The necessity of choosing an open ERP
The choice of an ERP system is often based on the company’s current needs, driven by past experiences or specific requirements. However, business processes have been greatly accelerated by automation, increasing the pressure on ERP systems and making adaptation more challenging. This pressure is expected to grow even further in the coming years.
Systems of Record vs Systems of Innovation: is this still relevant?
When we look at business applications from a broader perspective, we can compare them to Lego blocks: a collection of building blocks with specific properties. By making various combinations, we create the solutions we need ourselves. SaaS applications are often seen as ready-made solutions, but they can be limiting for companies with unique processes. SaaS services are the same for everyone, meaning that companies often have to adapt to the software rather than the other way around. Additionally, companies are often required to purchase large SaaS modules, even though they would benefit more from small, flexible building blocks that can be combined as needed.
Companies cannot afford for their core processes to fall short in functionality or flexibility. Here, Gartner’s distinction between “systems of record” and “systems of innovation” proves useful. A reliable system for records and data management remains essential to safely integrate new capabilities. Innovation means something different for every company; some may simply want to automate basic processes, while others look forward to advancements like the Internet of Things. Every company is at a different stage in its innovation journey, requiring a system that adapts to different growth phases.
It’s ideal to have a reliable ERP system that grows with the company and can be further integrated over time. Companies should only invest in components that strengthen their current processes and seamlessly fit into their existing systems. This was the idea behind a service-oriented architecture, where applications can be easily integrated. In practice, this is often challenging to achieve, especially with upgrades, which often unnecessarily increase costs and complexity.
The Open ERP: JD Edwards
Many companies are looking for an ERP system that provides the flexibility to keep innovating without sacrificing their established processes. JD Edwards offers this flexibility and thus takes a new step in ERP architecture. Not only can JD Edwards be fully customized, but upgrades also run smoothly and seamlessly. The system can be easily connected to both SaaS and on-premises applications. For instance, you could manage your financial administration in JD Edwards while handling planning and budgets in Oracle Finance Cloud.
The main advantage is that companies can easily align their processes within JD Edwards and with other systems. The architecture makes it possible to integrate a chatbot, Internet of Things functionalities, and other applications without altering the core of JD Edwards. Moreover, new features are added regularly, allowing the system to continuously evolve.
JD Edwards offers the best of both worlds: an ERP system trusted by over 6,000 companies worldwide and the flexibility to continue innovating with custom solutions. It is a reliable and configurable system that integrates seamlessly with any platform, ensuring companies can continue optimizing their processes well into the future.
