Hidden costs of ERP DIY Digitalisation

It begins with an Excel sheet here, a project management tool there, but before long it turns into a patched-up quilt held together with passwords and duct tape. But is DIY Digitalisation saving you money or just costing you time and effort? Let’s have a look at what it is, hidden costs, and alternatives to improve business process efficiency.

What is ERP DIY digitalisation?

It is a mixed approach, using spreadsheets, standalone apps, and custom workarounds instead of a unified Enterprise Resource Planning (ERP) system.

Many organisations have gone through this process, but some remain there. The benefits of this method include a fast setup, familiar tools and lower costs, however, that quickly wears off and could end up costing more than you think.

Hidden costs of ERP DIY digitalisation

-      Data silos and duplication

        •       Data stored in different locations, making it difficult to access and share between teams

        •       Wasted time working around duplicated data sets

-      Productivity drain

        •       Employees jumping between apps and spreadsheets, wasting time and effort

        •       Lack of automation which leads to constant repetitive tasks

-      Scaling nightmare

        •       As the business grows, more costly modules and tools are added on

        •       As team members increase, this patchwork approach weakens and becomes cumbersome

-      Compliance and risk exposure

        •       Manually tracking ESG, QHSE and regulatory needs creates mistakes

        •       Cost of failed audits or fines that do not outweigh potential “savings”

-      Security risks

        •       Unsupported applications lead to weak spots and vulnerabilities

        •       Higher cyber risk with no central system

When should you build your own ERP and when should you buy?

If your organisation is just starting out and you aren’t ready to invest in ERP, building your own, with various tools and spreadsheets can assist you in your business processes. However, it should be noted that this sort of DIY digitalisation method is not suitable for scaling, so it should only be used as a transitional, temporary solution before figuring out the needs of the company.

Why Centerpoint ERP is more beneficial and effective

-      Single source of truth, no data silos

-      Built-in compliance and reporting

-      Real-time dashboards that eliminate duplication and save time

-      Stronger security with a centralised control access

-      Scalable with organisational growth

-      Rapid deployment, does not take months to implement

-      All 8 modules are available straight from the get-go, no expensive add-ons

        •      Operations

        •      Asset management

        •      Maintenance

        •      Purchasing

        •      Logistics

        •      CRM

        •      Human resources

        •      QHSE

-      Affordable and configurable

-      High-level security with Azure

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The price regarding time and money, of piecing together multiple tools, apps and spreadsheets is higher than one initially expects. However, you don’t have to be stuck amongst outdated and inefficient methods, Centerpoint addresses all these issues and provides a unified ERP. Which option is right for your business? That depends on your organisational needs, but hopefully, this article has given you some more depth into making decisions around your ERP.

Upgrade your businesses processes today and start using the right ERP solution.

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