How To Build a Tailored ERP System From Scratch in 5 Simple Steps: Cost & Its Features?

How to build a tailored ERP system for your growing business? If your company is also expanding or transforming into a digital business, then you need to integrate a system that helps you plan operations accurately and ensures full control over processes and resources. And that’s where custom-tailored ERP systems come into the role. 

Tailored ERP systems let companies seamlessly manage multiple processes from a single point, allowing them to regulate and streamline processes that directly affect your business performance. Whether it be managing multiple accounts, inventory, Human Resources, or supply chain management, building a tailored ERP system will be a worthy decision.

But how to create a custom ERP solution for your business? Developing a custom ERP system is a complex project, so a lack of technological knowledge will be one of the major obstacles to creating a successful ERP system. 

But that’s where AppsDevPro can be your trusted technical partner experienced in developing enterprise-level software solutions. Here in this blog, we will share our expertise on how to build a tailored ERP system from scratch, its benefits, cost, and features. 

Why Businesses Are Considering to Build a Tailored ERP System?

Developing and integrating a custom ERP solution into the existing business module can be a challenging decision, but a failed project has cost around $7 million to companies. To easily deal with the expanding project needs, organizations can opt for ready-to-use solutions that are quick to apply, cost-effective, and easy to use.

However, before you fall for these off-the-shelf solutions, you need to understand that they don’t provide the exact combination of features and functionalities to meet your business needs.

That’s where companies look forward to building a tailored ERP system specially customized for your business needs. Before you get into the details of hiring a mobile app developer in India, understanding the key technical elements, development costs, easy implementation steps, and key features – it is worth getting the overview of the ERP (Enterprise Resource Planning) system. 

Understanding the Overview of ERP(Enterprise Resource Planning) Market

Tired of juggling multiple software applications? If you’re eager to streamline your operations and enhance efficiency, consider implementing an ERP (Enterprise Resource Planning) system. ERPs consolidate all your business processes and data into a single, easily manageable database.

These systems simplify operations by integrating modules for finance, accounting, human resources, supply chain management, and customer relationship management. The successful integration of ERP allows for seamless collaboration, empowering businesses to make informed decisions based on real-time data. 

For those seeking enhanced operational efficiency, cost reduction, and improved customer satisfaction, ERP systems are a worthy investment. So what have you decided? Are you convinced to build a tailored ERP system? 

Well, don’t take our word, let’s take a look at the market overview of ERP systems!

Market Size of Enterprise Resource Planning (ERP) System

According to the market survey report, it is reported that more than 70% of large enterprise uses ERP software and 53% of organizations have seen a positive ROI from their implementation. 

The global ERP market size is expected to reach $74.2 billion by 2023.

The reports say that the ERP market remains in the phase of rapid expansion and the total market size is expected to exceed $49.5 billion by 2025. 

50% of companies are expected to acquire, upgrade, and plan to update ERP systems soon. 

Image Source:- statista

With these statistics, it is fair enough to say that the implementation of ERP systems keeps expanding and helping businesses to streamline their operations. But before you get straight into the process of hiring a software developer in India, you must be asking how to create a custom ERP system.

How To Build a Tailored ERP System: A Step-By-Step Guide

Building an ERP system from scratch seems to be a worthy investment for many companies. But when you’re considering custom ERP development for your business, remember it’s a complex task that demands attention to detail and precision. To build out-of-the-box software, you need to navigate some key steps that can make the process efficient and effective:

1. Define Your Business Objectives and Requirements

To get a quality solution that perfectly aligns with your business requirements, you need to first understand your business challenges. What exactly you are trying to get from your application? To understand this, it is good to communicate with the company’s employees from different departments to identify pain points, inefficiencies, and opportunities that your custom ERP system will address.

A quality custom ERP solution should be able to manage the data flow of various activities. To quickly analyze the business requirements, you can hire an Indian app developer who makes adequate solutions for your business. 

2. Think About a Development Approach

To build a tailored ERP system you have two major options either choosing an in-house development or outsourcing to software services that best align with your resources and expertise. Each approach has its merits and considerations.

Read More: Understand the types of IT Outsourcing Models: How To Choose the Best One? 

3. UI/UX Design 

Creating a perfect balance between design and development is crucial for successful ERP software. Make sure you have a simple and easy-to-use UI/UX design that ensures hassle-free navigation. For this, it is worth collaborating closely with developers and designers to create a blueprint that reflects your vision, emphasizing user interface design, functionality, and scalability.

4. Testing and Quality Assurance

Before you make a final launch of your ERP system, conduct rigorous testing on multiple platforms to make sure that your custom ERP system operates flawlessly without any error. This phase includes functionality checks and security audits, making it paramount.

5. Deployment and User Training

Roll out your custom ERP system gradually to minimize errors. To ensure that employees are able to access it seamlessly, it is worth providing comprehensive training to users to maximize the adoption and return on investment.

6. Choose the Integration Strategy

The whole concept of launching the ERP system is to manage multiple activities from one central place. To integrate an ERP system into your existing system, you can hire experts to easily integrate an ERP system with existing software and data sources. 

7. Data Migration 

Seek out professional help to smoothly migrate data from legacy systems to the new ERP system. Data integrity is pivotal for informed decision-making.

8. Maintenance and Support

Hire a dedicated team for ongoing ERP system maintenance, updates, and user support to keep your system operating at its peak.

9. Evaluate the Development Cost

Developing an ERP system can be an expensive approach, so keep a close eye on custom ERP development costs, including initial investments and long-term operational expenses.

The ERP system development process is a fusion of technology and strategy. This process isn’t one-size-fits-all, as each business has unique needs. Therefore, each step must align with your organization’s specific goals. By following this development guide, you’ll be well-prepared to harness the full potential of your tailored ERP system.

Features to Build a Tailored ERP System

A tailored ERP system serves as the guiding compass, steering organizations toward enhanced productivity and streamlined efficiency within the intricate business landscape. Here are the key features that underscore the significance of custom ERP development:

Image Source: penieltech

• Streamlined Integration: Seamless integration of diverse business functions like finance, human resources, and supply chain into a unified ecosystem for fluid data flow.
• Scalability: Graceful scaling of the ERP system in sync with business growth, eliminating the need for costly overhauls.
• User-Friendly Interface: Intuitive navigation with tailored interfaces designed to meet specific team needs, reducing training time and fostering user adoption.
• Real-Time Data: Empowerment through instant access to real-time data, facilitating swift responses to market shifts and evolving customer demands.
• Custom Reports and Dashboards: Presentation of critical data in easily digestible formats through tailored reporting and dashboard options, promoting informed decision-making at all organizational levels.
• Enhanced Security: Fortification of the ERP system with robust security features, ensuring the safeguarding of sensitive business information. You can hire web developers in India to use advanced security measures. 
• Industry Compliance: Adaptability to meet industry-specific regulations and compliance standards, ensuring adherence to legal boundaries.
• Data Management and Storage: Efficient management and storage of vast amounts of data generated from various business processes, ensuring accessibility and reliability.
• Automation of Repetitive Tasks: Automation of mundane and repetitive tasks, reducing manual efforts and enhancing operational efficiency.
• CRM Integration: Integration of Customer Relationship Management (CRM) functionalities for effective customer interaction and relationship management.
• Supply Chain Visibility: Real-time visibility into the supply chain, enabling better inventory management, demand forecasting, and order fulfillment.
• Vendor and Partner Collaboration: Collaboration features facilitate seamless interaction and information sharing with vendors, partners, and stakeholders.
• Mobile Accessibility: Access to the ERP system through mobile devices, allowing for remote operations and decision-making on the go.
• AI and Predictive Analysis: Integration of Artificial Intelligence (AI) and predictive analytics for data analysis, trend identification, and proactive decision-making.
• Audit Trails and Compliance Monitoring: Logging of system activities and tracking changes for compliance purposes and auditing requirements.

Successful custom ERP development not only requires the right features but strategic planning is also a necessity. It serves as the conductor orchestrating efficiency, innovation, and adaptability within your business, propelling you ahead in a dynamic and ever-evolving business landscape.

Does Your Business Choose a Custom ERP System or a Ready-Made One?

Creating an ERP system from scratch is always a challenging and longer approach. Though it is aligned with your business needs, but still many businesses are in delimma as to whether it is a worthy investment. 

Before you hire a full-stack app developer in India to get straight into the backend and development process of the ERP system, let’s compare the Custom ERP systems Vs ready-made ones. 

Image Source: AppsDevPro

Since custom solutions are tailored to the specific needs of your business they are always worth the investment. It may be expensive and take a longer time, but custom solutions always ensure flexibility and efficiency to manage things as per your needs. But one certain question that may constantly be bothering you is how much it costs to develop a tailored ERP system.

How Much Does It Cost to Build a Tailored ERP System?

The cost of developing a tailored ERP system can vary widely based on project complexity, features, technology stack, development hours, and team expertise. Typically, it can range from $10,000 to $25,000 and more, depending on the scale and requirements of the system.

Major Factors Affecting the Development Cost of Tailored ERP System

Factors Affecting Development Cost:

Here are the few major factors that deeply influence the development cost of ERP system:

• Scope and Complexity:

The depth and complexity of features and functionalities required greatly impact the cost. A more extensive system with intricate features will require more development effort and thus, a higher cost.

• Customization Requirements:

The level of customization needed to align the ERP with specific business processes and workflows significantly influences the cost. Extensive customizations increase development time and costs.

• Technology Stack:

The choice of technology, frameworks, databases, and third-party integrations affects the cost. Some technologies may require higher licensing fees or specialized expertise, impacting the overall budget.

• Integration Needs:

Integrations with existing systems, databases, or third-party software can add to the complexity and cost of development.

• Scale and User Base:

The size of the intended user base and scalability requirements impact the cost. More users may necessitate additional features and infrastructure, affecting the overall budget.

• Regulatory Compliance:

Industries with specific compliance requirements may need additional features and security measures, contributing to increased costs.

• Data Migration and Transfer:

Migrating data from legacy systems to the new ERP can be a complex task, affecting the development effort and cost.

• User Experience (UX) Design:

A well-designed, intuitive interface is essential for user adoption. The design complexity and focus on providing an exceptional user experience can influence the development cost. The average cost to hire UI/UX designer may range from $15 to $20 per hour in India.

Read More: Top 15 UI/UX design tips to adopt now in software development.  

• Testing and Quality Assurance:

Rigorous testing, quality assurance, and compliance with industry standards can add to the development time and overall cost. The complex ERP system requires more time for testing whereas simple one can be done easily with limited resource. 

• Project Timeline:

The timeline for development can impact the cost; tight deadlines may require additional resources and lead to higher expenses. Usually, ERP development takes from 5 months to 9 months and more depending on the complexity of the solution.

Though it can be challenging to estimate the real-world cost of developing tailored ERP solutions without knowing your business requirements. But if you are looking at the average cost to develop an ERP system with standard functionalities, then it would range between $15,000 to $20,000. But before you make any final decision, it is worth booking your free consultation slot with our experts to discuss the details. 

Conclusion: How Does AppsDevPro Can Help You Build a Tailored ERP System for Your Business?

With this blog guide, you have an idea of how custom ERP systems offer organizations the power to fine-tune their software to precise needs, driving productivity and adaptability. But developing a custom ERP system is a complex task, therefore it is worth hiring a mobile app developer in India who ensures careful planning, avoiding common pitfalls, and embracing trends like cloud migration and AI integration are essential for success in this ever-evolving landscape. 

AppsDevPro is such a leading platform in India, where its seasoned team of experts is ready to ensure your ERP system is not just a success but a forward-looking investment, tailored to your business’s unique requirements.

For more details and cost estimations, you can contact us!

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