ERP software solutions can be broadly categorized into “Tiers.” Before you dive too deeply into research on particular ERP solutions, it’s helpful to know which category of ERP is most likely to fit your organization.
Tier 1 ERP
A Tier 1 ERP is a very large, highly customizable system typically implemented by multi-location, international companies. They have massive capabilities to handle big data at lightning speed custom programming resources to put very diverse company locations on one system. Tier 1 companies include SAP, SysPro, Microsoft Dynamics, Oracle and NetSuite (which has now been acquired by Oracle). If you are a small to mid-size manufacturer with employees from large manufacturers, it is likely that they will recommend a software from one of these recognizable names. In fact, when you search online for “Top ERP Systems”, if the evaluation is done by the company value, then all the top solutions will be Tier 1. For decades these companies focused on large enterprise organizations but they’ve also created niche solutions for smaller companies, such as SAP/S4 Hana Cloud, NetSuite Small Business and Dynamics 365.
Is Tier 1 a good fit for you? If you answer “yes” to most of the following questions, then you may want to include them in your search.
- Do you have or plan to dedicate at least one full-time position as system administrator/data analyst for your new ERP?
- Would you like a highly customizable solution?
- Are you willing to consider the most expensive ERP solutions?
- Do you have international locations?
- Do you multiple locations that do different things but you want on one system?
- Do you prefer hiring publicly traded companies?