high-profile failures arguing otherwise.
Lidl, National Grid, Revlon are amongst the many who have had infamous ERP modernisation struggles. Modernising ERP systems comes with significant risk, and, unless companies put every effort into ensuring its success, they can be left with disparate, siloed systems that leave them at a disadvantage.
Business change is an inevitable part of the corporate lifecycle, but it can also be daunting, and there are certain barriers -whether it is a lack of internal unity or a hesitancy to innovate- which hold back ERP implementation.
Technical Debt, the Bane of ERP Systems
Technical debt takes on different forms for different software companies, but, in its simplest form, it is the idea that businesses and developers in particular implement solutions designed for the here and now to ensure quick project delivery, emphasising ease of use. Moving forwards however, these solutions are inadequate as a long-term approach, and leave enterprises trapped with technical debt that holds the entire environment back from innovation.
Whilst business priorities might have changed for some during the current crisis, the complexity inherent in ERP systems is not going away anytime soon. This is largely due to the technical debt companies have amassed over the years, as they add technologies to their stack, and they in turn become outdated and need new technologies to fill the gaps.