SAP ERP –– why do these two abbreviations often go together and what does each of them mean? And why is the profession of a SAP software engineer so demanded in 2021?
SAP (Systems, Application, and Products) is a German software company and it’s the largest one outside the US. Its products help large corporations manage internal business processes, and one of SAP’s most popular products is an ERP (Enterprise Resource Planning) solution. That’s why the six letters –– SAP ERP –– often go together.
SAP ERP Software brings great value to corporations and hundreds of companies switch to it every year, but its implementation requires a professional touch. So, if you plan to set up SAP ERP software, SAP consultants are going to join your team for several months. Now you need to make sure this investment is gainful, so let’s look at its advantages.
Hiring an SAP ERP Consultant: Top 5 Benefits for Your Business
Some business owners may think that their IT teams can implement SAP solutions at almost no or little cost. But this is not true. There are many reasons to hire an SAP consultant, but here are the most critical ones for your business:
- Enjoy the professional approach of an expert
Years of industry-related experience, numerous successful projects, and expert knowledge of a SAP ERP specialist guarantee success to your business case. Consultants are ready to find optimized ERP solutions to any workflow design because they know every feature of the SAP software they work with. In comparison, non-experts could deliver less effective alternatives or do it more slowly.
- Audit your business processes and make them more effective
Your company can operate for years without knowing some things can be done more effectively. And it’s not only about automation: sometimes you can save hours of work to the Purchasing Department and Inventory Control only by putting both of them in the copy line of your email to customers. So getting an external opinion about your workflow is always helpful, especially when you get advice on how to fix the weaknesses.
- Spend reasonably: pay to consultants and not for overtime hours
Though you’ll have to pay for the time of SAP ERP consultants, their rates will not be greater than your full-time employees’ expenses. Since SAP implementation is a complex task that requires additional working hours of your IT staff, you’ll have to pay either for overtime hours or hire new team members. And wait until they become familiar with new system requirements and start to be efficient.
- Keep your team focused on current tasks
People work better when they focus on their main tasks. This equally appeals to top managers and IT specialists. But implementation of an SAP ERP system requires a lot of time and effort that your team will take away from other projects. And most probably, they will have to juggle duties –– which may finally affect them all. So, an outsourced consultant can be a great alternative that will bring more value for money.
- Meet deadlines –– don’t extend them
SAP ERP incorporation is not a one-day task –– it can require months to be completed. However, basic deadlines need to be met. But once your employees start to spread themselves too thin across multiple tasks, their productivity falls. This means shifting goals and extending deadlines, and such processes can quickly go out of your control. This will hardly be the case with SAP consultants because they are hired to work super effectively for a competitive salary.
SAP ERP Consultant role: 6 basic skills
Hiring a professional SAP ERP Consultant is not a simple task for your HR team because an SAP specialist has to combine several hard and soft skills to be successful in the labor market. Here are 6 essential skills that your hired SAP professional should possess:
Know all modern ERP tools and be ready to integrate them into other systems that your company uses. An SAP consultant definitely should be familiar with all relevant SAP ERP modules: Controlling, Material Management, Project System, Financial Accounting, Sales & Distribution, Quality Management, etc. But he also needs to be aware of competitors’ products –– to find reasons why SAP is beneficial (in case you ask).
- Assess business processes and detect their weak points. Though companies have many common features in their operational flows, every case is unique. And your consultant has to be able to understand your business environment, notice processes that require modification, and know how to put his recommendations into practice.
- Assess business processes and detect their weak points. Though companies have many common features in their operational flows, every case is unique. And your consultant has to be able to understand your business environment, notice processes that require modification, and know how to put his recommendations into practice.
- Assess business processes and detect their weak points. Though companies have many common features in their operational flows, every case is unique. And your consultant has to be able to understand your business environment, notice processes that require modification, and know how to put his recommendations into practice.
- Assess business processes and detect their weak points. Though companies have many common features in their operational flows, every case is unique. And your consultant has to be able to understand your business environment, notice processes that require modification, and know how to put his recommendations into practice.
Have good organizational and leadership skills to coordinate work of multiple teams and manage several projects. Often SAP ERP consultants coordinate training for users, troubleshoot issues, ensure software compliance with industry standards, and accurately complete SAP documents.
How Much Will an SAP ERP Consultant Cost?
The most stirring concern about hiring an SAP ERP consultant is the cost of this specialist. The payroll will depend on the experience since this is the only way to prove the SAP consultant’s expertise. However, here are some numbers to give you an understanding of this industry payrolls in the US. According to Glassdoor, the national average salary is $95,208, while LinkedIn data slightly differ and start from $78,000. But before hiring a person, make sure that he delivers secure SAP ERP solutions and can assist you after the deployment period.
To Sum It Up
Hiring a professional consultant is a win-win option if you plan to implement the SAP ERP solution. Once you incorporate modern IT systems into your company workflow, you optimize business operations and reduce costs. While you will have to invest in SAP ERP professionals, these funds will pay off soon and make your business operations organized, transparent, and easily controlled. Moreover, you can access HR, accounting, sales, or inventory information on a real-time basis and make fast, data-driven decisions.
