You expect enterprise resource planning (ERP) to be the lifeline of your business, but what if it’s not producing the results you expected? If your ERP solution is not purpose-built for wholesale distribution, you may be missing necessary functionality, therefore making your company reactive instead of proactive.
A recent Mint Jutras survey on ERP solutions revealed that functionality continues to be a challenge for many wholesale distributors:
- Thirty-six percent of wholesale distributors rated “missing required functionality” as more than moderately challenging.
- “Customization-related challenges” ranked as one of the top five challenges to achieving ERP goals, a telltale sign that functionality is an issue. In fact, distributors with heavily customized systems may have spent more in creating and maintaining customizations than they would have if they’d selected a solution with a better fit.
If you are not yet realizing the full benefits of a successful ERP implementation, it is worth asking some tough questions:
- Is your current solution provider staying on top of technology by making software upgrades regularly available to your company?
- Does your current solution provider understand the intricacies of the wholesale distribution business?
- Does your existing solution easily supply the metrics that directly contribute to your company’s profitability, such as customer buying habits and margins?
Unlocking the value of ERP requires a combination of people, processes and technology. Don’t assume you have to settle for a general-purpose ERP solution. Instead, you should seek out function-driven competitive advantage that will set you apart from other wholesale distributors.