Posted on 17th Apr 2023

Gathering ERP Requirements: A checklist For Businesses

Creating a detailed ERP needs checklist is crucial for long-term success if your firm is in the process of selecting an enterprise resource planning (ERP) software. However, a haphazard approach will only cost you time, money, and resources. There are several downloadable ERP requirements checklists and templates available online. Still, only some of them are practical since they tend to focus on general functionality rather than the team's unique needs that will use the ERP for years to come. The ideal approach is to create a personalized checklist based on your specific demands so you don't waste money on showy features that have nothing to do with your company's aims.

This article will assist you in developing a unique ERP needs checklist appropriate for your organization. It will provide your team with the criteria and questions required to evaluate each system and choose which will work best with five simple steps. You can also study the main features and get started by downloading our free ERP functional needs checklist template

The Importance of Establishing a Requirement Checklist

Collecting and prioritizing ERP needs allows businesses to make better decisions and reduces the likelihood of an ERP project failing. Companies may utilize their ERP needs checklist to guide them through the process, from software selection to deployment. This checklist simplifies the complex process of investing in a new ERP.

More straightforward collection of ERP business requirements from department stakeholders, access to the entire list of ERP software requirements and features on the market, more productive collaboration during software evaluation and selection, and easier tracking of ERP functions during system implementation to all of these advantages highlight the importance of developing a requirements checklist.

Building Your ERP Requirements Checklist: 5 Steps To Follow

Apart from analyzing how the ERP system will serve specific business operations, it is also critical to address additional general needs, such as:

Step 1: Define your business needs and objectives

Create a detailed list of your ERP solution's business needs by soliciting input from your team to guarantee that your ERP operates at all levels. Begin by sketching out your essential Business process analysis and mapping the end users whom the new ERP solution will most impact.

Next, please talk with your staff about how a company management system might help them enhance the efficiency of their department. Ask about process gaps, obstacles, and manual processes that waste time and impede them from accomplishing their goals. Representatives from all departments must attend this meeting. Following that, you must select the best solution for your firm.

Step 2: List Out desired software functionality and features

It is crucial to determine which features are most suited to your company. Several of these ERPs are customizable to the requirements of your industry. As part of your checklist, get their recommendations on the systems they've liked throughout their careers. This information can help you save money on training later on. Since then, you may easily select the customization and integration requirements for your business.

As an example, consider rental companies. Inventory management is generally a concern for rental companies. An Inventory and Procurement module may be a practical option in this instance. This enables businesses to connect inventory data to all associated departments via the ERP, delivering critical information that can affect your organization's sales, distribution, marketing, manufacturing, and other areas.

Step 3: Decide on a realistic budget and timeframe

It is critical to determine how much money is accessible for an ERP system. Therefore, it would be best to verify that your firm has the cash to implement an ERP system that meets your unique needs. Each company's budget for deploying an ERP system is unique. It also relies on the organization's size, the number of users, and their requirements.

Typically, the overall expenditure should include software license costs, server fees and network infrastructure, data management and migration. Then software training, upgrade and maintenance fees, and post-implementation consultant assistance. Having a firm grasp on your budget and timetable will make the process go more smoothly in the long run.

Step 4: Set SMART requirements to evaluate ROI

While developing your list of essential criteria, keep the SMART rule in mind and make them clear, measurable, achievable, relevant, and time-bound. This will assist you in determining the value that the need will eventually create. If you can quantify it from the outset, you can compare this measurable benefit to your ERP expenses, allowing you to compute your ROI reporting and analytics.

Similarly, ensure your criteria are realistic and relevant - and remember that only some things have to be necessary. Concentrate on your essential processes and problems. Lastly, they should be time-bound, which means you'll experience the benefits within a few years.

Step 5: Shortlist Potential ERP Vendors

After reviewing the abovementioned requirements, it is time to identify several viable ERP suppliers to meet your company scalability and performance. This is significant because whatever ERP software you choose will almost certainly only be able to perform some of what you want - there may be process vs functionality issues. A competent partner will work with you to close these gaps to achieve the desired result.

Conclusion

Follow these procedures if you want to gather requirements differently. But, having measures in place will guide your company toward picking the finest Enterprise Resource Planning for best user experience and adoption of today and future technologies.

Ultimately, create your prioritized list of criteria and enhance it with a list of non-required advantages. Then, you will compare each possible ERP provider's product to this required list. Globe3 ERP has over 20+ year of ERP implementation towards 300+ companies in Singapore. We have companies has been using our system over 10 years+. Reason being is we keep developing and adopting latest technologies. Therefore you can Contact Globe3 ERP as finest tools for all your users.