ERP

Top 5 reasons why ERP Transformation drives business success

Top 5 reasons why ERP Transformation drives business success 1200 600 Xcelpros Team

Introduction

Have you seen a dip in your ERP system performance? Is your system breaking down every now and then? Is your current ERP able to support your rapidly growing business? As business transactions increase with time, you may notice spikes in system inefficiencies. You cannot expect to improve the company’s overall productivity with a legacy system that is barely functioning and outdated. You cannot report actionable insights while dealing with bad data and inefficient processes. By now, you have enough indications that your business is outgrowing the current ERP system. However, like most companies, you probably hesitate to transform your ERP, as there is an inherent fear about the cost of transformation and the company’s inability to accept change.

Three-fourths of ERP transformation projects fail to stay on schedule or within budget, and two-thirds have a negative return on investment.Source: Mckinsey

Interestingly enough, the above stat also forces companies that desperately need an ERP change to be better planned and prepared for the transformation. Companies that cannot transform quickly soon become irrelevant.

The only thing harder than transformation is, failing to transform.

ERP transformation SWOT

Many industry insights have proved that the rate of failure is significantly higher when organizations are unable to embrace change. There are various reasons to move on from your existing legacy systems. Read on to know more about the five reasons you need an ERP transformation.

1.Your current ERP system does not have systemic collaboration capabilities Most old-age ERP systems run in silos and process transactions independently for each department. Some don’t even have cross-functional capabilities. This can pose an issue when you are trying to eliminate inefficient business processes. Archaic ERP systems rely on manual/paper-based methods for inter or intra-departmental collaboration. You rely on your team’s verbal communication and expect them to be on top of their tasks, especially while handing them off to other departments. Most of the process inefficiencies arise due to poor communication. For example, your manufacturing and finance departments interact manually or through paper. As the volume of work orders goes up, the teams quickly lose track of operations that need to be verified and closed out. These delays can cause inventory inaccuracies and bad data.

Figure: 1A real life manual production process prior to transformation

Production Process before ERP Transformation

Notice the number of failure points in the above figure. Now imagine many of these failure points across different production scenarios. While some organizations are very good at tracking manual communication, the onus is always on the team to communicate effectively and move work orders forward. Secure, streamlined, efficient collaboration is the focus of most modern-day companies. Businesses that want to succeed will empower their team to collaborate from anywhere effectively.

2.Your ERP system does not have embedded advanced analytics and BI dashboards Most Agile companies prefer Analytics and BI dashboards within their operational ERP systems. Organizations with profitability as their primary objective always favor tracking efficiencies and inefficiencies. Success or failure depends on the ability to respond to aberrations instantly. BI applications are separate from an operational ERP system by design. A powerful BI application collates data and provides analytical insights. Integrating an obsolescent ERP to a standalone analytics application is cumbersome and does not offer real-time analytical reports. You may lose the capability of embedding a quick and easy BI dashboard onto your ERP that provides real-time progress reporting.

Ultimately, the more visibility you have of operations, the better equipped you are to make accurate business decisions. Once you notice an inability to report actionable insights, it is time to move on to a new ERP with better systemic capabilities and real-time reporting.

3.Your ERP system cannot leverage the power of AI and process automation It is a known fact that various industries have embraced AI to enhance their ability to predict user behavior. The prediction criteria include historical data, continuously improving processes, day-in-the-life activities, and adaptability to process improvements. On a similar token, many modern companies have adopted process automation to increase overall operational efficiency. AI and process automation are not just fancy technologies for larger companies. They are active enhancers that also help small and midsize companies to grow their businesses. Without your ERP integrated into AI, the system will not have the capability of continuous learning-to-enhance productivity. If you are still on an out-of-date ERP system, the chances are that you cannot leverage the power of AI and process automation. When combined with advanced analytics, AI improves your supply chain’s end-to-end visibility and predicts possible disruptions before they occur. It now calls for a business decision if you are willing to decommission a legacy system that cannot utilize AI’s potential and plan your move to a modern platform.

4.Your current ERP system is less secure and more susceptible to data breaches Companies that are functioning on legacy systems tend to be more vulnerable to security threats and data breaches. You may not have the ability to protect your data and audit ‘who did what’ in the system. Most businesses store sensitive information like customer pricing, credit card numbers, employee records, company’s intellectual property, formulations, etc. If you are on an aged ERP, it may be challenging to ensure data privacy and security. Losing Information can be daunting, especially if you have no secure backups of data. How do you ensure that unauthorized access has not occurred and your information is not compromised?

Responsible companies do not risk customer information. They agree that short term pain and cost of an ERP transformation will any day benefit them, eventually leading them to long-term business gains.

5.Your current ERP system is not Agile and cannot accommodate incremental business needs An interesting question to ask yourself is if your technology can adapt to business process changes without customizing the system and violating industry best practices? Antiquated ERP systems are equivalent to following age-old processes. Enough research is done on this subject to help companies move away from outdated business practices and procedures. Companies are now choosing to be more nimble with changing times and stay afloat in a highly competitive market. Many companies within your sector may have already made the shift to newer, agile technologies – giving them the potential to outrun you in competition. Agile companies have the flexibility to function with higher efficiency, better ways to interact with customers/business partners, manage tasks smartly, and optimize resource utilization.

Research shows that agile organizations have a 70 percent chance of being in the top quartile of organizational health, the best indicator of long-term performance.Source: Mckinsey

As market dynamics change, the way you run your business should adjust accordingly. If you want to move out of working exhaustively, it is high time your company transforms towards being agile.

Why do companies move slowly to initiate the ERP implementation?

Below are a few hindrances that stop companies from moving forward with a technology transformation that will drive organizational change –

  1. 1.Cost of the changeover.
  2. 2.Businesses have difficulty following an implementation methodology that may challenge their current way of functioning.
  3. 3.Companies don’t have an internal change agent who can set end-user expectations, make tough decisions that may impact job descriptions and trigger a reorganization.

How do you overcome these challenges to move forward?

  1. 1.Have a set budget. Take a crawl, walk and run approach to the transformation.
    1. a. Crawl – Lift and Shift. Map your current business processes and convert them to the new system.
    2. b. Walk – Stabilize in the new environment, including handling issues, fixing them and maximize business operations.
    3. c. Run – Leverage all the additional optimization features on the application to boost the business.
  2. 2.Agree to a methodology that works for your company and doesn’t create too much resistance to convert.
  3. 3.Look for the right internal champion who understands the business and can manage user expectations effectively, especially when it comes to business changes that make users uncomfortable.

Final Thoughts

  • If you cannot move out of an old ERP system, your business challenges will continue to persist – further increasing sunk costs and lost time in the battle of quality vs. efficiency vs. cost of transformation.
  • Chalk out your organizational goals for the next five years to clarify why you should transform your business into a modern – agile ERP system and list your transformational goals.
  • Prioritize your ERP transformation into different phases by starting with lift and shift – to move your core business functions into the new system, and eventually implementing process optimization to utilize the real power of your new ERP.

Begin Your ERP Transformation With Free Assessment.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Rapid ERP Implementation

Rapid Implementation of ERP Systems- Benefits & Challenges

Rapid Implementation of ERP Systems- Benefits & Challenges 1920 1080 Xcelpros Team

At a Glance

  • ERP implementations are transitioning from being just a business choice to a necessity. Companies are now seeking ways for faster, smoother, and more economical implementation strategies.
  • An expedited ERP implementation strategy involves rapid methods that bring must-have features from legacy systems into a newer, agile and modern system.
  • Enterprises face many issues with rapid implementation, such as stringent scope, change management, limited customization options, etc.
  • Latest technologies and methodologies can make rapid ERP implementation a possibility for companies that want a higher ROI on their technology investments.

95%

of respondents improved some or all of their business processes after implementing a new ERP.

Source: Panorama Consulting

If enterprises were asked about their ERP implementation strategies a decade ago, the responses would vary widely. Many were skeptical, some were eager yet unsure and almost all who were positive, opted for steady onboarding into the new ERP. The continuing implementation model meant that employees were trained at a slow pace in the ERP, customizations were done as per requirements, and the budget was spread out. However, in the current day changeover to a new ERP is quicker making enterprises be agile and dynamic. Companies are lot more informed about the various technologies in the market and all they need is to plan the right time for the implementation and choose the right partner.

According to the report published by Allied Market Research, the global ERP software market accounted for $35.81 billion in 2018 and is anticipated to reach $78.41 billion by 2026, growing at a CAGR of 10.2% during the study period.

Many organizations are now opting for a cloud-based, rapid ERP implementation method, as they understand the benefits of the approach. The new decade demands companies to be more adaptable with a workforce that can quickly adjust to changes. In the past decade, companies that tried to get their employees be more nimble faced many challenges. Workforce could not promptly understand the market’s changing needs and adjust accordingly. They were usually overwhelmed, confused and unmotivated to move quickly. However, the new-age has limited choice to stay stuck in the same method of functioning, as many companies have already transformed to agile ERPs. The initial changeover may be painful but is necessary. Companies have to provide the right technology platform and help employees adjust to the new system. Once employee training and onboarding to the new system is done, they become accustomed to a continuous improvement procedure that drives growth.

The benefits of an expedited reorganization through quick ERP changeover makes enterprises go with a rapid transformation methodology.

Figure: 1Benefits of Rapid ERP Implementation

Why do companies move slowly when it comes to deciding on a new ERP? CIOs look for some general points such as ERP system with proven business benefits, technology roadmap for the future, company’s ability to move into a new ERP rapidly, etc.

Challenges in Rapid ERP Implementation:

1.Reduced Scope of Customization: Any ERP system that is suitable for a rapid implementation has templates for users to easily fill data, and tools that can easily help users move to the new system. This eliminates the need for customized codes and also simplifies the use of the tool. Some companies may find this method constricting, especially when they intend to customize the application to fit their current business processes. Predefined templates allow companies to go with out-of-the-box functionality. The newer system may follow all industry best practices out-of-the-box and may restrict you from overly customizing the system to fit your historical business practices. To remove the discomfort of user adoption to the new system, companies customize the system and make it look like the old system. Rapid implementations restrict customizations, creating some change management issues. 

65%

of new implementation budgets go above plan due to customizing the ERP system during the project.

2.Challenges in Faster Change Management: Rapid ERP implementation process requires setting up a system that can manage end-to-end processes. The system however should be designed to scale and accommodate updates or future releases without too much effort. An expedited change management timeline can be tough on users especially if they are unable to adapt quickly. Aligning all the stakeholders, making them privy to the to-be changes, avoiding communication gaps, managing resistance, and sticking to the budget are some of the challenges organizations face when moving to an agile cloud-based ERP.

3.Data Migration Challenges: Moving from legacy to ERP requires collation, classification, and systematic migration of legacy data. In the case of rapid ERP, moving to the cloud requires thorough data scrubbing within a limited time to ensure that data is accurate. To avoid a drain on budget, companies engage an internal resources to clean up legacy data. The data migration process goes smoothly when data is cleaner and in the right format.

4.Managing expectations: Lastly, companies often look at an ERP as their be-all-end-all solution. Rapid ERP tools are made with reduced implementation time as a primary objective. There can be certain discrepancies in managing expectations with stakeholders. A proper internal champion or change agent who can spearhead the transformation can make the transformation easy on the company. Furthermore, managing employees’ psychological resistance and expectations can also be a hurdle for companies in the initial period of implementation, especially if the company has been on the legacy system for many years. An implementation needs an internal change agent who knows how to set user expectations and take a tough stance on situations, especially the ones that can spiral the implementation out of control. Without an internal champion, no matter how good your implementation partner is, you will see a drain on budget, time and a continuous blame that will make your project a failure.

With these challenges ahead, how are the systems integrators ensuring that companies can still benefit from rapid ERP implementations? The answer lies in setting the right expectations with the customer and leveraging the native tool kits of the ERP. For example, Microsoft Dynamics 365 Finance & Operations comes loaded with features that can give companies worth their money. The reliability, industry-standard templates, relevant functionality, and more such hallmarks make Dynamics 365 the go-to solution for faster cloud-based ERP implementations.

Microsoft Dynamics 365 Finance & Operations also enables step-by-step e-learning for its applications like the Task Recorder Resources that can run as a guide for users to learn the functions. With this app, users can record business processes for various scenarios and replay them as a guide. The feature speeds up change management and removes the user’s discomfort of not knowing the system.

The bottom line is that rapid ERP implementations are highly successful when companies go with native functionality and leverage the strength of the base system, rather than customizing the system. At least for the initial lift and shift, it is always recommended to stick with out-of-the-box functionality. Today, the digital era requires enterprises to become agile while leveraging newer technologies like cloud, process automation, etc. Rapid ERP implementations are a start to help a company become more nimble and adjust to market conditions quickly. So it is not always about ‘this is what I am used to doing’, it is about ‘what do I need to do differently to be successful’. We cannot avoid change and resisting the change will only push your company’s progress further. Companies will need to help their employees understand the benefits of going rapid so that the implementation and execution can be done on time and within the allocated budget.

Key Takeaways

  • Organizations need to be aware of challenges about rapid ERP implementation and be prepared with strategies to overcome these challenges.
  • It is crucial to remember that rapid ERP is highly beneficial to contain project costs and onboard users quicker into the new system. However, the chosen ERP should be able to handle most if not all organization’s needs.
  • Choosing the right tool for rapid ERP implementation is ‘half battle won’ for companies in their journey towards becoming agile.

Book Your Free Consultation for Rapid ERP Implementation.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Migrating to cloud based erp solution

Migration from On-Premise to Cloud based ERP System

Migration from On-Premise to Cloud based ERP System 1500 923 Xcelpros Team

Introduction

If you are dealing with a legacy ERP system that is slowing down your business productivity or limits your ability to grow, its time to start planning the changeover to a new system. Moreover, if you are struggling to get a grip over the exceeding maintenance cost, it’s no longer an option then, rather an absolute must have to upgrade your legacy system to a cloud-based ERP. Upgrading an ERP system is a critical business decision and involves in-depth research and planning. A scalable cloud-based ERP solution capable of managing a comprehensive set of business functions is what you need.

76%

of enterprises have a formal cloud strategy and 74% of organizations will increase cloud spending to over 20% by 2020.

Source: Per a prediction by Forrester and IDC

2020 has come and gone, with higher cloud adoption than expected. Many companies were struggling to adjust to the new normal with their archaic tools. Companies that transformed prior to the pandemic found it comparatively simpler to work remotely and still keep productivity up, in some cases productivity of a company has gone higher than expected due to remote work. If you take a look at the marketplace of today’s business, it’s a data-driven environment. Any decisions business leaders take based on numbers and insights to get the best results.

If you are operating on legacy systems, your business landscape is not up-to-date to provide real-time analytics or meet a modern business’s requirements. To enable a data-driven organization, you need to revamp your system.

The result is innumerable complexities in business operations such as gaps due to handling multiple databases, duplicate manual data entry, broken data flow between departments, missed deadlines, etc. On-premise ERP systems require a series of hardware updates that make the total cost of ownership (TCO) even higher. Security concerns, regulatory compliance, policy necessities add to the complexities.

60%or more companies still use outdated ERP systems, per Microsoft survey.

59% of respondents expressed they will prefer an upgrade to cloud-based ERP in their next implementation, per the Microsoft survey.

80%of organizations are allocating budget for cloud projects. However, more than half are burdened with legacy systems and lack in-house expertise, per IBM

The journey from ERP 1.0 to ERP 2.0

The evolution of ERP happened over a long period of time. It has taken organizations decades to reach the current shape of ERP. The root of modern ERP lies in older production management models like EOQ (economic order quantity) and MRP (materials requirements planning). After years of relying on old inventory management procedures, the manufacturing industry gets its upgrade, MRP II, a software solution enabling computing power to manage different business aspects. Further scrutinizing the broadened scope of MRP II, Gartner coins the term ERP. Later addressing the key market shifts, Gartner calls the software ERP II, a solution capable of tracking real-time, web-based data.

Microsoft Dynamics 365 offers Tier 2 ERP solution that offers superior functionality in minimum complexities and cost. It makes the upgrade and integration easier to the latest technologies and provides a transformative experience.

A switch from ERP 1.0 to 2.0 opens innovation areas by increasing your current IT landscape’s flexibility. Also, cloud migrated mainframes produce an approximate 47 percent lower cost of operations spread across five years than on-premise mainframe platforms.

A popular Cisco survey in 2017 showed that 83% of the best performing US businesses planned an effective SaaS strategy and have started collaborating with cloud vendors. Cisco’s Global Cloud Index for the period 2013-2018 showed that 59% of all cloud workflows would be delivered as SaaS by the end of the year. Moreover, Infrastructure-as-a-service (IaaS) will decline to 28% compared to 44% in 2013, and that only 13% of workloads will be delivered as Platform-as-a-Service(PaaS).

A survey report of Harvard Business Review Analytic Services reveals that 36% of 560 marketing professionals reported legacy systems to be one of the biggest roadblocks in implementing real-time analytics.

Legacy systems may offer you a high horsepower and set customer experiences, but upgrading to new software to keep up with the technological and generational growth is essential for ensuring better performance.

Regardless of the advantages of staying in your comfort zone and managing business processes with your legacy ERP system, these factors drive you to switch from legacy to cloud –

1.Operational inefficiencies:When your business expands, migrating to the cloud is an effective solution to keep track of all the real-time data and increase collaboration across your company’s different departments. Clinging to legacy software during business expansion decreases benefits of cloud ERP systems.

2.Growth of business:Growth of a firm often refers to the global expansion, reporting and compliance requirements and expansion of financial services. New opportunities like market growth, acquisitions and disinvestments require stabilized systems with smooth processes to be in place. As mentioned above, streamlining various departmental functions that deal with them for development and growth requires an agile cloud-based platform.

3.Technological Transformation:Unlike the expectations from previously used legacy systems, today’s users demand collaboration and ease. Companies expect essential operational functions like real-time analytics with customized dashboards, social collaboration with increased mobile access, and quick updates. This is easily achieved using cloud ERP systems.

Legacy to Cloud – Data migration challenges

Many companies operate on home-grown legacy systems, comprising both hardware and software. These systems were the foundation of working business systems and managers might hesitate to switch to other alternatives without a transformation plan. Though it is tough to make ERP implementation decisions, every business needs to upgrade to stay ahead of competitors. Some of the fears are also related to Data migration.

Per a report by Bloor Research, 31% of cloud data migration projects fail. Following are a few hurdles faced by organizations today, resulting in migration failure.

  • Insufficient knowledge of source data – A knowledge gap leads to problems such as lack of source knowledge, duplicates, missing information and erroneous data. This gives users a false perspective of data in the new system resulting in an incorrect design. Bad data leads to problems, and companies blame the new system until they figure out what the real issue is. It is essential to understand what information is a business need vs. a system constraint. Such situations make it essential for you to understand the source of data.
  • Unstructured processes – The process of data migration involves disparate technologies used by disparate people. Manual data migration increases human errors resulting in inaccurate, incomplete and outdated information. The outcome of such errors is the lack of technologies and resources to correct data. It is essential to perform an advanced analysis while planning and designing to help you recover these hidden errors.
  • Failure in implementation validation – Ineffective testing during the initial stage of deployment and lack of knowledge about the data sources results in its implementation failures. Running a few tests using the full volume of the data helps estimate the worst-case scenario missed using conveniently available data.
  • Late final result evaluation – This issue usually occurs at the testing stage, where users see only the final data compiled into the system at the end of design and development. Problems like data incompatibility with the new ERP system arise at this stage, which can be avoided with effective testing during the migration process saving the company time, money and delayed data migration time. Users can get involved in the evolving test cases to show them data output’s actual prototypes.
  • Lack of full usage of expertise – Most companies do not use the right expertise. They face issues in decoding large codes, obtaining access to these codes and other functional challenges. Introducing such experts to your project helps make sense of the disparate data for effective data migration techniques.

Figure: 1Benefits of moving ERP to the cloud

The bigger question – What does the cloud have to offer?

Even though migrating to the cloud might look like a hefty expense, it saves you from the troubles of operational inefficiency, effective demand forecasting, poor customer service and reduced ROI.

A few characteristics and advantages of a new and advanced cloud-based ERP would be –

  • Improved ERP Performance – The switch from on-premise to the cloud helps free up computational power and resources that are essentially necessary while deploying an effective ERP solution. This is one of the most significant advantages offered by the cloud, which eliminates any infrastructural costs, helping smaller businesses flourish and the only necessity is a well-established internet system.Microsoft Azure offers you a flexible cloud platform that quickly adapts to your business’s needs and requirements. It is simple to adjust and provides a host of building blocks that allow you to customize the cloud according to yourself.
  • Reduced Operational Costs – An on-premise ERP software requires a workforce to maintain it. The additional costs on human resources and the ERP software cost can increase operational costs for the firm. Using cloud ERP software gives you benefits like a monthly subscription tailored to the customer’s needs at a low outlay cost. As the implementation costs are much lower, the overall operational costs also reduce.
    The cloud’s added benefit is that it provides a common platform for developing various solutions, negating the developing time for constructing programs from scratch. The aforementioned helps in the allocation of resources for other activities that add a higher business value.Due to its large customer base, Microsoft offers a large volume of discounts to their customers. Azure usually works as a pay-as-you-go model, reducing the input costs for smaller companies. Larger enterprises who sign contracts are offered a more considerable discount as well.
  • Higher Security – The input and output of the ERP systems’ data is generally confidential and requires a well-established and secure maintenance system. Cloud ERP offers superior quality security systems that ensure that the information is effectively protected and encrypted. The user access to such data helps in the effective correction in the areas needed.Microsoft Azure offers you a multi-layered security system helping you detect threats earlier with unique intelligence.
  • Real-Time Analytics – Contemporary software-based solutions make it necessary for industry models to offer real-time data for the process optimization and business intelligence based on which decisions can be made. Cloud ERP software comprises API links to the platform, helping users scale reporting and analytical needs. The instant access to the data on the cloud makes information readily available, which benefits industries like manufacturing, where real-time data tracking helps in process optimization.
  • Enhanced UAT and API testing – An effective User Acceptance Testing and API beta testing has become a more common approach. In opposition to testing in isolation in an engineering setting, UAT and API methodology are more conducive to finding and more responsive to real-world problems.

Figure: 2 Variety of functions offered on the cloud

Cloud for ROI

The two main components of calculating ROI for an ERP software are –

  • required investment and savings
  • efficiencies & goodwill

The calculation of ROI for the software does not have a predetermined methodology as the software brings a variety of intangible values with itself. The benefits are primarily in reducing operation cost, optimizing inventory levels, labor cost and improved production.

The ROI is often masked in reductions of operational costs of running the company using transparency in the organization and the activities taking place in it. The benefits can also be reduced administrative costs by reduced paperwork and time information exchange using real-time data tracking. Inventory costs are reduced by optimizing material stock and by tracking the inventory health in turn increasing the ROI of the software.

Azure is the only major cloud platform ranked by Gartner as an industry leader for both infrastructure-as-a-service (IaaS) and platform-as-a-service (PaaS).

What does Azure have to offer to you?

As per a Forbes study, enterprise adoption of Microsoft Azure increased significantly from 43% to 58% in 2018, attaining a 35% CAGR.

Raising cloud ERP adoption rates by such a high margin shows the increasing popularity of the software gained from features like increasing flexibility. Azure adopts and adapts other operating systems’ standards and embraces competing for software platforms to ensure it stays relevant to as many people and companies as possible.

Here are a few advantages of Azure –

  • Widespread customer support as Microsoft spreads over 19 regions across the globe and offers support plans in a variety of languages.
  • Offers a hybrid environment that helps you gain benefits from both on-premise and cloud software solutions without any added cost burdens.
  • Visual studio online and application insights helping in developer collaboration and increased options.
  • Offers you virtual systems like Linux and Windows servers, increasing your ability to run virtual machines.
  • Ability to scale on demand
  • Reliable back-ups in case of data loss
  • “Set it and forget it” scheduling
  • Increased automation
  • Reliable data storage and increased security

Figure: 3Cloud benefits to your business

Key Takeaways

  • In most organizations, legacy systems are still hovering around because the cost of refurbishing them is too high till they are in working condition and the management sees this as business overhead. On the other hand, the IT department sees it as a can of worms. Due to reeling communication, responsibility and financial problems, the organization are unwilling and initiate this migration.
  • The best thing the organizations can do in such a case is to hire an external vendor or an SME who can assess the situation and make this difficult decision and formulate a pragmatic approach to convince the stakeholders else they will pay for the opportunity cost of losing.
  • Finally, we can’t undermine having a proper cloud alliance that can help the organizations lift-and-shift their legacy systems to the cloud and reinvent these systems’ performance and makes all stakeholders see ERP cloud migration’s long-term gains.

Take Our Free Assessment to Get Started With Digital Transformation

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

erp trends

Top 5 ERP System Trends in 2020 to help plan for 2021

Top 5 ERP System Trends in 2020 to help plan for 2021 1920 1080 Xcelpros Team

At a Glance

  • 2020 has been a rollercoaster ride for organizations. Companies are figuring out systems to handle remote work, disrupted supply chains, sudden changes in raw material prices, an onslaught of data, and labor shortage significant challenges globally. Many of these companies got their tasks streamlined and optimized in these times with ERP systems.
  • Going forward, ERP in 2021 will be a gateway towards more flexible and agile systems which will enable companies to aim for zero downtime, improved resource functionality, and overall better process optimization.
  • Innovation is the key to ERP’s growth, and the current trends are pointing towards organizations’ keenness for out-of-the-box ERP applications.

Organizations worldwide integrate ERP into their IT infrastructure for operational efficiency, data management, finance and accounting, and process automation. The digitization of an enterprise through newer ERP solutions raises an organization’s performance and dexterity.

ERP has come such a long way from its early inception days that the older versions are quickly becoming obsolete. Companies are moving from legacy to newer ERP platforms to gain traction in the digital ecosystem.

According to the Panorama Consulting Solutions’ 2018 ERP Report, 49% of companies (USA, EU and Asia) reported improved business after ERP implementation.

With such a tremendous success rate, it is no wonder that majority of companies have either implemented or are looking to implement ERP. However, like any other technology, it is essential to keep on top of ERP systems’ features and solutions. Here’s a look at the top 5 ERP technology trends that companies need to watch out for:

1.Integration with AI and its positive impact: Gone are the days companies would look at artificial intelligence (AI) and ERP systems separately. The upcoming ERP comes integrated with AI and offers smooth functionalities in various functions such as efficient accounting, report generation, warehouse/ inventory management, customer service betterment, and more. Another positive impact of ERP systems integrated with AI is that it helps process automation and can save manual labor efforts and cost. This can serve as a boon for companies struggling with workforce shortage due to the Covid-19 pandemic.

2.Cloud Acceleration: Another upcoming ERP trend is the much-talked-about cloud acceleration feature, wherein organizations (or individuals) will be able to expedite data delivery to respective nodes with the help of a smart ERP system. A cloud ERP system also enables organizations to seamlessly go along the digital transformation journey with real-time data feeds and verifications.

3.Agile ERP to Support an Agile Organization: Most companies are asked today if they are agile? To be agile and get away from the conventional waterfall method (where one function would complete the task before moving to the next), companies will delve into agile ERP. An agile ERP will support co-existence and concurrent working of multiple functions with a centrally accessible database. This will help companies reduce and expedite iterations, preempt and avoid operational glitches, and better manage their processes.

4.Customer-focused ERP: The business landscape is changing with digitization. Companies can now reach their customers directly and get honest reviews about their services/ products, thanks to various online platforms. Thus, in the year 2021, ERP will play an essential role in strengthening this connection and taking it in the right direction by generating alerts, reducing response time, and improving overall customer satisfaction for a company.

5.ERP aiding persona Marketing: Organizations worldwide are trying to make the most of their digital marketing spend by optimizing R&D about a customer/ prospect demographic. Cloud-based ERP systems can prove vital in that facet by serving as the data-gatherer and insight generator systems for a better, faster, and more accurate understanding of the customer’s preferences. Not many enterprises know the immense value that the current sales/ customer data provides to cross-sell/upsell/sell new products to existing customers or prospective customers within the same demographic. ERP systems can effectively streamline backend data and provide trends to aid digital marketing.

Figure 1: The Future of ERP: Comparing Features

The past year has seen numerous benefits of ERP in different business processes. A trusted ERP system such as the Microsoft Dynamics 365 Finance and Operations will be instrumental in helping companies manage operations efficiently. This ERP software is designed for today and the future, and it encompasses cutting-edge features that help fulfill your organization’s digital transformation quest.

New-age ERPs release updates to stay current in the market, and it is essential to upgrade by assessing the latest feature sets in the latest versions. Getting ERP consultants and experts on board can also help you in continuously improving your ERP system to adapt to the latest trends.

Key Takeaways

  • To stay ahead in the digital era, organizations need to keep up with the trends of cutting-edge software like the ERP.
  • The current and coming years will see further integration of various digital technologies into ERP to provide a comprehensive system that benefits both companies and customers.
  • The future and growth of ERP lies in digitization, agility, and enhanced process optimization features. Companies from various industries will need to upgrade their ERP systems to reap these features’ full benefits in the coming times.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

erp for chemical industry

Digitization of the Chemical Industry-Role of an ERP system

Digitization of the Chemical Industry-Role of an ERP system 1920 1080 Xcelpros Team

At a Glance

  • Chemical companies are looking to adopt the newer, digitized technologies to their fullest (instead of merely installing systems and processes that operate in silos).
  • A well functioning Enterprise Resource Planning (ERP) system can help chemical companies in all phases of their operations- procurement, manufacturing, supply chain, vendor management, aftermarket, and more.
  • Implementing an ERP system need not be a costly or daunting affair, provided companies go for the right system and take the help of experts where need be.
  • The Covid-19 pandemic has put chemical companies at the frontline as this sector provides the raw material for hygiene products and chemicals. There is an elevated demand, expanded supply networks, improved data flow, and a greater need for systematic operations optimization.

Digital transformations have been a boon for every industry; however, many sectors are still looking for ways to utilize these technologies to their fullest. The chemical industry is on the cusp of legacy and advanced software and systems. Many companies have departments working in silos, manual documentations, slow change management mechanisms, data discrepancy issues, and an overall fall behind when it comes to digitization and automation. Chemical companies can address these issues and many others by investing in a high-end ERP system.

According to PwC’s 23rd Global Annual Survey, 42% of chemical company CEOs prioritized and invested in digital operations and related technologies.

The above stat signifies that now is the time for chemical companies to systematically restructure their IT base and look at ERP as an option and a way forward to sustainable growth. After all, every sector is looking to leverage digitization to their benefit, including the chemical industry.

Here are five benefits of an ERP software system for chemical companies:

1.Digitization of Processes Leading to Accelerated Timelines:An intricately designed yet easy to implement ERP system such as the Microsoft Dynamics 365 ERP comes equipped with artificial intelligence (AI) and machine learning (ML) based features that can automate many processes such as documentation, reporting, log entries, etc. This will reduce manual intervention (providing personnel with time to invest in more innovative aspects) and mitigate errors. Digitization in the chemical industry also helps expedite processes as the data can be accessed, altered, and verified in real-time. With Microsoft Dynamics ERP, chemical companies can realize the vision of going agile.

2.Fortifying Supply Chain Management (SCM):A comprehensive ERP for the chemical industry can facilitate better management of your supply chain by interlinking the departments and creating a data pool between finance, sales, and delivery. This way, you will digitize and monitor the procurement of raw goods, oversee warehouses, manage inventory more efficiently, channelize communication between different stakeholders, and streamline the workflow.

Figure 1: A Multi Pronged ERP System to Integrate Different Departments in a Chemical Company

 

3.Better Response Time and Quicker Time to Market:An ERP for the chemical industry provides companies with a competitive advantage by giving better process and resource visibility, interconnecting departments, and avoiding bottlenecks. ERP is also integral in enabling chemical companies to identify their slow to move inventories and find quicker delivery options. This considerably reduced time to market. The overall product development process in chemical manufacturing companies is also expedited, thanks to the automation and optimization features of ERP systems, and this also results in quicker time to market.

4.Dynamic Change Management:The chemical manufacturing processes are subject to changes at different levels, from pre-formulation to production and packaging. These changes take time to get recorded and notified in a legacy system-backed environment, leading to delays. However, ERP allows chemical companies to be more flexible and dynamic in their change management approach. As data becomes centralized and systems become integrated, inter-departmental collaboration shines through, expediting the communication network in a change management ecosystem. Even at the supply chain and aftermarket levels, ERP allows better visibility across several stakeholders, enabling manufacturers to respond in optimized ways to any changes.

5.Better Customer Service and Enhanced Customer Satisfaction:Like any other industry, the chemical industry also strives to satisfy its customers- be it other industries or retailers or the end-user. With an ERP system for chemical manufacturing, companies gain insights into customer preferences, and they can anticipate market needs. Companies are choosing ERP systems designed to respond quicker and better to customer demands. With the ever-changing customer expectations scenario, chemical companies need to invest in a system that provides them with better customer visibility and agility to respond.

ERP is a software of possibilities, and the chemical companies can turn these possibilities into opportunities. To survive, sustain, and thrive in the era of digitization, the chemical industry can make use of this software to integrate and collaborate better. It also helps to get expert consultants onboard to implement ERP smoothly and leverage it to maximize performance and reduce costs. While every company has a different set of problems and requirements, well-designed chemical ERP software can efficiently address individualized issues.

Key Takeaways

  • The chemical companies must conduct a complete analysis of their as-is IT infrastructure and identify the right ERP system for their requirements.
  • ERP is a dynamic, flexible software, and thus chemical companies can evaluate comprehensively better many aspects of their operations with the help of a single system.
  • With learned ERP experts, chemical companies can go places in terms of operating smoothly and delivering consistently.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Why Do ERP implementations Fail? Key Points to remember for a Successful Transformation

Why Do ERP implementations Fail? Key Points to remember for a Successful Transformation 1550 750 Xcelpros Team

Introduction

In recent years there have been more stories of ERP implementation failures. With this in mind, it is understandable why organizations might be apprehensive about investing in a new ERP solution when the failure rate is high. The reality is that most of the ERP implementation projects often fail to meet the triple constraints – scope, budget, and timeline. These projects tend to start well with a Project Charter that lists out the objectives, and very quickly, deviations start hindering the project. Despite these hindrances, companies that do not shift to a new age ERP to optimize their business functions, especially post COVID-19, fall into the risk of losing business. How do companies then overcome a standstill situation? Read on to know more about how you, as a company, can progress forward and overcome this dilemma.

50%of SMBs will focus on the integration of on-premises and cloud resources by 2021 and it will be their top IT spending.

2/3 of SMBs will have digital transformation as a key part of their IT strategies by the end of 2023.

60%of SMBs will have mobile worker support in place by 2021.

Source: IDC, 2019

The Business Story

If you are a Small or Medium business owner, your workday often starts at home by triaging emails early in the morning. Having grown the business from the ground up, you know your customers / vendors, and you’re still involved in day-to-day operations. But the bigger the company gets, the more complex your business processes become. Each email adds something to your to-do list, which typically requires transitioning to a different application.

You use accounting software to prepare an invoice, a CRM system to manage your contacts and sales pipeline, and perhaps yet another manufacturing solution to track production or inventory. Switching back and forth between fragmented, stand-alone solutions takes time and often requires duplicate data entry. This diminished productivity stifles your ability to scale and cuts into the time you could spend developing new business. To keep up the pace of your growth, you’re likely considering the move to a more comprehensive business management solution. Read on to dive into how to make it happen.

Plan the Move, but Execute Rapidly

Companies cannot hide in the comfort zone of their existing antiquated applications forever. Disconnected systems cannot handle the complexity of a growing business. Post COVID-19, the impetus is towards operating rapidly with fewer resources, reduced cost, and still being able to build a system that will set companies to thrive in the market.

Technology objectives for business involve:

  • Deploying one solution to manage financials, sales, services, and operations.
  • Connecting apps like payroll, banking apps, CRM systems, e-commerce, or customer APIs.
  • Creating quotes, orders, and invoices right from Outlook and get tasks done on the go with mobile apps.

It would help if you had a champion within a company that understands the importance of staying agile in challenging market conditions. This champion should spearhead the rapid transformation project with the help of experts that excel in ERP implementations and have seen a variety of implementations across multiple applications.

ERP Assessments

Assessments are done during any phase of the project, to make sure the project is on the right path, especially when there is a high spend involved. In most cases, management’s perspective either will be that the software is too slow and complex to adapt to the company environment, or selection of “wrong” software packages led to the failure. The primary reason for an ERP project failure is due to the lack of proper user adaptability rather than any issues with the software as issues with software are easily fixed through update patches from the ISV.

The right time to do the assessment is before starting the implementation. It is essential to conduct a risk-free assessment, benefits analysis, performance objectives for operations, and budget analysis. Ideally, a Free Pilot that gives you a gist about the application and how it may fit in your company can be an ideal route. After all, an ERP is a critical investment that companies, especially SMBs, undertake towards upgrading their business capabilities. The evaluation of ROI is, therefore, essential and can be assessed based on how quickly the business can leverage a new ERP system in line with the objectives of the investment as a whole. A little bit of caution, careful planning, and looking below the surface can take you miles closer to a successful ERP implementation.

Nearly 75% of all ERP deployments fail to meet their expected business objectives in entirety.Source: Gartner

Why do ERP Implementations Fail?

Below are a few reasons why ERP implementations see significant deviations from the original scope that impacts the triple constraints:

1.Undefined Objectives – Once you decide to migrate to a new system, your first step should be to define the clear goals for the project, allowing you to refer back to them if and when deviations popup.

Few questions that would aid the transformation:

What are you trying to accomplish with the new system?

What improvements are you expecting in every department?

Is the goal automation and standardizing workflows, increasing collaboration across departments, or speeding up time to market or reducing throughput time?

Are all of your goals possible to achieve through this deployment?

What is the absolute must-have for the transformation?

And what protocol is in place to handle deviations when a wishlist pops up that steers the project out of control?

2.Limited Resources – Most companies underestimate the totality of the internal resources needed for the project. Companies often don’t plan the right kind of internal resources to help the transformation, play liaison, and make the tough decision on what requests are unreasonable for a successful go-live.

3.Change Management – A new ERP brings change to your entire organization, impacting the daily lives of employees across all functions. Each employee’s level of change tolerance differs, and being open to learning a new system becomes part of the change management process.

4.Unrealistic Timelines – Project schedules are no less important than planning the budget and resources. We often see unrealistic timelines that don’t align with the expectations of the project. Management may want to push functionality that may not be feasible in the first implementation rollout.

5.Hefty Customization – Customizing your ERP system can offer you an extra edge but also involves risks. Customizations often start small but can quickly grow in complexity, further extending timelines and adding hours and hours of additional development. A recent survey reveals that less than 20% of respondents implemented their ERP system with little or no customization. Most companies find it enormously challenging to control the project scope by turning down customizations.

The majority of ERP system failure attributes to hefty customizations.-SoftwareAdvice.com

FIGURE 1: Case Study: Hershey’s Story Is a Living Example of ERP Implementation Mistakes

Outcome: Harshey had to lose a huge percent of market share over competitors such as Nestle, Mars. Underestimating change management, having set unrealistic timeline and inadequate training resulted in implementation failure of the ERP system. Despite having warehouse filled with inventories, most of their products could not hit the market on time.

Safeguard the ERP Deployment and Minimize Post-Go-Live Issues

According to Gartner, 90% of organizations shift their preference from a single vendor ERP suite in favor of integrating multiple niche applications, which it recognizes as a postmodern ERP application.

To ensure a successful ERP implementation, your organization needs to follow a few practices including:

Define objectives and goals

Analyze key Performance Indicators (KPIs) to help track the critical purposes of ERP implementation, such as supporting organic expansion and transparency in operations.

01

Identify best-fit vendors

Examine vendors for their technological knowledge, industry experience, and prior success rate before signing contracts. You want trained professionals with in-depth knowledge that can help reach the expected output.

02

Agree on the methodology

Evaluate the right project methodology that can be converted into a set of executable tasks for the project, and agree to the process and protocols involved in it. You will want someone in-house with prior experience to be the liaison between the implementer and the end-users.

03

Finalize the features

Finalize essential ERP features for your implementation, remembering to take into account the budget, synchronizing it with core business requirements. Create a blueprint of the intended design.

04

Feed relevant data

Identify only the data essential to transfer and try to keep it to a minimum. Data migration can be a tough task, and burdening the software with irrelevant and unstructured data could slow the process.

05

Training and change management

Train end-users and employees to develop susceptibility in them to changes. As updates or developments take place within the ERP system for increasing efficiency within the organization, employees should be confident enough to absorb those changes.

06

Testing

Understand that testing is essential for an ERP implementation. You will want to formulate a plan and a method of testing to understand the issues that popup during builds and a process to resolve the problems. It’s also important to realize that if problems arise during testing, they will need to capture the necessary details of what needs to be corrected. These issues are not a reflection of what the system will be post-go-live, as long a timely resolution plan exists. If the same problem repeats, it is essential to highlight the issues which could be due to an underlying data or design defect.

07

Understanding an Enterprise Resource Planning System that Works for You

The ERP that is chosen should have the potential to meet all of the business objectives. Users should be trained to understand the system, to avoid issues with data integrity or process efficiency. Ultimately the primary aim is to minimize slowdown in operations due to limited workforce.

Accessibility of real-time data from any location helps the workforce to support agile business operations. Businesses need to integrate and streamline all activities of the organization and promote real-time visibility of operations such as:

  • Inventory Management
  • Accounting
  • Order Management
  • Supply Chain
  • Customer Relationship Management
  • Human Resource Management
  • Product Lifecycle

You need a solution that helps maintain compliance, secures data, and delivers a 99.9% uptime service level agreement.

Your ERP solution suite should provide with the possibility to

  • Handle, store, and transmit data securely across your systems
  • Protect information from unauthorized access with automatic Microsoft datacenter encryption
  • Control access to personal data and implement audit trails to ensure security and accountability

How does the Microsoft Ecosystem Help?

Most SMBs will outgrow basic accounting tools due to the lack of functionality and integration. Disjointed systems create incomplete data and tedious reporting resulting in blind spots and poor decisions. Lack of controls, workflows, and unsecure data causes further business risks. An agile application such as Dynamics 365 Business Central natively integrates with O365, PowerBi, and Microsoft Dynamics Sales apps – boosting the company’s ability to perform in challenging market conditions. It helps to run your business with a single solution that streamlines business processes and helps employees work faster and smarter. The heterogeneity of a suite of applications like Microsoft leverages the combined strength of the best apps for specific tasks, which is not possible through an individual ERP.

Together, Microsoft Dynamics 365 Business Central and Office 365 help you:

  • Drive productivity by reducing time spent switching between stand-alone apps.
  • Foster collaboration and communication by breaking down internal silos and broadening visibility across the organization.
  • Accelerate user adoption and lower training time with a seamless user experience.

Key Takeaways

  • Before kicking off the implementation, the management and stakeholders involved need the right information on their role for Project success. Another essential element is to find the right internal champion who can manage user expectations without jeopardizing the objectives of the implementation.
  • A well-planned and coordinated ERP implementation where the implementer and client are on the same page can make the project a lot easier to bring to completion. In contrast, an unplanned ERP can disrupt your whole business process and cause huge losses.
  • It helps in setting the right expectations early, and understanding what to expect so that you can save time and effort and take your business to new heights with the proper ERP implementation.

Xcelpros has designed packages for Microsoft Dynamics 365 Business Central (recommended for SMB with simpler processes), Microsoft Dynamics 365 Finance (recommended for SMB or Larger companies requiring more comprehensive Financial functionality), and Supply Chain (recommended for SMB or Larger companies requiring more comprehensive Supply Chain functionality). 

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

the cost of inaction for an erp implementation

The Cost of Inaction : Case in Point for an ERP Implementation

The Cost of Inaction : Case in Point for an ERP Implementation 1400 820 Xcelpros Team

At a Glance

  • Companies are emotionally and monetarily invested in their business systems. You need a system that delivers Qualitative and Quantitative ROI.
  • The metamorphosis of ERPs from the typical back-office software to the current-day integrated platforms delivers simplicity and interoperability, helping companies make more informed data-driven decisions.
  • Top reasons that hinder a successful ERP implementation – resistance to change, inadequate sponsorship, unplanned upfront costs and unrealistic expectations regarding time and cost of implementation.
  • The actual cost of doing nothing can be calculated by understanding the potential benefits offered by a new-age ERP system versus the cost of maintaining a not so efficient legacy system (we call it TCO).
  • Organizations experience lost opportunities and a slow-down in growth by not moving to a modern day ERP solution.
  • An easy to use Tier 1 ERP system like Microsoft Dynamics 365 promotes enterprise-wide adoption, and in most cases, delivers a quantitative ROI in less than one year.

Introduction

Technology has come a long way with a growing recognition of the transformational benefits and efficiencies it is able to deliver to organizations. Figuring out what software you need, when you need it and how to implement it is what most companies ponder.

While numbers are important, the deciding factor for any new business system should not be driven by Return-on-Investment (ROI) and Total Cost of Ownership (TCO) alone. Continued complacency in choosing a new ERP system impairs your growth and magnifies inefficiencies in the long run.

While most decision-makers understand the importance of upgrading their technology, year after year they end up doing nothing. As harsh as it sounds, it is a reality.

Today’s organizations already struggle to remain competitive. Lack of modern streamlined systems and operations can add undue stress to already-overworked resources, compounding the issue.

While it may be easier to just do nothing, putting off critical business decisions ends up costing more down the road. This is especially true in the case of companies needing operational efficiencies that can be achieved using integrated ERP systems.

Today’s ERP Systems have evolved from traditional back-office tools used only for record keeping, to sophisticated fully-automated systems embedded with Artificial Intelligence (AI), Machine Learning (ML) and Internet of Things (IoT). A tangible benefit the user derives from this sophistication is “Simplicity”, which aids in decision-making, user adoption and operational efficiencies. Tier 1 ERPs such as Microsoft Dynamics 365 render intelligence to enterprises by leveraging synergies of powerful technologies for even faster and more efficient business processes.

This article shares our experiences as strategic technology consultants, commonly sighted patterns and the transformative journey companies experience as a result of their technology investments.

Shortsightedness & the Apprehension to Change

Across industries, business leaders often come clamping down with the urge to make a decision. However, apprehension to change, complexity of ERP implementations and short-sightedness regarding processes result in indefinite delays and lack of results.

There are still companies that rely on multiple standalone applications to handle their business functions. Per our experience, there are two primary reasons why this happens –

01.Piecemeal and Save $X

These organizations will often purchase these individual components piecemeal, as “lower cost items” with the thought that saving $X is the most important aspect. In reality, to get the functionality they’re after they now need to connect 2-3 extra pieces of software with additional costs tied to each.

02. Enterprises Choosing Best-of-Breed

In large enterprises, software built for specific purposes are pulled together as a cluster forming their own “greatest hits” collection. These softwares are connected together by complex interfaces, and often, poorly designed integrations resulting in unforeseen points of failure.

Neither of these options are sustainable in the long run, inevitably driving business leaders back to the drawing board, to now start all over. This is usually a case of business leaders overlooking the bigger picture of what lies ahead.

When organizations are built like this, it limits their ability to leverage connected ecosystems which are designed to provide transparency, ease of use, consistency, efficiency, and most importantly real-time information.

Often overlooked is the fact that while these smaller standalone software can be purchased for a lower price, the long-term ownership, integration, and opportunity costs drive that price much higher than anticipated.

Even worse, once these standalone softwares are integrated, it becomes harder and harder to replace them when they inevitably start to cost more in upkeep, resulting in a need for added maintenance. The growing costs for maintaining different software for different business functions are overwhelming, especially when you begin to consider the resources needed to correctly manage them.

In contrast, a modern, connected ERP helps organizations streamline business processes by synchronizing data across functions, giving way to an agile, transparent, efficient and affordable system. Adding the combined benefits of the factors mentioned above, and still delaying the adoption of an integrated ERP system highlights the actual cost of doing nothing.

Challenges

Companies are not conscious of the fact that by continuing to use a paper-based system and dated technology, they magnify compliance risks, impaired operations and human capital inefficiencies. While a well-integrated ERP system is designed to better manage operations as your organization grows, only a few companies choose to embrace the change.

Making the decision to move to a modern ERP is no easy task. A successful implementation will largely depend on the abilities and experience of your ERP partner, the degree of customization, and the engagement of your organization’s users and subject matter experts (SMEs). Success, therefore, is predicated not just on the investment of resources (people, time and technology), but also the selection of the right partner that suits your company, and culture, with a high level of expertise in your industry. This helps with a smooth implementation and ensures a faster ROI.

Organizations that are yet to upgrade to a modern ERP must continuously resort to short-term band-aid solutions rather than permanent fixes.

Here are some of the challenges that companies face on a daily basis:

  • Paper-based reporting leading to a lack of transparency and delays
  • Frequent outages resulting in a loss of productivity
  • Old and siloed systems dragging down efficiency
  • High costs in maintaining old, customized legacy systems
  • Legacy system unable to track inventory turnover rates
  • Reported productivity (%) is lower than industry standards
  • Projected sales figures are based on guesstimates rather than actual numbers
  • Customer satisfaction scores are dropping as a result of inability to accurately forecast order volumes
  • Financial and stock volume reconciliation takes longer to process quarterly and at the year-end
  • There is a lack of visibility of information across business functions
  • Current system lacks the ability to support collaboration
  • High dependency on third-party software and add-ons leads to significant budget creep annually

If even one of these pain points seems familiar, your organization is ready to invest in a modern, connected, integrated ERP system.

Patterns Plaguing the Industry

We talk to dozens of customers everyday, and realized there are a few common patterns across industries. This is what some of them say –

Roadblocks to Transformation

From Resistance to Change to the lack of a proper Change Management Plan – there’s an array of reasons that could be considered roadblocks to a successful ERP implementation.

Here are some of the most cited reasons we have seen that have resulted in the delay of an ERP implementation –

Figure 1: Roadblocks to transformation: Top reasons that hinder modern ERP adoption

Source: Deloitte

01. The Workforce Is Resisting Change

Resistance to change is the single most cited barrier (82%) for organizations considering migration to a modern ERP.

People are comfortable doing things they are familiar with; whether its existing practices like manually recording data or by using multiple pieces of software in their day-to-day operations. Unfortunately, time and costs associated with maintaining multiple systems wastes valuable resources which could be better utilized in other productive and profitable jobs.

One of our customers, a successful chemical distributor with multiple locations in the US and abroad is in this exact scenario. They are currently running a dated ERP system supported by a collection of point-to-point siloed solutions.

While they’re not shortsighted and have a great vision for their company, resistance to migrate to a newer, more comprehensive solution is holding them back from achieving their objectives within the expected timeframe.

If this sounds familiar, developing a comprehensive change management plan – taking into consideration your people, culture, industry, vision and organizational objectives on the whole has been proven to ease this transition.

Change management is a vital catalyst to help achieve your project objectives. Users need an emotional buy-in when migrating to a new ERP.

Key factors that need to be considered for user change management –

  • Including the end users in the decision-making & planning process in order to streamline change management: Organizations have traditionally focused a great deal on approval processes, while spending little or no time preparing their employees for change.
  • Articulating the benefits of an ERP to employees before beginning an ERP implementation: An uninformed implementation could derail the purpose and commitment of the project, requiring, at a minimum, extended training times, which leads to missed milestones and a delayed adoption.

02. Upfront Costs & Cost-Benefit Analysis

When researching new ERP solutions, organizations often pause to evaluate initial costs. This is especially true for small-to-mid sized organizations with less than 1,000 users as the costs for implementing an ERP can vary depending on the level of functionality, features and integrations required, customizations, mode of deployment (cloud vs on-premise) and brand of software.

While it’s necessary for the buying organization to determine the functionalities applicable to their needs, companies needing an ERP solution should always conduct a comprehensive cost-benefit analysis. The modules and functionality need to be factored to accurately determine total value when compared to a piecemealed add-on solution.

Unlike piecemeal systems, modern ERPs pay for themselves in the long run as they include a variety of integrated and interconnected modules driving a majority if not all of your business functions, including: inventory management, supply chain management, manufacturing, material resource planning, financials, embedded business intelligence, and more.

Figure 2: Based on the deployment type, ERP solutions can have varied upfront costs, time & complexity to implement, and maintainance.

03. ERP Implementations Take Too Long

While the right ERP system delivers enhanced efficiency, speed, and transparency to business processes, the timeframe to implement can only be determined by analyzing the following:

  • Organizational and Compliance requirements
  • Fit / Gap Analysis of the system you chose. In case of gaps, details of the customizations required.
  • Host of other equally sensitive factors such as change management

Extended implementation times are often created by a lack of involvement from senior staff and Subject Matter Experts (SME), as well as inconsistent levels of support from vendors and partners unfamiliar with the industry.

Microsoft Dynamics 365 for Finance & Operations is Microsoft’s flagship ERP. Due to its breadth of out-of-the-box functionality and simplicity, it has significantly minimized the implementation time in comparison to its competitors or even its prior version.

As the ERP landscape continues to evolve, here are some additional points that shouldn’t be overlooked

Full Disclosure: ERP Implementations could require considerable changes to the following:

  • Existing business processes,
  • The training of their workforce,
  • The depletion of allocated funds

Additionally, these implementations can introduce momentary disruptions to businesses operations. Keeping the users well informed and involved will go a long way towards minimizing these disruptions to an organization.

Open Collaboration: An open line of communication is a must, organizations and their chosen ERP implementation partners need to work together to

  • create a defined roadmap,
  • agree on the challenges that could arise,
  • and work together

Collaboration in this way helps minimize any possible disruptions to a business in order to ensure a smooth implementation of the program.

Partners that know your industry: Partnering with the right vendor that possesses demonstrated expertise and experience in your industry is key to a successful implementation. Within the Microsoft ecosystem, choosing a partner that builds solutions in your focus industry is a better choice. Building industry-specific products and keeping up with it in the current day requires a lot of depth in the industry in conjunction with the technology.

04. Unreasonable Expectations – Implementation Process

Organizations are often tempted to implement new ERP systems within a condensed, unrealistic time frame. In our experience, companies that enforce such timelines without consideration of users, change, transformation and company objectives, do not end up with favorable results.

Even after receiving clarity on the time and effort required to successfully complete an ERP implementation, an organization may be tempted to try and get their ERP system implemented in one quick step.

This is neither feasible nor recommended given the differences and complexity inherent to any ERP implementation – This understanding comes from user experience, having a defined methodology and through comprehensive user training.

Project Methodology: There is no one-size-fits-all when it comes to project methodologies. With over 40 years of combined hands-on experience with major ERP systems, our founders have learned that “Agile” is the best way to go instead of a waterfall approach. This understanding has led to the development of a tried-and-tested, unified methodology to implement major business systems. This method can be leveraged for phased as well as big-bang approaches.

User Training & Agility: End users need a comprehensive training plan, agility in the pace of learning, acceptance of new, and be able to work with their partner to streamline their organization’s processes.

05. Perceived Risk to Data Security for Cloud-Based ERPs

Since the introduction of cloud-based systems, conventional on-premise ERP vendors have exaggerated the dangers associated with the cloud to promote their on-premise solutions. This negative propaganda has been going on for many years, despite the fact that today’s modern Cloud ERPs are every bit as secure as their on-premise counterparts, if not more.

Most companies still consider their in-house server to be more secure than even industry-leading cloud companies like Microsoft, Amazon, and Google. Most companies are unaware that an analog fax line is the weakest link today, exposing organizations to a major security breach

The cloud is here to stay, and current ERP solutions come with a host of powerful new security features such as: In-stream packet scanning, continuous application vulnerability scanning, and multi-layer firewall testing offering one of the most secure experiences yet.

For organizations with multiple physical locations, the challenges associated with maintaining more than one security software for each server can be daunting. Leveraging the power and security of the Cloud provides a seamless, uniform user experience across multiple locations.

Key factors influencing the implementation, buy and adoption of ERP Systems

01. “Buy” Decision & Implementation

There are two key factors that matter when you consider an implementation of a new business system –

Qualitative ROI: Characterized by ease-of-use, emotional buy-in of users, connection to their day-to-day lives and overall adoption. These are critical elements and more important than just numbers. Left unconsidered, these will result in a failed implementation.

Quantitative ROI: Return of Investment (ROI) and Total Cost of Ownership (TCO) are the monetary drivers.

Qualitative and Quantitative factors are critical elements that will help you choose your ERP system wisely.

A healthy balance of the above two factors not only helped business leaders implement their ERP successfully but also resulted in a company-wide improvement in the key performance metrics, depicted below.

Figure 3: Company-wide improvement in KPIs

02. Factors That Drive Adoption of Modern ERP Systems

Beyond just TCO being within budget or ROI within an acceptable time-frame, there are more factors that drive companies to implement one business system over another. Here are the top reasons in 2018.

Figure 4: Top reasons for implementing ERP, 2018

Source: Panorama Consulting, 2018

Why choose Microsoft Dynamics 365 over other modern day ERP systems?

Other than its competitive cost, ease of operations and higher ROI, Microsoft Dynamics 365 for Finance & Operations (Microsoft’s flagship ERP) draws its strength from the Power of One Microsoft Ecosystem.

So, what is the Microsoft Ecosystem and why is this a differentiating factor?

Microsoft is the only company that provides a full-spectrum of industry-leading software, from Office 365 to enterprise grade, tier 1 ERP and CRM products. Competing software vendors end up building complex interfaces with Microsoft out of necessity resulting in redundancy and cost overruns.

The components within this ecosystem have come together over numerous revisions to form a comprehensive, connected solution that can be leveraged across industries, by any organization.

Microsoft Dynamics 365 is designed for simplicity with a familiar look and feel experienced within other products across the Microsoft Ecosystem. Change is easy with Microsoft, making it an ideal software for small-to-mid-market companies.

For more information, refer to our article and a whitepaper on the One-Microsoft Ecosystem.

Now, can you really calculate the “Cost of doing Nothing?”

The cost of doing nothing is determined by calculating the difference between the Return on Investment (ROI) of a modern ERP implementation and the Total Cost of Ownership (TCO) of existing, legacy ERP software.

Cost of doing nothing = ROI* – TCO of current systems

Both ROI and TCO need to take into account the following –

  • Cost of software
  • Cost of infrastructure
  • Opportunity Costs (Due to the lack of a good system)
  • Cost of compliance
  • Cost of labor (manual work, paper etc.)

Return on Investment – ROI

Return on Investment (ROI) is a standard measure of performance used to evaluate the efficiency of any investment, such as an organization’s ERP. ROI can also be used when comparing multiple systems, directly measuring the possible return of one ERP against another in comparison to the cost.

ROI = (Value of Current ERP – Cost of Investment) / New ERP Cost

Total Cost of Ownership

Total Cost of Ownership (TCO) is a calculation organizations use to make informed financial decisions. For ERP systems, Instead of just looking at the purchase price, TCO looks at the complete cost from purchase to implementation, including expected costs to be incurred during the lifetime of the product, such as service, maintenance, and more.

Key Takeaways

  • While doing nothing today may seem like a safe move for any number of reasons, doing nothing will only get you further and further away from your organizational objectives.
  • You may easily justify the cost of acquiring an ERP system purely based on ROI, however, the decision should be based on more than just dollars and cents. ERP is the heart of an organization and has a profound impact on the day-to-day operations, change management and most importantly emotional buy-in of an organization’s employees.
  • Regardless of the software, the system you choose needs to support key business functions and objectives of your enterprise, today and at least 10 years in the future.
  • The right ERP partner can guide a buyer in their journey to objectively evaluate the potential of an ERP system based on business objectives and by implementing features relevant to the organization.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

why choose microsoft dynamics 355 over sap

ERP Comparison : Why Choose Microsoft Dynamics 365 Over SAP

ERP Comparison : Why Choose Microsoft Dynamics 365 Over SAP 1400 820 Xcelpros Team

At a Glance

  • ERP systems play a vital role in running the operations of an enterprise. They have a long-term impact on people and processes within a company.
  • Evaluation of ERP systems is overwhelming and requires thorough vetting of various factors that are important to your company.
  • This article evaluates at length, the key differentiating factors between Microsoft Dynamics 365 for Finance and Operations and SAP.
  • Microsoft Dynamics 365 offers the lowest Total Cost of Ownership (TCO) among all tier 1 ERP vendors. Its payback period is 18 months lower than that of SAP.
  • Microsoft Dynamics 365 offers the highest ROI of approximately $17 per one dollar spent within the first three years. This return is exponentially higher considering the ROI for competing ERP and CRM products is $7.23 and $8.71, respectively.
  • Microsoft Dynamics is best suited for progressive mid-market companies aiming to make it big to support growth to an exponential degree.

You have a lot to gain or lose from an ERP system. You have established a core team to evaluate ERP systems and spent the last few months evaluating a number of Tier 1 and Tier 2 ERP Vendors. Your team sat through hours of very boring and a few exciting demonstrations of the system and how they fit your organization.

Evaluating an ERP is overwhelming. Our series of articles focused on ERP comparison will help you make informed decisions. We examine various business applications and how they compare to Microsoft Dynamics 365. Our hands-on experience in ERP systems like SAP, Oracle, Microsoft Dynamics, Infor etc. allows us to provide an objective comparison in the strengths, weaknesses and relevance of these applications.

This article provides everything you need to know while evaluating SAP and Microsoft Dynamics.

What matters?

An ERP system is at the heart of every company. It helps unify people, processes and technology across the organization so that business units function efficiently and work in unison towards a common objective.

When evaluating an ERP, here are a few key parameters that matter most –

  • Business process mapping and requirement analysis
  • Budget
  • ERP Vendor Comparison
    • Total cost of ownership
    • Return on Investment (ROI)
    • Out-of-the-box Features & Functions
    • Duration of Implementation
    • Types of Deployment
    • Operational Disruption
    • Competency of the partner, partner network and resources
    • Evaluation of not just the application but the Ecosystem
  • Technical evaluation including role of ERP in the company’s overall digital strategy

Requirements vary across organizations and so does budget – these are discussions that need deeper consultations and analysis. What stands out as a benchmark is the comparison of functionality, strengths, ease of use, pricing, and value proposition offered by vendors.

Do it once, do it right.

Microsoft has perfected it!

Microsoft has put in visible efforts towards tethering customers into a Microsoft-centric world that is themed around user-friendliness. The company’s continued investment in cloud, user experience, analytics and integration is aimed to increase productivity while reducing overall costs.

Windows from Microsoft is the most popular operating system owing to its ease of use; and per NetMarketShare, the OS is used in over 87% of desktop/laptop globally. Continuing its recipe for success, Microsoft has ensured that the Dynamics platform resonates similar minimalistic yet powerful productivity & design elements of Windows. Multiple acquisitions including Navision, Axapta and Great Plains have helped Microsoft build its flagship ERP product today – Microsoft Dynamics 365 for Finance & Operations.

Microsoft Dynamics 365 for Finance & Operations has been built consistent with the intent of creating a simple, powerful and a common ecosystem. An ecosystem that is easy to use, secure and scalable.

Microsoft Dynamics 365 arguably enjoys a dominant position across small and medium enterprises. The scalability of the application has allowed successful deployments at large retail and manufacturing companies with thousands of users. Microsoft Dynamics has established itself as a viable alternative by voiding the complexities of larger applications such as SAP and Oracle.

Below are just a few well-known large enterprises that use Microsoft Dynamics 365:

Microsoft Dynamics 365 vs SAP – The Comparison

Factors such as implementation time, time to achieve stable state, disruption to business functions are amongst the top qualitative parameters.

  • Per Panorama Consulting, Microsoft Dynamics 365 users reported an average 12 months implementation time compared to its peer SAP with close to 15 months’ time.
  • Average timeline of 12 months is relevant to medium and high complexity implementations.
  • For smaller companies and low complexity implementations, the time to implement is less than 12 months. Get more information from XcelPros on rapid / accelerated implementations for Microsoft Dynamics.
  • Compared to SAP, Microsoft Dynamics 365 users took maximum of two months to achieve stable state as against six months in case of the former.
  • The above finding was also echoed by Forrester Research which reported that SAP users experience more material operational disruption during their implementations than the other Tier 1 providers and that Microsoft Dynamics 365 had the fewest (2017).

Microsoft made it simple, making it an ideal software for mid-market companies.

  • As evident from the above comparison, Microsoft Dynamics 365 scores over SAP in most categories including critical parameters such as time for installation, ease of customization, user experience, TCO, and customer support.
  • A business user needs simplicity. Unlike SAP, which has approx. 70,000 screens for a user to navigate and discover what is useful for his business, Microsoft provides ease of use resonating the very familiar daily used products such as Outlook, Word and Excel.
  • Dynamics 365 allows users to customize the aesthetics of the system for a personalized experience. This includes customization of themes, color, user dashboard both on desktop and hand-held devices including mobile.
  • With embedded business intelligence, the platform assimilates and analyzes customer data to understand patterns and suggest appropriate actions so that sales and marketing organizations are better equipped. Features such as relationship assistant, cortana intelligence, auto capture, and email engagement help gather better sales intelligence and actions thereafter.
  • With Microsoft’s vast ecosystem, Dynamics 365 users can access every module within the system, without the need for investing in other applications. Upgrades and security patches are seamlessly delivered automatically through cloud without causing any disruption to the business functions.

A user story highlighting the power of Microsoft Dynamics 365

Background: A multinational Jeweler needed to modernize its IT services to make use of data collected over time and move from predictive analytics to peerless point-of-sale customer experience.

Problem statement: The global Jewelry house wanted to empower its sales and marketing team with an unified and all-inclusive customer database to create a personalized experience for its customers across all channels (in-store, web, and mobile). They needed to overhaul their IT system to reflect modern age aspects of the business involving back-end IT to POS interactions and facilities management.

Solution: The Jeweler entrusted this responsibility on Microsoft Dynamics for Retail, Finance and Operations, and Customer Service. Integrating information across stores and online channels, staffers were equipped with behavior and purchase patterns of their customers. Using a mobile device, sales personnel were able to access the business relationship, personal information such as birthday, anniversaries, special occasions, to develop better personalized relationship. Marketing team was able to enhance the relation with curated messaging, new product launch and discount offers.

Result: With data consolidated and centralized within Microsoft’s ecosystem, pulling up customer data that otherwise took four minutes were available in few seconds. Using Power BI, the company was able to create actionable insights visualized over an interactive dashboard. With the assurance and reliability of Microsoft’s ecosystem, the Jeweler was able to streamline business processes that helped in further expansion of business.

Power of One-Microsoft Ecosystem

Microsoft ecosystem includes a comprehensive suite of applications ranging from analytics, visualization, artificial intelligence, IoT, PowerApps, CRM, Office 365, and a host of other third-party applications. The seamless integration and the communication of these applications is the key differentiator between Microsoft and any other applications in the market. A few benefits of the ecosystem –

  • Improved connectivity without the need for customizations
  • Improved productivity to enhance efficiencies
  • Improved visibility of information across business functions
  • Ability to download and implement additional functionality / apps from appsource.microsoft.com. This gives you the power to scale with industry and function specific apps on Microsoft Appsource.
    Ex. Integrated Chemical Management (iCM) – This provides extensive functionality in Label Management and SDS Management for Chemical, Pharmaceutical, Life Sciences and Food Industries. Anyone that works with chemicals – industrial, pharma or food grade will need this app. Every company in these industries needs SDSs and be able to print labels. Without this app, companies need to spend tens of thousands of dollars to customize Microsoft Dynamics 365 workflows, reports and many more elements.
  • Capabilities to support CRM, ERP, and human capital management modules
  • Higher accuracy to determine project costs and increased operational efficiency
  • Seamless integration with SharePoint / best document management system
  • Advanced analytics and scope of cross-selling/up-selling using Field services
  • Collaboration and visualization
  • Application development (with PowerApps)
  • Higher efficiency when onboarding vendors/customers due to familiarity with other Microsoft products

Higher Return on Investment (ROI) and Lower cost of ownership (TCO)

Cost is one of the key parameters that differentiates Microsoft Dynamics 365 from its competitors. Dynamics 365 is designed to be flexible to adapt to the changing needs of customers. Independent surveys conducted by research and consulting houses unanimously rate Microsoft Dynamics 365 to have the highest return on investment (ROI) and low overall cost of ownership platform.

  • Microsoft Dynamics is offered on-premise and in the cloud
  • Licensing has been designed to include all roles and responsibilities within an enterprise.
  • At a high-level, On-premise and Cloud have 3 tiers of user licenses and a device license.
  • Cloud is priced at per user per month
    • Full Access / Enterprise – $190
    • Functional User – $50
    • Task User – $8
  • On-premise is priced at a one-time license fee + 16% Annual Maintenance Fee
  • Per a study by Nucleus Research, Microsoft Dynamics 365 offered the highest return on investment, recovering approximately $17 per dollar spent. This number is exponentially higher considering the combined ROI for ERP and CRM at $7.23 and $8.71 respectively.

Microsoft Dynamics 365 can scale up/down with your changing business needs

Scalability is a key element of the ERP you choose. Only Microsoft allows use to scale up/down as per your business needs. In the case of on-premise, you have the ability to lock your maintenance to the price paid at the time of signing the contract. Customers like this flexibility to add / alter licenses as their resource & business needs change.

  • Benchmarked with efficient performance scaling up thousands of users, Microsoft is completely capable of handling your business requirements. It offers extensive functionalities across financials, supply chain management, and customer relationship management.
  • Ex. You can start with the ERP today and add Microsoft Dynamics CRM later. The scalability aids in adding functionality later as required.
  • Dynamics 365 offers enterprise-wide reporting, powerful business insights, tools that support decision making – all these at a relatively lower cost while scoring high on flexibility and ease of use.

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com

Organizational Change Management During ERP Implementation

Organizational Change Management During ERP Implementation

Organizational Change Management During ERP Implementation 1050 615 Xcelpros Team

Change is the only constant and resistance to change is natural. Change management is imperative in establishing a balance amid these aspects.

An organization undergoes a major change while embarking on an ERP Implementation. The new system, processes and learning results in a resistance towards change. Organizations need to undergo change to be in sync with changing markets and business dynamics. Most organizations don’t realize the significance of change management for their chosen ERP solution till after the implementation. At this stage the solution, which now includes people, processes, and technology, may need continuous updates as the organization transitions, to perform at its best.

The infographic explains why change management is integral to an ERP implementation, the challenges involved and how shaping a change management strategy ensures a smooth transition within your organization.

change management in erp implementation

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About XcelPros

XcelPros is a Chicago-based company delivering transformation through technology. We offer business and technology solutions with deep industry experience in Chemical, Pharma, Life Sciences (including Medical Devices, Bio-Medical & Biotech), Insurance, Discrete Manufacturing, Process Manufacturing, Distribution and Food & Beverage.

XcelPros is a Microsoft Gold Partner, Direct Cloud Solutions Provider (CSP) and a Systems Integrator (SI) offering software licensing, implementation and consulting services for Microsoft Dynamics 365, CRM, Microsoft Dynamics AX, Business Intelligence & Analytics (Power BI), SharePoint, Office 365 and Azure (Cloud, IOT, Microsoft Flow amongst many others).

Our mission is to provide integrated technology solutions that amplify impact and empower our customer’s businesses. We believe technology is the key enabler of exponential growth for us and our customers.

Contact XcelPros today to transform your business.

Call us toll-free – 1.855.411.0585 (or) visit www.xcelpros.com