KPMG Consulting Botswana hosted an Enterprise Resource Planning (ERP) Seminar and Exhibition at the Gaborone Sun on 5 September.
The seminar contained information on what ERP systems are and what it means to the new economy by way of benefits to the various industries. The concept of shared services and its practicalities is also being introduced. The seminar was directed at business sectors which included financial, mining, utilities, defence, retail and the public sector.
There is a belief that having an ERP system is a prerequisite in most business environments and an essential IT investment for taking full advantage of the latest business information processing trends, such as collaborative e-business and customer relationship management (CRM). Although exorbitant growth rates are a trend of the past the ERP space is a thing of the past, growth and evolution are still words that are strongly associated with the ERP market. This is despite unfavourable economic conditions and analyst predictions.
According to recent Gartner reports, enterprises spent only 16.9% of IT budgets on ERP in 2001 as apposed to 22.4% for 2000. This translates to a total reduction of 5.5%. Despite the decline in ERP spend, new installations of ERP systems are forecast to be nearly double the original estimate with upgrades expected to account for at least 10% to 20% of IT budgets. The predicted IT budget allocation for ERP indicates an inherent growth and support in terms of investment in this technology.
Says Wynand Wolmarans, partner of KPMG Consulting: "At KPMG Consulting we believe that the continued evolution of ERP systems can be attributed to the fact that many companies have still not solved their basic ERP needs. Additionally, ERP adoption in the small to medium-size space and non-manufacturing sectors has also not taken place. The future of ERP embraces the concept of streamlined business processes that improve efficiencies, reduce costs and ultimately strengthen relationships. As more enterprises realise the true value of ERP, complementary business imperatives such as CRM, SCM and procurement will gain further adoption."
Representatives from the Bank of Botswana, African Banking Corporation, Engen, Shell Oil Botswana and the Botswana Defence Force all attended. Says Bashi Gaetsaloe, general manager of KPMG Consulting Botswana: "We are very pleased with our ERP solutions offering for the local market and we believe that organisations within Botswana will greatly benefit from our knowledge and expertise in this area."
KPMG Consulting, the leading new generation management consultancy, focuses on providing today`s business with practical, innovative business consultancy that addresses strategy, performance improvement and the implementation of supportive technological solutions. For more information on KPMG Consulting, please visit http://www.kpmg.co.za.
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