Millau Bridge
VS BREED
ERP
BEST OF
T H E S U P P LY C H A I N D E B AT E R A G E S O N
T HE DEBATE OCCURS IN CONFERENCE
ROOMS ALL AROUND THE WORLD:
“Should we expand our ERP capability to include supply chain execution, or go with a best-of-breed provider of supply chain solutions?”
The arguments are intense. There’s validity on both sides.
“We need to improve our global supply execution. Let’s call our ERP provider. They have some new stuff”
“Are you sure? From what I hear, their supply chain capabilities are
‘veneer deep.’ If we are going to win at this game, we need deep
“I don’t agree. The ERP guys have
supply chain expertise from a
come a long way, and it’s much easier
totally focused provider.”
to integrate their WMS functionality back into our ERP.
“True, they’ve added more functions, but I’m told the so-called integration
“Well, I am less concerned about
advantage is smoke and mirrors.”
functionality and expertise than
I am about having one throat to choke, if there is an issue.”
“I hear you. But, we better get this right. Or the throat you’ll be choking is mine!”
In this debate, there is no always-right answer. Frequently, what you’ll find is that IT management comes down on the side of the ERP messaging and supply chain practitioners prefer the functionality of the best of breed. But every situation is unique, and every ERP user’s situation is different, so it pays to keep an open mind in determining which suppliers will best meet the organization’s long-term needs for supply chain execution.
The best way forward is for organizations to evaluate solutions from not only their ERP supplier, but also from best-of-breed providers. That’s the only way a company can determine which solution will best deliver the most important metric of all, return on investment.
Factoid
According to ARC, the two largest best-of-breed providers accounted for 47.5% of WMS revenue in North America in
2011, compared to
ERP
BEST OF
T H E S U P P LY C H A I N D E B AT E R A G E S O N
T HE DEBATE OCCURS IN CONFERENCE
ROOMS ALL AROUND THE WORLD:
“Should we expand our ERP capability to include supply chain execution, or go with a best-of-breed provider of supply chain solutions?”
The arguments are intense. There’s validity on both sides.
“We need to improve our global supply execution. Let’s call our ERP provider. They have some new stuff”
“Are you sure? From what I hear, their supply chain capabilities are
‘veneer deep.’ If we are going to win at this game, we need deep
“I don’t agree. The ERP guys have
supply chain expertise from a
come a long way, and it’s much easier
totally focused provider.”
to integrate their WMS functionality back into our ERP.
“True, they’ve added more functions, but I’m told the so-called integration
“Well, I am less concerned about
advantage is smoke and mirrors.”
functionality and expertise than
I am about having one throat to choke, if there is an issue.”
“I hear you. But, we better get this right. Or the throat you’ll be choking is mine!”
In this debate, there is no always-right answer. Frequently, what you’ll find is that IT management comes down on the side of the ERP messaging and supply chain practitioners prefer the functionality of the best of breed. But every situation is unique, and every ERP user’s situation is different, so it pays to keep an open mind in determining which suppliers will best meet the organization’s long-term needs for supply chain execution.
The best way forward is for organizations to evaluate solutions from not only their ERP supplier, but also from best-of-breed providers. That’s the only way a company can determine which solution will best deliver the most important metric of all, return on investment.
Factoid
According to ARC, the two largest best-of-breed providers accounted for 47.5% of WMS revenue in North America in
2011, compared to