When it comes to changing an ERP system, business owners don’t do it often — “because switching to a new system is no different from moving house.” What you face is the hassle of starting over and the exhausting work of preparing data to bring the new system live.

The main reasons most commonly seen are as follows.

1. The ERP can’t keep up with changes in the organisation

Whatever type of business it is, it must change with the times — shifting to follow new policies and various laws.

But if the ERP system you currently use can’t keep pace with these changes, that’s one reason business owners choose to switch to a new system that can be developed to keep up with the organisation’s needs.

2. Customisation capability

It’s extremely common for many businesses to adjust how their system works to align as closely as possible with the organisation. But if the ERP system you currently use

can’t customise its working interface or methods to align with the organisation’s standards,

that becomes a key reason to decide on a new working system.

3. Reducing costs

Many organisations use a world-famous global ERP system and then stop using it because they can no longer bear the relatively high cost of continuing.

They start looking for a smaller ERP vendor to cut costs, or perhaps they simply want to economise here.

Because the organisation already has some experience with implementing a system, it’s not difficult to switch to a new one. Today, ERP systems

developed by Thais are plentiful, and quite a few are cheaper while offering capabilities comparable to the famous brands.

4. The need to connect data across the whole organisation

Many organisations mistakenly believe their current system is an ERP, but an ERP system follows internationally standard processes. That is,

The entire system must be interconnected, without separating data across operations.

For example, sales sends data to the warehouse to deduct stock in real time, and the warehouse links its data to purchasing and production, so that goods can be produced or ordered to meet shortfalls.

So if your organisation still runs separate systems, it will only lead to negative consequences, such as

work data that may be inaccurate, extra work, wasted time, and errors that can cause damage to the business.

So if your business still runs separate systems, the author recommends finding a new system that supports the work of every department, so that data analysis in the business becomes far more effective.

5. Improving data quality

Even though they’re all ERP systems, that doesn’t mean every ERP developer has the same strengths and weaknesses — and when it comes to data, this is extremely important. If an ERP system can’t pull reports in real time and can’t effectively configure what data appears on the report, that drives the organisation to look for a new system to replace its current one.

6. Adapting to new technology

ERP systems develop no differently from other operating systems, and new working trends emerge every year.

This is why organisations that want to lead their business in the digital age decide to switch to a new system to be more modern — such as using AI, Machine Learning, or Blockchain

to improve the efficiency of data management and various processes within the organisation.

From the article above, in summary, the reasons organisations decide to change their ERP system are these 6 points:

The ERP can’t keep up with changes in the organisation
Customisation capability
Reducing costs
The need to connect data across the whole organisation
Improving data quality
Adapting to new technology

But whatever the reason for changing the ERP system, the author still encourages Thai business owners to install an ERP system

for use in their organisation, to help the business grow efficiently.

6 reasons organisations decide to change their ERP system