Pros and Cons of implementing an ERP

In this module
Understand several pros
and cons of implementing
an ERP system in an
organization
Pros and Cons of implementing an ERP

Pros
• Operate business
using one
computerized system
• Single view of real
data on daily basis
• Shorter customer
problem resolution
• Lower Cost
• Improved
communication
Pros and Cons of implementing an ERP

Pros
• Improved
collaboration and
productivity
• Training needed only
to one ERP systems
• A considerable
amount of risk in
losing important data
is eliminated
Pros and Cons of implementing an ERP

Pros
• Cross functional
services which need
communication
between different
business units are
permitted by this
system
• Production time and
delivery time can be
reduced to a high level
Pros and Cons of implementing an ERP

Cons
• ERP systems are
expensive.
• The customizations
options available in
the ERP software are
limited
• After implementation,
migration of the
system might become
expensive
Pros and Cons of implementing an ERP

Cons
• High Risk
• Small details can be
overlooked
• Testing can be tough
prior to
implementation
• Failure in one part of
the system can cause
problems and failures
in others
Pros and Cons of implementing an ERP

Cons
• Performance can be
temporarily decline
after implementation
• High user training cost