By Boomi
The day-to-day management of your business relies on a host of software solutions, ranging from basic to bespoke. Finding a way to keep data freely flowing between functions like finance, project management, supply chain, and manufacturing requires an enterprise resource planning (ERP) solution.
But not all ERP solutions are the same. Traditional ERP system planning doesn’t offer the degree of flexibility and ongoing customization needed in this age of rapidly advancing software solutions. For that, you need composable ERP.
What Is Composable ERP?
Composable ERP is an agile technology solution that involves building a foundation of administrative and operational capabilities that enables the ongoing adaptation and integration of both local and cloud-based software solutions.
The concept of intelligent composable business originated with Gartner. This practice means building your enterprise technology framework out of interchangeable blocks rather than unmovable structures.
Doing so creates the flexibility needed to respond to and proactively avoid disruptions and upheaval. Gartner advises, “Incorporating composability into digital business enables the
enterprise or public agency to change and grow despite persistent uncertainty.”
The Value of Composable ERP
The ultimate value of composable ERP can be measured in terms of speed — how quickly you can adapt functionality within short time cycles, the pace at which you can reconfigure systems based on changing business needs, and the time-to-results that will set you apart from your competition.
To achieve this, you must be able to:
- Shorten implementation times with intelligent connectivity and automation
- Support changing business needs by configuring your ERP functionality to align with outcomes
- Improve and streamline performance with visibility into newly composed processes and data
The Shift to Composable ERP
Recent worldwide disruption spurred an unprecedented and urgent shift in technology solutions, including a cross-industry transition to composable ERP.
A Boomi global ERP survey found that while nine out of 10 organizations worldwide were exploring composable ERP as a way to successfully link legacy and modern applications, fewer than half felt confident their current integration strategy was up to the challenge.
“The typical enterprise has, on average, 850 applications, of which only 30% are connected,” said Chris McNabb, CEO of Boomi. “The biggest challenge every business faces today is unifying their increasingly fragmented digital ecosystem so they can create the integrated experiences expected by customers, employees, and partners.”
Perceived Roadblocks
The main obstacles enterprise organizations perceived as hindering their move to composable ERP are the same obstacles that hold up most company-wide technology transformations:
- Budget constraints (38%)
- Complex hybrid IT environments (37%)
- Process roadblocks related to legacy technology (35%)
While it’s true that undergoing an ERP modernization is an investment in both time and money, the overhead and future costs can be significantly reduced by partnering with the right integration platform.
The Right Integration Platform
The pace of innovation is leaving traditional, location-bound ERP systems in the dust. The power of cloud integration lies in its agility. By enabling the integration of the best in new technology solutions as needed, a cloud-based ERP system becomes infinitely scalable, with a global reach.
Important features of your cloud-based integration platform include
- Out-of-the-box connectivity for leading solutions to enable faster implementation
- Customizable connectivity with any application, including your proprietary software
- Reusable connectors that save you valuable set-up time
- Hybrid environment connectivity so you can work with on-premises systems and databases as needed
Transitioning your ERP system to a cloud platform will open the door to even more efficiencies, faster onboarding of new solutions, and the flexibility to respond to whatever happens in your industry or the world.
Read our ebook, “The Innovator’s Shift to Composable ERP,” to learn more about how a composable ERP approach can help your organization.