ERP implementations are notoriously complex, with high stakes for budgets, timelines, and long-term business performance. While many companies rely on a single software consultant or coach to guide the process, our in-house research tells a different story.
By analyzing businesses with 0, 1, 2, or 3 mission-critical coaches engaged in running their businesses, we found a clear trend: organizations that invested in multiple coaches consistently achieved higher YoY profits, YoY sales, and confidence in achieving targets.
In this article, we’ll walk you through the data, why the “one coach” model falls short, and how a multi-coach approach can set your ERP project up for success.
The 4 Domains of ERP that Benefit from Software Consultant Input
In our experience, there are four major domains of ERP implementations and business management where software updates are essential:
- Software automations and data management
- Marketing and e-commerce
- Finance accounting and planning
- Operations
Software Automations and Data Management
This area covers the systems used to track sales, inventory, and customers. In an e-commerce business, IT would also be responsible for managing the website and other digital assets. They also work on data security, privacy, and compliance.
Automation / order management: This area covers the numerous integrations to core ecommerce systems (Shopify, Amazon, etc.) and order fulfillment (Amazon FBA, 3PLs, etc.). They work on two key areas: (i) adding new sales channels, such as adding walmart.com, and (ii) maintaining and improving existing integrations.
Inventory Management: This area involves ensuring the business always has the right amount of stock on hand. It involves purchasing, receiving, tracking, warehousing, and management of stock levels.
Related: How AppVentory helps firms untangle their tech and make better decisions with process mapping
Marketing and E-Commerce
Merchandising: This team is responsible for selecting the products that the retail business will sell. They decide on product ranges, pricing, and promotions.
Marketing and Advertising: This team is tasked with promoting the retail business and its products. They run ad campaigns, manage social media accounts, design in-store promotions, and handle public relations.
E-commerce & Digital Strategy: In charge of managing and optimizing the online shopping experience, they look at website design, mobile shopping optimization, user experience, SEO, and online merchandising.
Sales: This team works directly with customers in a retail setting, providing assistance, managing transactions, and ensuring a positive shopping experience.
Finance Accounting and Planning
Finance and Accounting: They handle all financial aspects of the business, such as payroll, taxes, financial reporting, budgeting, and forecasting.
Strategic Planning and Business Development: This involves setting the strategic direction of the business and identifying growth opportunities, like new markets, partnerships, or acquisitions.
Operations
The operations team takes care of the day-to-day functions of the business. They handle aspects like store management, order fulfillment, and overall process optimization.
Customer Service: They are responsible for all interactions with customers, including handling queries, complaints, and returns. In e-commerce, this might also involve managing live chat and email support.
Logistics and Supply Chain: This involves managing relationships with suppliers, transportation of goods from suppliers to stores or warehouses, delivery to customers, and returns handling.
Human Resources: This area is responsible for hiring, training, managing, and retaining employees. They often also handle benefits, compensation, and internal policies.
Related: How to fix your app stack and make it work for your firm
Why Multiple Software Coaches are Key for ERP Implementations
It’s rare to find a consulting firm that provides the full spectrum of implementation expertise (there are just too many areas to cover) which is why we believe in our third manifesto: multiple coaches are key.
There are a few full-range software implementation firms out there, but they’re huge organizations that focus on multi-million-dollar projects; there’s nothing for small to midsize companies looking for professional help implementing the right inventory software, marketing software, ecommerce software, and accounting software.
Add to that the onset of artificial intelligence (AI) that’s significantly accelerating the rate of change in the industry, and you can see why it’s important for e-commerce businesses to find different software consultants with different areas of expertise to stay ahead of the game.
But we wanted to test this claim to bulletproof our conclusion. So, we researched businesses with 0, 1, 2, or 3 mission-critical coaches engaged in running their businesses, modernizing operations, and implementing systems. Here’s what we found:
|
Number of key coaches [1]
|
Percent of businesses
|
% of businesses with YoY profit increase [2]
|
% of businesses with YoY sales increase [2]
|
Very confident in achieving targets
|
|---|---|---|---|---|
|
No Coach
|
18%
|
15%
|
17%
|
48%
|
|
1 Coach
|
19%
|
16%
|
26%
|
50%
|
|
2 Coaches
|
50%
|
22%
|
30%
|
56%
|
|
3 Coaches
|
13%
|
23%
|
32%
|
61%
|
Notes: [1] number of the following areas with coaches engaged: technology, marketing, finance/accounting. [2] percent of businesses with sales/profit increases from 2019 to 2020.
The Verdict on ERP Implementations
The worst-performing ERP implementations are the ones with no coaches. In contrast, the best-performing businesses are the ones that hired software consultants in all three of the fast-evolving, mission-critical functional areas.
It’s clear that investing in multiple software implementation coaches is the best way to help an e-commerce business achieve targets and bolster confidence.
Here at AppVentory, we have a free directory to connect you with the right team of software implementation coaches. Check out our Tech Advisor Directory today!
