Many businesses continue operating on legacy ERP systems because, on the surface, they still seem to “get the job done.” But what exactly is a legacy ERP?
A legacy ERP system typically refers to an older, on-premise enterprise software built on outdated architecture — often customized heavily over time, difficult to upgrade, and lacking integration with modern tools and technologies. These systems may have once been cutting-edge, but today, they struggle to keep pace with the demands of a fast-moving, digital-first business landscape.
Beneath the surface, legacy ERPs often drain more resources than they save — creating hidden costs that quietly chip away at profitability, productivity, and agility. From limited scalability and manual workarounds to delayed decision-making and high maintenance costs, the true price of staying with an outdated system is higher than it appears.
Here’s a closer look at what those costs really look like — and why modernizing to a system like Infor ERP could be one of the most strategic decisions your organization can make.
High Maintenance, Low Value Legacy ERPs often require heavy IT maintenance, patching, manual updates, and on-premise infrastructure costs. Your team spends time fixing problems instead of driving innovation.
Hidden Cost: Increased IT overhead and delayed improvement initiatives.
Lack of Real-Time Visibility Older systems lack robust analytics, dashboards, and real-time data access. This means decisions are made based on outdated reports or gut feelings, not facts.
Hidden Cost: Slower decisions, missed opportunities, and poor responsiveness to change.
Disconnected Systems and Manual Workarounds Legacy ERPs rarely integrate well with newer tools like CRM, logistics platforms, or ecommerce systems. Teams end up creating spreadsheets and workarounds that lead to duplication and errors.
Hidden Cost: Lower productivity, higher error rates, and reduced collaboration.
Limited Scalability and Flexibility As your business grows, your legacy ERP struggles to keep up. Whether it’s new locations, business models, or changing customer expectations, these systems aren’t built for agility.
Hidden Cost: Bottlenecks, delayed expansion, and missed market opportunities.
Compliance and Security Risks Older platforms may lack modern security protocols or regular compliance updates — leaving you vulnerable to breaches or audit failures.
Hidden Cost: Increased exposure to regulatory fines, downtime, and reputational damage.
Talent Drain Younger employees prefer modern, intuitive systems. Outdated software frustrates users and makes it harder to attract and retain top talent.
Hidden Cost: Higher training costs, lower morale, and workforce turnover.
Modernizing Pays Off: Why Infor ERP Is the Smarter Choice Infor ERP offers industry-specific, cloud-based solutions designed to eliminate these hidden costs:
- Lower IT maintenance through cloud delivery
- Real-time dashboards and analytics
- Tightly coupled integrations across your tech ecosystem
- Scalable infrastructure for business growth
- Built-in compliance and enhanced security
By making the shift, you move from reactive patchwork to proactive control — reducing costs while unlocking new value across the business.