Two-Tier ERP the Swiss Army Knife for the Enterprise

December 11, 2013

I will engage with anyone, anywhere about the reasons NetSuite is a suitable end-to-end solution for any enterprise, regardless of size. But companies can benefit from our capabilities without turning off all of their other systems. The most obvious application of NetSuite as a targeted solution is the growing adoption of two-tier ERP(opens in new tab), when NetSuite is rolled out to divisions or worldwide subsidiaries while headquarters stays on the incumbent ERP system. Our world-class SuiteCommerce solution gives businesses with any back-end systems a crucial advantage in eCommerce(opens in new tab). But because NetSuite is both comprehensive and modular, many of our largest customers use it at various levels of the enterprise as their Swiss Army knife — an all-in-one tool that solves vital problems at crucial pain points, and is always ready to be called on for more.

New challenges are one of the most common reasons large companies look to the cloud for their Swiss Army knife solution. For example, finance departments have been grappling with the enhanced revenue reporting requirements imposed by EITF 08-01(opens in new tab) because many of their ERP systems did not anticipate the level of detail and granularity demanded by the standard. NetSuite can provide advanced revenue recognition schedules and reporting even if it is not the master ERP solution.

Replacing flawed or outright broken systems is another common use case for our flexible cloud suite. One of our enterprise customers, a major clothing retailer, came to us not to replace their entire ERP system, but to resolve the headaches created by its purchasing system. Purchasing processes were manual, bound to a homegrown software application, and led to the kinds of problems you would expect: the company was not getting the right quantities at the right time, and buyers weren't ordering at the best available prices. Bringing NetSuite in to act as a purchasing gateway cleaned up the procure-to-pay
process, and got the company's inventory mix and costs back in the green.

NetSuite's sales order management is among the best in the business for companies of any size, and we frequently see enterprises adopt it to address shortcomings in sales conversion and fulfillment. Many companies like the entrenched sales force automation system handling their lead-to-quote process, but are frustrated by limitations and inefficiencies while transitioning into the quote-to-cash process.

Because NetSuite offers tight integration with and other cloud and on-premise SFA systems, it is an automated, push-button process to take a lead and quote from SFA and move them into the NetSuite sales order process. This gives the enterprise the best of both worlds—the ability to stay with comfortable interfaces for front-line sales personnel, and the top-notch, detail-oriented sales order management that turns hot prospects into bottom-line results.

As more companies diversify into professional services, they often find that managing their worldwide experts creates challenges that their product-oriented ERP systems aren't prepared to solve. Adding professional services automation in the cloud, with comprehensive resource and project management as well as clear, accurate time reporting and invoicing gives these enterprises the agility they need to build successful service practices.

Sometimes the most valuable tool is the tool you need right now. That's why the Swiss Army knife is such a success, and why NetSuite succeeds on so many levels with global enterprise.

-K. David Fite - Vice President Global Enterprise Accounts

NetSuite has packaged the experience gained from tens of thousands of worldwide deployments over two decades into a set of leading practices that pave a clear path to success and are proven to deliver rapid business value. With NetSuite, you go live in a predictable timeframe — smart, stepped implementations begin with sales and span the entire customer lifecycle, so there's continuity from sales to services to support.