Adopting intelligent ERP – A smart movement to revolutionize business

Published on December 25, 2018

With every passing day, the enterprises are expected to deal with increasing volume of data as their customers grow in numbers, business expand to new horizon, newer rules get baked into their business transactions and the end consumers become more tech savvy.

With humongous growth of data volume, the complexity of data increases, the nature of data becomes more dynamic and way unstructured. This makes capturing and processing of data, an enormous effort oriented affair.

On the other hand, the millennial consumers expect instant resolution of their problems when they interact with systems.

A simple example of the situation –

Until a few years ago, we were OK to type in and search for our favorite products in an e-tailer portal and purchase the same. Now we expect the e-tailer to not only remember our preferred products based on our browsing and purchase history but also recommend us newer products introduced in the market, which we may not be aware of, but people with similar profiles are using - and all of these should happen the very moment we log in to the system.

Though, as an end-consumer, we may not even care to understand what kind of work goes behind the scene for an e-tailer to live up to our expectation, the organizations who have built or are planning to build such intelligent systems, will agree that a traditional ERP system is not enough to cater such needs.

While an ERP system is a monolithic platform capable of handling pre-configured transactions and integrate with peripheral systems fairly well, it is inept to

  • Keep on learning and improving its outcome based on every transaction that it runs
  • Standardize unstructured data based on certain hypothesis, create a realistic pattern and decide the actions to be performed based on the pattern
  • Provide real time visibility of data and automatically create appropriate responses to different stakeholders of the system
  • Analyze inputs from peripheral systems or users and proactively suggest a mitigation plan if a risk to business is foreseen.

An intelligent ERP is a system which is enabled with machine learning, artificial intelligence, IoT and Advanced Analytics and is capable of managing all the above by itself in addition to all the functionality that a traditional ERP system can do.

In today’s era, the CIO’s goal is not limited to optimize manual effort and reduce total cost of ownership when he/she chooses an ERP system for the organization but to actually unveil a system to his/her business teams and customers which will be

  • Smart enough to interpret and act correctly using a massive amount of data inputs
  • Improve its performance by learning from past transactions
  • Capable of providing real time visibility of various parameters of surrounding systems it is connected to and act promptly whenever it notices any anomaly in these parameters
  • Able to offer an interactive and conversational user experience

This is, probably, the reason why a traditional ERP system is not exciting the CIOs any more. They are no longer looking to implement just a single system of records to perform business transactions seamlessly but actually planning to shift to a system of intelligence which can take informed decisions accurately and faster than humans.

Disclaimer: The views presented herewith by the authors are of their own and hold no bearing on any one including their employers, Oracle Corporation or any other entity. It is advised to Readers to make their own independent evaluation in their decision making process.