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When Should Replace Existing ERP Software ?

Implementing Enterprise Resource Planning software requires a lot of money, time, and effort. It also takes time the transition from the existing system to the new system. The company goes in for an ERP for streamlining its internal processes and for increasing its productivity. But after implementation, organizations replace their existing ERP software for obtaining a higher software quality, a better return on investment, a reduction in the workload, and improved predictability.

There are various reasons why organizations replace their existing ERP software. If the company is using old methodologies, it may need to get new re-engineered business processes that are easier to use. The previous software does not have certain features to support future expansion; the organization may look for a replacement to meet the new demands. If the company has the resources, it will replace the existing system with the new ERP software for obtaining technical advancement. Also with the existing ERP software, the system may be difficult to manage if it is time-consuming. It may not be able to fulfill the new needs of the business and this may make an organization replace their existing ERP software. Also, new acquisitions of other smaller companies due to market changes can alter the business environment of the organization. Due to this arises the need for the replacement of the existing Enterprise Resource Planning software.

5 step to replace erp systemIn order to replace the existing software, an organization needs to study the customer’s requirements and the new ERP software benefits. The new software should be able to provide the features needed and should be able to easily integrate into the applications being used. The customer requirements need to be studied well to know the new demands and to find an appropriate software to keep up with the competition in the market. The return on investment which will be realized by the new software needs to be assessed.

The new software should be able to provide higher profits to the organization. The organization should meet up with the vendor to assess the vendor’s capabilities. The benefits of the new software need to be analyzed before looking to replace their existing ERP software. The best time for implementing the new software should be identified. The allocation of resources and time which is required for the implementation of the new software should be identified for the reengineering of the business processes. Training will be required for the members of the team who will be involved in the implementation of the software. The organization will be required to form a staff for the implementation of the legal system and the critical business applications so as to be able to reduce the change impact.

5 step to replace erp system

If the organizations face problems due to the existing ERP system, it would be apt to go in for new ERP software which will suit the transformed environment and solve the existing problems. The organization needs to continuously analyze the situation to identify the problem areas to decide on the replacement of the existing ERP.

There are different reasons why a company restores its existing ERP application. If the organization makes use of an old methodology, it might be required to get current re-engineered procedures of business which are very easy to use.

The existing software does not have some special attributes to provide support for future expansion; the company might need to search for a substitute to ensure their demands are met. If the organization has the resources, it will restore the previous system with the latest ERP software for deriving the technical advancement. And with the previous ERP software, the system may not be easy to handle if it consumes a lot of time. It might not have the ability to fulfill the requirement of the business and this might prompt a company to find a replacement for their existing ERP Application with a more advanced ERP Application.



The basic reason to change your current ERP software or business application with a new ERP is the advantages you gain from the replacement without creating hassles in your existing processes. We have listed a few points when your organizations or companies replace their existing business tools with new ERP software.

  • The existing business software cannot adhere to the current business processes. This can happen from the day you implement your business software or ERP application which performs poorly in handling the business processes.
  • Another good reason is replacing your existing ERP application with a new one is that your business is growing at a faster rate and current ERP/Business applications are unable to manage those changes via software. As we all know when a business grows new processes and new departments are crafted to ensure smooth working within departments.


  • Manual Processes, Even after implementing your Old ERP application or different business software for different departments if you are doing offline processes such as handling things via spreadsheets, or data entries duplication, this is one area where your current software is unable to automize all the processes and these manual work eaten up loads of time of your employees.
  • Unable to handle change management within your current ERP software some of the examples are integration with third-party tools such as Bar code integration, weighting machine integration, and so on, or creating a new module is another area where organizations tend to change their existing ERP software with a new one.

Above we covered many points on when you need to replace your existing software with a new ERP software remember the term software refers to a simple software such as Accounting software, CRM software, or HRM software that is not interlinked with other departments, therefore, company opts for new ERP software.


Globalteckz Experience :

We have even seen many organizations replacing their existing ERP application which are costing heavy licensing fees via proprietary software with Open Source ERP software. At Globalteckz we offer you one of the leading Open source ERP software named Odoo – We are official partners of Odoo and have completed more than 45+ successful implementations across the globe including replacing high-cost licensed software with Odoo cost-effective being open source.


Read our article – Best ERP Application for your Business

For more information, you can email us at sales@globalteckz.com

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