While it is easy to point to the low total cost of ownership achieved by standardizing one application to manage the entire business and eliminate point solutions that encompass multiple databases and strain IT resources, that's just the tip of the iceberg. When evaluating whether to invest in ERP, it's important to ask if you need:
- Tighter financial controls for financial compliance declaration (Sarbanes-Oxley and Basel II) as well as other forms of compliance reporting (EH&S, sustainability reporting and industry specific initiatives such as 21 CFR part II).
- More consistent data that provides a global view of the business that can drive continuous improvement strategies by helping to establish consistent performance metrics and measures to gauge the business.
- Support for streamlined sourcing and procurement processes to match efficient response to customer demand and also a centralized buying model to reduce unauthorized and unnecessary expenditures.
- A single data source for product or services data -- such as information relating to suppliers, customer orders and the products themselves -- to support faster new-product-development and launch cycles.
- Support for closed-loop sales and operations planning processes to ensure the organization does not overpromise and underdeliver to customers.
- The ability to automate business processes such as invoicing and sales and purchase orders in and out of one system.
- The ability to more effectively manage projects in a portfolio approach and determine profitability at the appropriate levels in the process.
- A single base of information for consistency in billing and other interactions with the customer.
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