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How to create an ERP?

As part of companies' digital transformation, implementing an ERP has become a necessity.

Many businesses have decided to entrust the design and implementation of their ERP to a freelance developer to help them during this crucial phase of their development.

Discover what an ERP is, its different versions and the existing solutions, how to create a custom ERP as well as our tips for a successful implementation.

What is an ERP?

ERP (Enterprise Resource Planning) or ERP software (Integrated Management Software) is a software package companies use to manage their daily operations (inventory and purchasing management, risk management, accounting, supply chain, etc.). The ERP centralizes information related to the company’s various departments and compiles the data into a single, de-duplicated, and fully reliable source of information.

On the cloud or on-premises, ERPs come as integrated, full-featured platforms — the true nervous systems of companies. They manage all aspects of the business, distribution and production, while ensuring the transparency of your business processes, with differentiated access depending on departments and users.

The different types of ERP

Depending on your company's needs, a choice between different ERPs will be necessary.

General ERPs

It's an all-purpose software that will meet a company's overall needs simply and effectively. Designed to adapt to all professions, it has flexible settings that can be adjusted to best fit different businesses (microbusinesses, companies, etc.).

However, if your field of activity has a large number of specific requirements, this type of ERP is likely to become quickly limited.

Specialized ERPs

Specialized ERPs are designed to accurately meet the needs of a specific trade, business model, or industry. In addition to the features of a generalist ERP, they take targeted development factors into account.

However, such a tailor-made tool can offer less flexibility than a generalist ERP and may present constraints if needs or the profession evolve, especially if it was developed too quickly. This approach will take longer than implementing a generalist ERP if you want it done correctly.

The different ERP solutions

Depending on your expectations and those of the ERP users, different solutions can be implemented:

Open-source ERPs

Open-source ERPs, such as Compiere or Openbravo, do not require purchasing a license, which represents a significant financial advantage. That said, they are not free, as some updates or technical maintenance can incur costs.

You should also anticipate the cost of deploying the ERP within the company. Highly valued by SMEs for their ease of use and integration, they provide a complete and fast solution to the general needs of these organizations.

Proprietary ERPs

Also called "ERP On Premise", proprietary ERPs, for which you must buy a license, are hosted on the company’s internal servers, ensuring on-site data access for users and a set of tools to carry out daily processes. Very fashionable a few years ago, proprietary ERPs (SAP, Sage, Oracle, Cegid…) are no longer as popular with users.

With their high maintenance and hardware costs (backup devices, servers, software, secure installation…), limited functionalities (speed, flexibility, lack of reporting…), and increasingly mobile employees, companies quickly needed new services.

Nevertheless, the presence of after-sales support and maintenance services remains appreciated by some users, as does retaining control over the data.

SaaS ERPs

Fast and flexible, SaaS ERPs (Software as a Service) are booming. Adopted by startups, microbusinesses and SMEs as well as large organizations, this solution—accessible at all times and on all devices—appeals through its subscription model.

SaaS ERP providers offer solutions that guarantee accessibility, data storage, reporting and data intelligence tools, enhanced security with updates performed in real time without user intervention.

With low initial costs and outsourced expertise, many companies have already been seduced. Proprietary ERP vendors like SAP, Cegid, Oracle and Sage also offer a SaaS version of their products. However, you will no longer be the only one in control.

Why create a custom ERP?

Create your own ERP, it means investing in a 100% functional tool that you own. Rather than settling for a solution that only partly meets your needs, implementing an ERP that fits your activity and company culture perfectly will require a bit more effort at the start, but you remain the sole decision-maker and create a solution that will add value to your business while improving its performance.

How to create your custom ERP?

Creating an ERP isn't something you improvise. For a successful ERP, you must go through the following steps:

Take stock

Before defining where you want to go, look at where you are starting from. The first step is to diagnose the company's current situation and its information system by asking key questions:

  • Why implement an ERP ?
  • Which information flows are already available and which tools are currently in place?
  • What is the central purpose of this deployment?
  • Who will be the ERP users? /LI>
  • Which business processes are affected by this implementation?
  • What elements will ensure the longevity of your ERP?

This will allow you to precisely define your company's needs, draw up a factual specification, and implement an ERP that integrates tools adapted to and compatible with your CRM and processes.

Gather employees' needs

In addition to management support, ERP implementation will need field data to accomplish its task successfully. Bring your employees into the loop by taking the time to study their needs and issues. That way you'll achieve three goals at once: collect valuable data, involve future users, and highlight their skills.

Develop the ERP iteratively

Form a team specifically dedicated to organizing the project. It will be responsible for configuring your software so it perfectly meets the specification and the needs of all users.

Before launching, the team will test the ERP several times so that it is as effective as possible from the moment it's deployed.

Deploy the ERP and collect feedback

After choosing the most suitable ERP system and forming a dedicated work team, it's time to deploy the ERP. The system certainly won't be perfect on the first try, and you will need to make incremental changes to have the most efficient tool possible.

Ask your employees for feedback to guide modification or training needs, and again, involve them in the project.

Train teams on your ERP

Now that the ERP is implemented, it's time to train your staff. Whether for production, inventory management, or payroll, your employees are directly affected by this new tool. Demystify it and make them aware of the new benefits for their work through hands-on practice and training.

You can also set up training modules directly within the ERP via embedded application support, enabling self-training that will boost performance and reduce support requests.

Measure available data

From its deployment, your ERP will collect new valuable data, which will allow you to manage the evolution and growth of your business, whether with your employees through process and corporate culture development, or with your customers, for a better experience and/or the delivery of more effective products and services.

You have just triggered an ongoing change based on collected data, enabling you to stay competitive and remain close to your target in real time.

Who to turn to to create an ERP?

If you don’t have the in-house skills to develop a custom ERP and you don’t want to hire, you can also hire a freelancer to handle all or part of the project.

They will have the knowledge and equipment necessary for a successful implementation, which they can make immediately available to your company.

Our tip for building an ERP

Having a custom ERP It is an excellent way to grow your business with engaged collaborators and stay up to date, both for developing your business processes and for your target customer's experience.

To save valuable time and be supported by experts, you can hire a developer on our freelance platform to quickly find the person or people who will turn your ERP project into reality.