The Cost of Obsolescence | When to Ditch Your Legacy ERP

What price are you paying for your outdated enterprise system?


Before we get on our soapbox, let’s address a common misconception:  

A modern cloud-based ERP would be more expensive than my legacy ERP. I purchased a perpetual license, so I have no recurring fees.” 

This is not necessarily true. With any piece of technology, there’s an associated cost in making sure that it’s up to date and able to handle the demands of modern day-to-day business needs. With a legacy ERP system, however, this qualification becomes more difficult as the years pass, requiring more time, employee resources, and unnecessary workarounds.  

The truth is that a cloud subscription-based ERP can produce savings by allowing your business more freedom and flexibility. Just because you aren’t paying monthly for a subscription, doesn’t mean that your outdated enterprise system isn’t draining your bottom line, elsewhere. Let’s explore.  

Growth-potential is limited. 

The day comes – you’ve won your dream account, their wallets are open, and they’re ready to move forward with a major order. There’s only one problem: you’re not sure if your current system can handle it. Your processes are slow, your staff is strained, and… can I even produce the type of reporting I need? Now, that deal isn’t looking so sweet. You’re in a dead-end relationship if your version-locked ERP doesn’t flex to the velocity of your business.  

Workforce productivity suffers.  

You know that feeling you get when you head into the office with minutes to spare before an important call, you readily open your laptop, and then – Installing Important UpdateNow, imagine that feeling all day every day as you attempt to navigate simple reports, dashboards, or tasks. Not only is it frustrating, it’s extremely time-consuming, and there are only so many hours in the day that your team has access to before they’re burnt out.  

IT efforts are wasted.  

The primary focus of information technology is to push your business forward in productivity and performance – or at least it should be. If your IT team is more focused on constantly cranking out fixes and workarounds for the same old issues, then you’re going in circles. In order to truly develop and lead the pack in your industry, your IT team must have access to the time and resources required to innovate.   

Insight to real-time information is lost. 

Information is power. The power of knowing how your business is performingwhere rank amongst the competition, and what decisions need to be made here and now to move the needle even further. When access to that information in real time is lost, however, you’re left standing like a deer in headlights: paralyzed with no idea what to do next.  

Customers and suppliers are walled off.  

Can you send an invoice or receipt of payment to your customers in just one click? Do your suppliers have insight to your most up-to-date inventory needs? If this isn’t possible due to the limitations of your current ERP, then you’re willingly creating a potentially crippling divide. A modern, cloud-based ERP should integrate and communicate seamlessly with other platformsIf your system doesn’t play well with others, then you’re behind the curve.  

It’s not too late to get up to speed. 

We get it – implementing a new ERP solution can be intimidating and you’re always going to want to be cognizant of how it affects the numbers. However, choosing to not make an investment in modern, enhanced software could be squeezing your pockets in more ways than one once you draw back the curtain. When you’re isolated from real-time information and necessary stakeholders, it can be damaging to your business.  

At Rockton Connect, our goal is to help you figure out which solution is right for you and to guide you through the implementation process (without you wanting to pull your hair out)And whatever your goals are, we feel strongly that an outdated ERP shouldn’t stand in the way of them.  

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