Top 5 Challenges of Integrating With an ERP System — And 5 Solutions to Overcome Them
An enterprise resource planning (ERP) system integrates and manages core business processes. These focus on internal operations like finances, project management, human resources, supply chain and inventory. According to one report, 34% of respondents were planning to leave behind their legacy system and transition to an ERP.
Integrating your ERP with other software, databases or external systems can be challenging. Luckily, PenguinData has the top solutions and tools to coordinate a successful ERP integration.
What Is ERP Integration?
ERP integration refers to the process of connecting an ERP system with other software or systems. Enterprise resource planning systems are key for streamlining operations within a company — from financial management to human resources to inventory tracking.
Having a solution that synchronizes with other business applications, such as customer relationship management (CRM), financial software and supply chain management (SCM), can increase productivity across all areas of your operations. Here’s how:
- ERP and CRM: An effective ERP and CRM integration can provide end-to-end transparency that your company can use to improve customer interactions. With more data and enhanced communication between departments, businesses can focus on enhancing and personalizing the customer experience.
- ERP and SCM: Two primary advantages of an ERP for supply chain management are reduced manual processes and simplified reconciliations. Using an ERP with your SCM, you can better manage your supply chain with inventory tracking and advanced metrics.
- ERP and financial software integration: ERP integration with financial software and other kinds of financial technology (fintech) optimizes critical processes in project and asset management.
5 Common Challenges in ERP Integration
While an ERP is designed to streamline and simplify business operations, integrating ERP alongside other software and services can lead to a few hiccups:
- Technical compatibility issues: Differences in software and hardware platforms can lead to potential incompatibility with data structure, format or semantics. If these issues require custom development, the integration can become costly and time-consuming.
- Data migration: Accurate data transfer without loss is essential for a successful integration. Data may be lost due to implementation errors, or secure data could be compromised during the transfer.
- Customization and configuration: Adjusting ERP to fit existing business processes might be challenging if the application program interfaces (APIs) aren’t compatible. Building a custom API in response can be costly and complex.
- Cost and time constraints: While ERP integrations generally reduce costs, the up-front investment can be significant. They can also take time, especially if there are issues with software compatibility or implementation.
- User resistance and training: ERP integrations often come with big changes in day-to-day business operations — employee buy-in is key to a seamless transition, but there may be some resistance to the new system. Furthermore, insufficient training can lead to inefficiencies and errors that cost valuable time.
5 Solutions to Overcome ERP Integration Challenges
With the right partner, ERP integration can be seamless. PenguinData offers the most revolutionary, innovative and user-friendly software. Developed by experts in field service industries for field service enterprises, our suite of a la carte modules provides a central, integrated system for managing operations.
Consider these five ERP integration solutions:
- Comprehensive planning and assessment: Conduct a thorough needs assessment and planning phase before beginning the integration process. Include goals, timeframes, responsibilities and milestones in your plan. A dedicated team can ensure the process moves along smoothly and provide a clear communication channel for any challenges that arise.
- Choosing the right ERP solution: Industries like telecommunications, natural gas and broadband have unique needs and operating requirements. PenguinData’s ERP suite of modules is built for these industries to optimize project management, employee data and fleet operations.
- Data mapping and cleansing: To avoid data silos and migration errors, proper data mapping can bridge the gaps between sources to ensure information is accurate and usable after integration. Cleansing — deleting obsolete data and condensing duplicates — will also ensure a seamless transition.
- Incremental implementation: A major challenge — and a roadblock for many enterprises — is the cost and time of ERP integrations. The right solution scales with you — that’s why PenguinData offers both a complete suite and a la carte modules so you can focus your energy on what you need most.
- Training and change management: Implementing effective training programs and change management strategies can stave off user resistance and simple mistakes. PenguinData supports seamless integration with comprehensive support services — we’re a true partner in ERP integration, and we go the extra mile to understand your needs and ensure success.
Advantages of ERP Integration With Business Applications
Take your workforce to new heights with PenguinData. Our software as a service (SaaS) offerings, including our Emperor Suite and a la carte modules, integrate with your business applications to ensure communication between core departments and enhance efficiency.
Let’s review the advantages of ERP integration with your business applications:
Streamlined Operations
When done right, ERP integrations enhance the features of individual business applications. From managing invoices, inventory and fleets to streamlining workforce management and staying compliant with regulations, PenguinData ERP Emperor Suite of Modules has a multitude of functions for your operations.
Through enhanced communication and transparency, your organization can save time and boost productivity. Whether you’re coordinating a complex system of equipment and fleet assets or managing a large-scale construction project, ERP integrations can streamline your operations.
Other operational advantages of ERP integrations include:
- Managing personnel
- Eliminating data silos
- Optimizing data storage
- Reducing manual data entry errors
Data Consistency and Accuracy
Data is the lifeblood of an organization — ERP integrations centralize data so enterprises can focus on essential business processes. Data silos lead to disorganization and roadblocks that can impact efficiency and revenue. Integrating PenguinData’s ERP with your business applications unifies all your disparate data sources so your enterprise can work from a single source of truth.
Seamless access to data across your organization ensures consistency and accuracy in your operations. For example, SCM platforms rely on up-to-date information to optimize delivery times and reduce transportation costs. ERP integration enhances data transparency across organizations to ensure all divisions are in the loop.
Enhanced Decision-Making
Making the best decisions for your organization means having all the information you need right in front of you. PenguinData works to ensure you have your finger on the pulse of your operations at all times with real-time tracking, reporting and automation for all your enterprise data. Our reporting and analytics features continuously monitor operations so you can respond to challenges swiftly and effectively.
Contact PenguinData for a Free Demo
PenguinData knows how operating from a single source of truth can ensure success. That’s why we developed our software to provide the integration and communication capabilities that matter most. Our Emperor Suite of Modules can improve communication, eliminate bottlenecks and maximize your organization’s efficiency.
You don’t need to take our word for it — read how PenguinData has helped enterprises like yours grow. Request a free demo of our software, and our team can provide a customized plan that accounts for your organization’s unique needs.
Links
- https://www.techtarget.com/searcherp/news/252478862/Panorama-ERP-report-shows-continued-satisfaction
- https://blog.penguindata.com/guide-to-erp-systems/
- https://blog.penguindata.com/erp-vs-crm-systems/
- https://www.penguindata.com/workforce-management/modules/
- https://www.penguindata.com/contact-us/request-client-support.aspx
- https://www.penguindata.com/workforce-management/modules/fleet-and-fixed-asset-tracking.aspx
- https://www.penguindata.com/assets-pd/docs/how-data-silos-negatively-impact-business-operations.pdf#zoom=150
- https://www.penguindata.com/corporate-dashboard/
- https://www.penguindata.com/why-penguindata/
- https://www.penguindata.com/workforce-management/modules/
- https://www.penguindata.com/why-penguindata/testimonials.aspx
- https://www.penguindata.com/demo/request-webinar-marketing.aspx