The ERP and technology trends that will shape 2023

By Mark Wilson, Chief Executive Officer of SYSPRO EMEA
Following a year of disruption caused by Russia’s invasion of Ukraine, supply chain disruptions and
record-breaking inflation, we look to the year ahead and what 2023 might have instore for
manufactures and distributors.
Even with pandemic-related restrictions now a thing of the past, many reopened enterprises have
quickly realised the market is not what it used to be. New technology and the latest enterprise resource
planning trends have enabled a rush of swift changes in ERP that will need companies to update quickly.
Manufactures and distributors will be looking at their ERP software systems and trying to maximise the
benefits they can receive. So, what can these organisations expect to see in 2023 and what technology
trends will define the year? Lets take a closer look.

Managing the supply chain
It would be difficult to discuss any future trends around ERP solutions without looking at the current
global supply chain situation. While there has been some pressure removed from manufacturers and
distributors, there are still major shortages of key materials causing delays in production as well as
increase to costs.
Due to these shortages, these organizations are finding it difficult to keep enough inventory in stock as
well as numerous challenges around procurement. Almost every manufacturing organization
experienced raw material shortages, with supply chain management technologies within ERP systems
becoming significantly more popular as a result. These solutions help organizations integrate with
suppliers and customers more effectively and give leaders more visibility into the health of their supply
chain.

ERP solutions get smarter
ERP rollouts of the last decades focused on collecting transactional data. Now, finance organisations are
burdened by the quantity of information collected and don’t know how to analyse or use it. This has led
to more intelligent ERP solutions, augmented with AI and connected data, from transaction and external
sources, to generate a system that provides contextualised features, experiences, and processes, and
can continually learn, improve and adapt.
Effective implementation of an intelligence solution can help reduce human error, save costs, and free
up time for your employees to focus on value-generating areas of your business. This domain will be
supported by adjacent advancements in AI, the interconnectivity of Internet of Things smart devices,
edge computing, digital twins, remote operation, satellite and 5G communications, and advanced
materials.

Sustainable practices become the norm
With COP27 recently taking place in November, there has been a renewed focus on finding sustainable
solutions and fighting climate change from both the public and private sectors of all industries. Thanks
to developments in power, energy, and battery technologies, new solutions can make organisations
more efficient and lessen the impact of climate change.

For example, advancements in nanotechnology and materials are helping to improve battery life for
vehicles and phones and to reduce dependence on infamously scarce and hard-to-obtain materials such
as cobalt and lithium. Energy storage solutions such as pumped storage hydropower and flywheel
energy storage can help stabilise energy grids, make them more efficient, and ensure that energy isn’t
wasted. We will see more manufacturers and distributors adopting sustainable solutions across their
operations to not only reduce their energy costs but their carbon footprint as well.

Remote work and mobile ERP
Thanks to the COVID-19 pandemic, cloud adoption has increased globally, with ERPs moving away from
on-premise and migrating their applications to the cloud.
Having remote access just isn’t enough. ERP systems have to meet the needs of a more mobile and
remote workforce. Accessing business insights, customer & stock information and processing alerts on
the go from a mobile device are part of a mobile-friendly ERP, making your workers more productive
beyond their place of work.
As a result, several features of ERP solutions are extending to mobile devices. Mobile ERP systems can
support powerful functionalities beyond office or warehouse environments, adding considerable value
to your business.

Rising into the clouds
At the start of 2022 IDC Corporation predicted that by 2026 Cloud-Native architecture and its ability for
continuous innovation will be the main selection criteria in over 80% of IT-led enterprise application
deployments.
These cloud models offer many benefits, including the ability for smaller companies to ramp up their IT
investment. This has resulted in a variety of solutions available on the market, with today’s cloud-based
ERP systems becoming well-suited for even small-to-midsized companies. These companies can choose
between implementing a system fully located in the cloud or implementing a hybrid model that still
offers a degree of in-house IT control.
ERP technologies are constantly evolving and becoming more sophisticated. In the future, ERP systems
will become more intelligent, more user-friendly, and more integrated.