Why to Buy BMS?
Wrong Motives & Common Pitfalls
The motives behind buying an ERP, Enterprise Resource Planning, or upgrading to a BMS, Business Management System, often can be wrong. If the motive is wrong, your selection criteria will be wrong as well, resulting in a failed project and probably a catastrophe. Here's a list of the most common wrong motives.
You don't have one!
Yes, any form of BMS or even an ERP should boost your business sky high, but with this motive you have no actual criteria, you don't know what problems this software tries to solve, what size of companies it was built for and more. If you're in this situation, you need to ask yourself the following questions:
Are your current business workflows and practices valid?
Do they still match the best practices and business standards, e.g. ISO?
Will an ERP or BMS make your business work more efficiently or smoother?
Will this ERP reduce your costs?
Are your employees ready for the change and can cope with it?
If your answer was 'Yes' for these questions, then you have the right reasons to buy or upgrade you software.
Your system is old!
Yes, software evolve too fast and new systems appear every now and then. More features are added to the old, but the new systems usually have the most innovative features and cutting edge technologies. If you're in this situation you should consider how satisfying your system is to you and your staff. If your processes and business procedures are in a good shape and the only problem of your software is that it is old, then why would you waste money on a new software that will not add any value to you, your staff and your company? You should ask yourself these questions:
Will the new system make your organisation more efficient than it already is?
Are the operational costs less than the old system?
If the answer to both these questions is no, then stick to your present system.
You're growing too fast!
When a system fails to cope with your business transactions and slows down your staff, the first thing you'll probably think about is changing the software. But you should consider if the software is actually the bottleneck in this situation. Ask yourself:
Do I need more staff?
Do I need more computing power, e.g. upgrade server hardware?
Do I need load balancing? Network upgrade? Is it another software reducing efficiency, e.g. antivirus or firewalls?
Do I have enough working space?
Will customizing the current software or adding new modules solve the issue?
The point is to eliminate other causes before stepping into changing an ERP or BMS.
You're not satisfied with performance!
Maybe you don't like the performance of the company and you are sure it can be much better, or may be you are a new director or CEO and don't like what you saw in your first few days. Are you losing clients because of late delivery? Are your services below those of your competition? You know someone else in the same market doing better than you? Is your inventory system making you ashamed? You heard that another company started to use ERP and leaped from drastic losses to bright success?
If this is the situation you are in, forget about ERP and BMS. You must redesign your company, solve its problems before ever thinking about a huge move like implementing ERP or a more advanced BMS. The only exception to this rule if you are buying from a company that will conduct actual business analysis, drive 'Change Management' process, support you in redefining and redesigning your company, and its operations, procedures, staffing, products and everything hindering your business.