ERP Competition and Challenges for SME
SME (Small and Medium Enterprises) market situation is completely different from other market.
Competition –
The SME market is characterized by a lot of competitors, who are trying to be a market leader. The competition is hard and we have to fight to get a sale.
Less earning –
SME used to keep a little margin and they have little earning capacity.
Decision making –
SME Company takes about 6 months to a year for final decision making for ERP. You will have to wait and ensure awareness. You have to keep pushing the same winner buttons: sector specific, same vertical, state of the art solution and low cost price, lower TCO (Total Cost of Ownership).
SME (Small and Medium Enterprises) Company will not wait for you; you have to push all the time. Whenever they call you have to present there.
Characteristics of the SME customer –
They are hardworking, humble, simple minded etc. They work 24×7x365, they know more than anybody. Their approach is very humble and polite. They have proud of their business. They like simple solution for their organization. They are simple and flexible. They can change themselves according to business environment.
Perception of SME Company –
For SME, it is very difficult to maintain the overview of ERP since there are too many functionality and concept changes. It is necessary to understand the available resources and their utilization in ERP. There are too many bad stories of ERP failures, but you can control the development without ERP. You have to be careful in selecting of an ERP.
Enterprise Resource Planning (ERP) –
Industry specific ERP template has no problem to stand up and say: I believe that this is the right solution for you dear customer. ERP covers the latest best practices and process need for a specific sub industry.
Nick Mutt is an ERP consultant and has an in-depth knowledge of ERP and Business Management. To learn more about ERP and business strategies, read Business Management Books. Also know the Benefits of ERP for SME/ SMB.
