What impact do legacy ERP systems have on SMEs and how to resolve them?

Despite how far technology has come in recent years, some businesses still continue to use legacy ERP systems even if they are making the move towards digital. It is important to note that these systems are a vital part of businesses' day-to-day operations and have been fully integrated over time. Therefore, it can be quite difficult to upgrade a system where everything from workflows to procedures are already embedded. However, the pros outweigh the cons when it comes to upgrading your legacy ERP systems. This is where Microsoft’s Dynamics 365 Business Central ERP solution can come in as it’s easy to use, adapt and can help to bring together your business & enable you to make better decisions. 

What are the biggest problems with continuing to use legacy ERP systems? 

Ineffective security 

The security within any software is reliant on the software being updated on a regular basis to attempt to resolve any recent threats. Due to this, legacy systems often suffer from frequent change. Therefore, specific issues in both large and older legacy systems may not be easy to repair. It could be the case where repairs can be made, however these don’t happen on time due to businesses looking to prioritize newer and more up to date systems. As well as this, updating an older system is usually at the bottom of the priority list of any business. This means that legacy systems are more likely to pose a greater security risk to the business. 

Instability & inflexible 

You may find that the ERP system that you use is no longer supported which means that it doesn’t receive any upgrades, updates or bug fixes which are required in a modern technologically advanced business. Consequently, a legacy system may not be that stable going forwards so it may prove difficult to carry out many of your day-to-day tasks. 

Inability to work with modern technologies 

If you are looking to implement new software and want to collate some data from your old system, you may find that it might not be fully compatible. Consequently, this may mean that you are unable to make use of the new technology’s features and functions which may lead to you having to update your legacy system to do so. 

Expensive maintenance 

For a whole host of different reasons, updating and maintaining outdated systems can be extremely expensive. Given the fact that operating system support is useless without the necessary updates, the expense of supporting legacy ERP systems is significantly higher. As well as this, you would also need extra staff with the necessary skillset to be able to both monitor and maintain the legacy system. Given the resources and costs needed to maintain such systems massively outweighs the benefits of preserving them, therefore in the vast majority of cases, businesses make the decision to replace them with modern ERP systems like Business Central. 

Next Steps? 

If you are a business that is currently using a legacy ERP system and wanting to make the move to a modern ERP system like Business Central then please give our Business Central experts a call today to discuss how we can help you make the transition. 

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