How to Think Strategy Before Function When Selecting an ERP
With the increasing migration of enterprise resource planning (ERP) systems from costly installs to pay-as-you-go SaaS solutions, more small and mid-sized businesses can now leverage this software to propel them to the next stage of business growth. But SMBs coming to ERP for the first time and those who have outgrown their existing systems too often evaluate potential ERPs with a tactical mindset, focusing solely on functional capabilities without an eye toward longer-term, more strategic goals and the potential for business transformation. That means they’re asking the wrong questions during the selection and RFP process. Avoiding the functionality checklist RFPs often masquerade as functionality checklists and lack the strategic context needed to shape both the questions and the responses. How does this happen? In one scenario, an executive is hired from a similar company where an ERP has been implemented with impressive results. He will ask his previous ERP vendor for a