Choosing a new ERP solution means deciding how your business will operate as it grows. Financials, inventory, and sales capabilities matter, but so do the connections between them, the data available for decisions, and the foundation for future AI adoption.
In this video, Ralph Hess of Navigator Business Solutions explains why companies evaluating ERP should look at the broader business operating platform. Drawing on 40 years of experience in ERP implementations, evaluations, and management consulting, he outlines what to consider before making that investment.
A business operating platform connects the applications, integrations, analytics, and AI capabilities a company uses to run its operations. ERP provides core business processes, while the broader platform supports how information moves and how the organization adds capabilities over time.
That perspective changes an ERP evaluation. A finance demonstration might show how quickly a team can review its accounts. A platform evaluation also considers how transactions reach those accounts, how operational data supports reporting, and how additional entities or facilities will fit into the environment.
As Ralph explains in the video, “We're talking about an operating platform for your business.”
For a manufacturer, that conversation could include connections to shop floor equipment. For a distributor, it might include RFID tracking and warehouse applications. The relevant scope depends on how the company operates and where it intends to go.
A useful starting point is to consider what your business needs today, what it expects to need next year, and where leadership wants to be in five years.
You do not need a perfect prediction. You do need enough direction to evaluate whether a platform can support your likely next steps.
Consider questions such as:
Are acquisitions part of the growth strategy?
Will the business add facilities or expand into new countries?
Will finance need to manage additional currencies or sets of books?
Which operational processes will need new applications or equipment connections?
What information will leaders need as the organization becomes more complex?
These questions belong early in the selection process. They can reveal requirements that a department-level feature checklist would miss.
For example, international expansion raises questions about local business requirements and how the platform handles data in the intended locations. Those considerations may not be the focus of an initial finance demonstration, but they can affect whether the platform fits the expansion plan.
Ralph cautions against assuming every future requirement can be retrofitted later. Evaluating those needs upfront gives your team a clearer view of the foundation it is buying and the work future growth may require.
Ralph organizes the platform discussion around three layers: business applications, integration, and AI. Each deserves attention during an ERP evaluation.
The application layer includes the capabilities employees use to execute business processes. Ralph highlights accounts payable, accounts receivable, general ledger, manufacturing, asset management, and warehouse management.
The evaluation should establish how well those applications support the work your business needs to perform. It should also follow processes across departments.
An order, for example, can affect inventory, fulfillment, and finance. Seeing how that information moves through the business provides more insight than reviewing each application independently.
Ask vendors to demonstrate the workflows that matter to your organization, including the handoffs between teams. This helps you assess whether the proposed solution supports the way the whole business needs to operate.
The integration layer allows applications and other connected technologies to exchange information.
Ralph emphasizes the value of understanding how naturally those connections fit within the platform. The integration approach can influence cost predictability and the effort required to expand functionality.
During your evaluation, ask:
Which required connections are already supported?
Which integrations need additional development or third-party tools?
How will connections be maintained as applications change?
What work will be required to connect a new facility, acquired business, or operational application?
A connection that works in a demonstration still needs to be supported over time. Understanding that responsibility helps your team evaluate the ongoing demands of the proposed platform.
AI belongs in the platform conversation because its usefulness depends on the business information it can access and the work it is intended to support.
Ralph recommends starting with the desired outcome: What do you want AI to do for your business? Then identify the data needed to support that use case and evaluate how the platform makes it available.
For example, if your goal is to help a supervisor assess production readiness, the evaluation should consider access to the relevant operational information. A general AI demonstration alone will not establish whether the proposed environment supports that particular task.
This makes the AI discussion more concrete. Your team can assess a proposed capability against an actual business need, the required data, and the connections that support it.
The platform decision calls for input from finance, operations, IT, and company leadership. Each group can identify requirements that affect the others.
Finance may be preparing for more entities or currencies. Operations may anticipate new facilities or tracking requirements. IT needs to understand how those plans affect integrations and ongoing support. Leadership needs to see whether the investment supports the company's direction.
For midsize businesses, this broader evaluation can be especially useful when growth is adding complexity faster than existing systems can accommodate it.
Ralph points to SAP as Navigator's preferred platform approach for supporting that growth, including for midmarket companies. The evaluation still needs to establish how the proposed solution fits your processes, priorities, and expansion plans.
Before comparing ERP feature lists, document the changes your business expects to make. Use those plans to evaluate the applications, integrations, and data foundation behind each proposed platform.
That gives your team a more useful selection question: Can this platform support how we need to operate today and the growth we are planning?
Navigator Business Solutions helps companies evaluate their ERP needs in the context of their broader business goals. Explore SAP Cloud ERP to start considering how your next platform could support your organization.