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The path of independent innovation of ERP in China

35 years ago, when the four founders of SAP led their small teams to rush around the entrepreneurial offices full of doubts about it helping to improve management, they didn't expect that 35 years later, those enterprises and entrepreneurs today known as the world's top 500 companies and entrepreneurs have achieved a great career for SAP

when discussing the independent innovation of ERP in China, it must be mentioned that SAP has to go back to the way it used to go. Although "foreign ERP" has repeatedly encountered failures in China in recent years and has been criticized, it must be noted that from a global perspective, they are successful. Therefore, it is necessary to discuss the independent innovation of ERP in China today from the standpoint and perspective of SAP 35 years ago, not limited to the infiltration of Chinese traditional culture and China's special national conditions and enterprise conditions during the transition period of market economy

in those days, they were as hard and confused as we were, and they seemed to see no hope, but later, they succeeded. Their magic weapon is product innovation. They have paid tens of thousands of people, decades and tens of billions of dollars for product innovation. The most valuable conclusion that we can draw from the successful path of world-class ERP enterprises is also the view that this paper wants to express: collaborative independent innovation with customers is an effective path for ERP development

looking back on the development of ERP in China, MIS and financial computerization became popular in the 1980s, and have evolved several times to become today's ERP. At present, the application of informatization in domestic enterprises is still dominated by finance and logistics. Even the most mature financial management is in the process of upgrading from financial accounting to financial management. 60% of domestic group enterprises regard centralized group finance, group fund management and comprehensive budget as the focus of group informatization in 2006; 70% of manufacturing enterprise informatization does not involve production management, let alone the integrated application of the whole enterprise. Obviously, Chinese enterprise informatization is still in its infancy, just like international enterprises more than 30 years ago; Accordingly, ERP products are also in the primary stage, and their technical content, productization and maturity have been criticized, even regarded as "hard injury". It can be seen that although ERP in China has gone through nearly 10 years, the real challenge it faces is products. This also means that we are at a critical stage of independent innovation

four ways to improve China's ERP independent innovation ability

then, how to deal with the challenge of weak product innovation? How to embark on a correct path of ERP independent innovation based on national conditions and enterprise conditions? The author believes that there are four ways to improve China's ERP independent innovation ability

path 1: from a simple it technology-based enterprise to an organization with a high degree of integration of management and it technology

as we all know, software companies give people the impression of it high technology, which has a strong flavor. Many software enterprise leaders are born in technology and have persistent and obsessive feelings for technology

this pattern once played a great role. However, in the era of "customer-oriented", when technology encounters complex and unpredictable management, it will feel inadequate. Driven by the needs of customers, ERP manufacturers are transforming from a simple it technology-based organization to an organization with a high integration of IT technology and management. In the process of this transformation, ERP manufacturers are forced to make disruptive changes in their talent structure, knowledge structure, and even age structure, firmly establish a "non it talent view", change the channels of obtaining talents, and pay attention to the value of managerial and compound talents in traditional industries

at the same time, in terms of internal management, we should learn from traditional industries, put down the high-tech shelf and the impetuous mentality infiltrated by high-tech, work hard and innovate in management, move from extensive management to refined management, and strive to improve the ability to survive and develop under small profits

path 2: the innovation ability of ERP depends largely on the customers it serves, not entirely on the ERP manufacturers themselves. High quality customers are the driving force of ERP innovation

in terms of IT technology application, Chinese manufacturers do not lag behind foreign ERP manufacturers. Even in some technical applications, our ERP technology is more advanced than that of foreign countries. However, ERP manufacturers cannot solve the high-quality management requirements necessary for high-quality ERP products themselves

however, this does not mean that we are at a loss. If ERP enterprises, in addition to cultivating a team of management experts, consciously and actively acquire high-quality strategic customers (SCB), incorporate strategic customers into their own R & D and innovation system, move R & D forward, shorten the distance with customers, build a customer collaborative R & D mode (CCD), refine essence, absorb nutrition, and acquire management knowledge and best practices required for ERP innovation in the process of meeting customer needs, at the same time, Open up knowledge transfer channels with customers, speed up the transformation of customer needs into products, and improve the company's overall innovation ability and rapid response ability. We also have the opportunity to bring ERP into a correct development track, and have the opportunity to achieve unexpected success in a few years

sap's r/3 is the result of collaborative research and development with European and American enterprises. Sap is also in the process of long-term service and meeting many of the world's top 500 enterprises, from where to obtain high-quality management needs, and in the process of meeting international management needs, sap has gradually become the world leader in the field of management software. Therefore, Chinese ERP manufacturers should first firmly base themselves on the domestic market and patiently and carefully obtain the management needs of Chinese enterprises; Secondly, we should actively participate in international cooperation and global industrial division, make use of domestic and foreign markets and two kinds of customer resources, and constantly improve the competitiveness of ERP products

path 3: the high-end and industrial markets are the most important positions for China's ERP independent innovation, and occupy a place in the high-end market, which determines the final position and international competitiveness of China E plus the handsome appearance and the story of starting from scratch RP in China

high quality means that we must go deep into the high-end market, start from a high place, start with a high starting point and high standards, and gradually move down to improve the overall quality and level of ERP

at present, the general view in the industry is that the market of domestic ERP manufacturers is in the middle and low end, while the high end is foreign ERP manufacturers. Undoubtedly, the medium and low-end market is the temporary advantage field of domestic ERP manufacturers, and it is also the field with the most development space. But in the long run, if we can't occupy the strategic commanding height, we will lose the momentum of development and can't effectively offset the encroachment of class a vehicles (entry-level passenger cars) and class B vehicles (intermediate passenger cars) on the medium and low-end market by international ERP manufacturers. This is because China's ERP has lost its strategic commanding height, so it cannot obtain the best management needs of Chinese enterprises, and then lose the driving force of innovation. It is impossible to rush out of Asia and go to the world

it is encouraging that domestic manufacturers are not only making achievements in the high-end field, but also further increasing their investment in the high-end market. Among the large and medium-sized enterprises supervised by the central state owned assets supervision and Administration Commission, Inspur and UFIDA are not only becoming the core ERP products and service providers, but also constantly replacing and adding domestic "bulbs" in the foreign ERP "lighthouses", which play their respective light and heat for the improvement of the management level of Chinese enterprises, and these "lighthouses" are colorful and more colorful. This is true of large and medium-sized enterprises, as well as industrial enterprises. In some industries, such as pharmaceutical, the "beacon" of foreign ERP is being comprehensively replaced by the "beacon" of Chinese ERP. All this undoubtedly makes us see the dawn

in short, we must realize that the high-end and industrial markets are the most important positions for China's ERP innovation. Whether China can occupy a place in the high-end determines the final position and international competitiveness of China's ERP in the domestic market. These have become the consensus of many domestic experts, government officials and Chinese ERP manufacturers

path 4: Chinese ERP manufacturers with certain strength should focus on the long term, combine independent innovation and international cooperation from the perspective of globalization, and build an independent innovation system from a strategic height

in recent years, the state has given great support to the product R & D and innovation of local ERP manufacturers, with both policy support and capital investment. Over the years, through the joint efforts of the government, enterprises, experts, media and manufacturers, ERP has been deeply rooted in the hearts of the people and formed a good development atmosphere

however, independent innovation cannot be achieved overnight. In addition to the determination to endure loneliness, patience and great hardships, we must first find the right strategies and ideas

first of all, in terms of R & D investment, national guidance and investment are good, but the most fundamental and critical thing is to rely on enterprises as the main body, independent investment and independent innovation, formulate product innovation strategies and steps according to their own development status, and build a scientific, standardized and systematic independent R & D innovation system

secondly, independent innovation needs a global perspective and takes the road of combining with international cooperation. Independent innovation is a complex process, which should not only accumulate step by step, but also seize opportunities to achieve leapfrog development. In this process, being open-minded and daring to conduct in-depth exchanges and cooperation with world-class enterprises in technology and products can greatly accelerate the process of independent innovation

implement ERP independent innovation

as mentioned above, China's ERP independent innovation must adhere to the "four paths": that is, the combination of it and management; Combining ERP with customers; Grasp the high-end market and high-quality customers; Combine independent innovation with internationalization. So, how to implement the "four paths" of ERP independent innovation in China

the author believes that we can start with three basic steps:

ERP R & D strategy and innovation system

Step 1: obtain SCB (strategic customer base) customers. SCB is the source of ERP productization and the driving force of ERP independent innovation

step 2: establish a customer collaborative development system and promote CCD (customer collaborative development mode). Bring SCB into ERP R & D and innovation system, open up knowledge transfer channels with customers, speed up the transformation of customer needs into products, build ERP customer collaborative R & D and innovation system, improve the overall innovation ability and rapid response ability of the company, at the same time, pay attention to the combination of industry, University and research and international strategic cooperation, and build a comprehensive knowledge transfer system. Tensile testing machine fixture is an important part of the instrument

step 3: build a knowledge sharing and reuse system with strategic customers, establish a GSP (Genersoft platform) knowledge and product platform, and continuously refine management ideas and common characteristics in the growth process, deepen the understanding of customers, and improve the adaptability of products to enterprise management needs

the above three steps are important links of ERP independent innovation, which is a step-by-step process. However, for SCB, it is crucial to occupy high-end enterprises (large and medium-sized group enterprises) and focus on industry enterprises (especially the leading enterprises in the industry). These enterprises represent the mainstream of Chinese enterprises, and the so-called enterprise management ideas with Chinese characteristics mainly come from the leaders of these enterprises. Therefore, the author believes that "leading the high-end and focusing on the industry" is more about self satisfaction

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