Industry specific vs generic ERP

There are many reasons for needing an ERP system Among the many things to consider is whether you want to get a generic solution and customize it to your needs, or whether you want a solution that is specific for your particular industry.

The purpose of this post is to examine the differences between these two options and the ways to go about the ERP selection process.

Generic ERP

Let’s first define the term “generic ERP,” as it may falsely evoke negative connotations with some readers. For many people, these are ready, out-of-the-box solutions that are generally non-customizable. Made for all kinds of industries, they generally have little to no room for customization. However, one of the most obvious advantages of these “one fits all” solutions is their cost-effectiveness.

However, for the purpose of this article, we are going to assume that generic ERP is the opposite of a vertical-specific ERP system – a solution that doesn’t cater to one industry vertical in particular, irrespective of its functionality and customizability.

Industry-Specific ERP

Industry-specific ERP solutions, on the other hand, are ones that have been designed specifically for one industry – e.g., manufacturing ERP. These types of solutions have deeper functionality when it comes to the particular needs of an industry.

An ERP solution is a massive concept to begin with. Besides the obvious challenge of uniting, automating and streamlining enterprise-wide business processes, they also have to take into account things like specificities of each country, regulation systems associated with each industry, etc. As such, an ERP vendor that specializes in a particular vertical, has an advantage over competition in terms of experience, functionality of their solutions, speed, and efficiency.

The downside of these specialized ERP solutions is that you may end up with a lot of functionality that you simply do not need and are never going to use.

The Factumsoft Solution

Up till now, the downside of choosing generic ERP solutions has been their lack of specific functionality when it came to industry-specific requirements. Of course, the solution could always be added customization or integration with other applications, but that usually meant escalated costs and time management issues.

This is why at Factumsoft we have combined the best of both worlds by leveraging the richness and flexibility of our propriety platform. Although we cater to various industries, we are not confined by the rigidity of “out of the box” solutions. Having invested considerable time and resources, we have developed an ERP platform so rich in modules that address the needs of different industries, that it takes our business analysts very little time to assemble industry-specific solutions. In other words, our clients do not incur extra costs associated with the customization of generic ERP solutions to fit industry-specific standards.

We also realize that no two companies are the same, even if they are from the same industry vertical. As such, we tailor our industry-specific solution to your business by adding all the necessary customization you require.

Things to Consider during Your ERP Selection Process

It’s easy to get overwhelmed in the process of selecting an ERP solution for your company. Our experience in the industry has shown that it’s helpful to have certain guidelines when it comes to this complicated process. Here is a list of useful tips we have compiled:

  • Determine the strengths and weaknesses of your business – areas that you hope your new ERP system to address and enhance.
  • Decide which key areas of your business you will want to automate first so that you don’t wait around for the whole solution to be implemented before you can start enjoying its benefits.
  • Develop an ERP evaluation criteria for your new solution. Things you may consider are
  • The price of the new solution with respect to the level of customization. Keep in mind that more often than not, the price that you see displayed on websites or in product catalogs is only roughly indicative of the actual cost that will be incurred by your company.
  • The flexibility of the platform. Your business isn’t static, nor should be your ERP system. Make sure you get a system that will accommodate not only your current needs, but has the capacity to do so as your business grows.
  • The functionality of the solution. Determine whether time is of the essence and whether you need the wide spectrum of functionality offered by industry-specific ERP systems. Or are you willing to go with a general ERP provider and allocate some time for them to tailor their solution specifically to your business needs.
  • Talk to companies that have implemented the solutions of the vendors that you have shortlisted. You will get a good sense of what to expect.
  • Ask your shortlisted vendors to demo their solutions and explain their capabilities.
Final Words

For customers, it ultimately comes down to choosing an ERP solution that will enhance their processes, not restrict them. There is no predetermined answer as to whether that will be achieved by a specialized ERP system or a generic one – it all depends on a multitude of issues mentioned above.

Marketing Preferences

We’re excited to announce the ability to collect marketing preferences from customers directly on TeamUp. This is available right now in your Business Dashboard in TeamUp.

To get started, head over to the new Marketing Preferences section in your Customer Settings.

Customer Site

Once enabled, your customers will be required to choose a marketing preference during signup:

If you enable the “MailChimp Auto-Unsubscribe” in your Customer Settings and you have a linked MailChimp account, customers will automatically be unsubscribed from all of your MailChimp lists when their Marketing Preference is updated to indicate they’d like to not receive messages.

We’ve also added the ability to use MailChimp’s Double Opt-In when exporting customers to MailChimp, which is another way to ensure you are receiving consent from the customer to send them messages.

How to Build a Unique Technology for Your Fintech Product with Python

Fintech is a maze. It’s a thrilling and extremely complex industry for software development. There are state level regulations, integrations with different services and institutions, bank API connections, etc. to deal with. Another challenge is the high level of trust from the end users required to run finance, mortgages, investments and such. These, in turn, require the highest level of security, functionality, and correspondence with requirements.

What I’m trying to say is that the more unique the software is, the higher it’s valued. Without a properly working and trustworthy software, any financial venture will die down and lose worth. People need financial technology that will last, and I’m going to tell you how we achieved this with Python/Django technological stack while developing fintech products. It’s especially pleasant to say after Python has become the world’s most popular coding language.

Fintech: The Importance of Being Unique

In the world of finance, there are two streams that still coexist. On one hand, there are the millennials who stride gloriously into the future while mastering contactless payments, using on-line banking and all kinds of digital financing services. In an effort to avoid old school bureaucracy, they build their lives in a way that no generation before them did.

On the other hand, there’s the good old traditional financing services. This is a hell of a machine, hundreds of years old, that you can’t stop that easily. Even if it acknowledges the effect that new technology has on finance, it still doesn’t see it as neither as a threat, nor as a worthy competitor.

An attitude like this is especially typical of the most developed countries, such as the G7, which have the most of the money. The most of the old money, I might add. As well as the most people who are ready to operate it and the most highly technological startups. However, the thing is, their financial system is so old and hard-shelled, that it’s not always ready to change.

 

“Surprisingly, with regard to mobile payments, 40 percent of executives from the United States expect little to no impact to their industry. With the caveat that the sample size is relatively small, 7 out of the 17 US banks (41 percent) saw little to
no impact from mobile wallets and other payment technologies, vs. 14 out of 36
(37 percent) of the nonbanks.”

Meanwhile, developing countries have a number of black holes in the financial sector that allow space for growth. These black holes are slowly but surely being taken over by fintech. By doing so, it gives people in these countries more opportunities, like working with
developed countries and getting paid easily and securely. Fintech removes financial borders, and that’s one of my favorite things about it.

Usage of emerging technologies: G7 vs rest of the world (ROW)