Enterprise Resource Planning Should be About Mission, Not Just Systems [SUBSCRIBERS-ONLY]

Enterprise Resource Planning (ERP) is a hot topic in the field of nonprofit operations. Business systems need to run at maximum efficiency. We also need robust system integration to help nonprofit organizations to adapt to rapidly changing economic conditions (funding) and demand for services (programs and activities). However, ERP focus is too often centered on business systems by themselves when attention should be focused on mission and purpose.

Our rapidly changing world has caused disruption on everything from operating systems, governance, and the demand for programs and services, to the basic question of how-to bring value and purpose to the table. As a result of this new reality, nonprofits are learning to embrace transformation, start new initiatives, question processes of the past, and take chances.

ERP can be a smart strategy and development tool if a mission emphasis is included.

ERP is often broadly defined as “the ability to deliver an integrated suite of business applications. ERP tools share a common process and data model, covering broad and deep operational end-to-end processes, such as those found in finance, HR, distribution, manufacturing, service and the supply chain.”

However, I believe this definition is overly focused on processes and not the reason why we have these processes.