What is ERP and why you should care…

As Moore’s Law dictates: processing power will double every 18 months. Today there’s a great deal of computing horsepower out there. What’s missing is the intelligent application of that power in mid-sized organizations. Getting users working with solutions to solve their problems, provide insight and add value to their lives is the challenge now IMHO.

The big idea with ERP is that the business management software system should be a representation (or model) of the business; bringing together what needs to be done (process) to those who do it (the people) using technology. Technology is the link between these components. So the challenge (really an opportunity) that ERP systems aim to resolve is in unifying the entire process – building an accurate model.

ERP systems are a collection of best-practice processes on a powerful technical platform. Its focus is integrating the relevant areas of an organization to more accurately reflect the business. This allows proactive business people to improve the organization a great deal in many areas. And when the computer system stops being a point of friction and starts being a driver of value, it’s a major competitive advantage. Faster operations, better service, higher accuracy, less headaches…more value.

So the growing challenge and opportunity is not the lack of technical brawn, it’s making the most of the components of our model – our organizations people, processes and technology – in order to build on that advantage.