One thing that separates innovation from backwardness is the risk taken. The current world is moving towards digital and there is no doubt that Old School ERP solution plays an important role in achieving the effect. Shared services, on the other hand, also plays an important role in creating the right balance of compatibility and accessibility at the same time.
The idea of heterogeneous technology usage is still deeply rooted within the industry and many companies vouch for their decentralized way of working. For many organization, the approach works, but does that make them better? Nope. They are probably working on an old model that should have been replaced by an ERP solution. The ERP solution is one of the best ways to get things organized. The term digitized is more centralized and offer better future proof infrastructure to the organization.
ERP and its popularity
ERP has been there for a long time It got traction in the year 2000 and now it has evolved greatly. The idea is to keep up with all the necessary changes and ERP with Shared services do stand the test of time.
Any decentralized system, on the other hand, has many benefits, but they don't justify the sticking with them. With decentralization, the organization can have better diversified products, which work great with a decentralized system. Also, decentralized system offer options for better product release, help motivate people and empowers local decision-making.
So now you can easily say that decentralized systems are the way to go. Well, the answer is NO. Decentralized system does work, but they have tons of drawbacks when compared to a centralized system that ERP solution provides. No one can deny how centralized system helps in better control of the system, data storage and retrieval and synergy at a large scale.
Where do we stand now? Is change essential?
To know where do we stand, it is high time to go into depth of how ERP and shared service really work. In other words, how efficiently they digitize the world around us.
ERP solutions are defined as a centralized approach to business problem solving.
Under ERP software, each management or technological processes are integrated.
This means that finance, HR, manufacturing, inventory,Student Information and almost anything that you can think off are integrated within an ERP solution. And, the path is great. It offers better security, improved structure for controlling purposes and better decision making in a long run.
Shared Services, on the other hand, offer better scaling at low cost. This means less need for workforce and infrastructure. it also helps in leveraging the industry standards at minimum cost.
Combine them both, and we get a quality and efficient infrastructure to play with. ERP and shared services are being adopted rapidly in the industry and there are reports that showcase how the centralized system offers a better cost saving than decentralized ones.
According to statistics published by English Institute of Chartered Accountants, 30% of the Fortune 500 companies are making saving up to 46%, which is quite amazing!
Another statistics tells how fast ERP is distributing. Right now, ERP software will reach more than $32.6 billion of global revenue.
With ERP and shared services, it is easy to implement the "Digital India" and also how Education ERP software can help schools, colleges or institutions to leverage their growth and improve the life of not only the staff but also for the students and the parents associated with the institute.