ERP Software Trends to Watch in 2024-2025

In Saudi Arabia, the ERP software market is booming as more companies embrace these powerful solutions. Businesses across the nation are revolutionizing their operations like never before. How? By adopting the latest ERP software as their secret tool for efficiency and growth.

What's exciting is that ERPs are no longer just for large corporations. Small businesses in Saudi Arabia are also using these tools to simplify processes, boost productivity, and outpace the competition.

However, with rapid advancements in ERP technology, you need to know the ERP software trends to understand which innovations will make the biggest impact. The ERP world is full of opportunities you can’t afford to miss.

Let’s explore the top ERP software trends in 2024 and see how KSA businesses can leverage these advancements for growth.

Why Keeping Up with ERP Trends is Essential for Success in 2024 and 2025?

As you might be aware, ERP (Enterprise Resource Planning) software helps businesses manage core functions like finance, HR, and inventory all in one place, improving efficiency and decision-making. 

In Saudi Arabia, the rapid pace of innovation in ERP systems is reshaping businesses. Keeping up with trends like AI integration, mobile accessibility, and real-time analytics can help you:

• Stay competitive in a fast-evolving market.
• Make smarter, faster decisions.
• Maximize ROI by investing in solutions that align with future needs.
• Adapt quickly to the changing business world.

As these trends continue to emerge, it's important to understand how they can benefit your business in the years to come. Let’s look at the top trends. 

Top ERP Software Trends to Follow in 2024-2025

Here are the latest ERP software trends that are helping businesses grow and stay adaptable.

Trend #1: AI Integration: Smarter Systems for Smarter Decisions

Artificial intelligence (AI) has moved beyond being mere add-ons—they’re now core to ERP systems. Static data entry is a thing of the past. AI-powered ERPs analyze trends, predict outcomes, and provide actionable recommendations, ensuring your business stays ahead. According to Gitnux, 89% of companies benefit significantly from integrating AI into their ERP systems. How AI helps: 

• Generative AI: Automates content creation, customer support, and process optimizations.
• AI-driven Forecasting: Offers accurate demand predictions, inventory optimization, and trend analysis.
• Enhanced User Experience: AI streamlines communication with chatbots and personalized recommendations.

How it helps your business:

• Automates repetitive tasks to free up your team’s time.
• Reduces errors and improves operational efficiency.
• Provides actionable insights to make informed decisions faster.

Trend #2: Cloud-Based ERP Continues to Dominate

If you’re still relying on on-premises ERP, it’s time to reconsider. In 2024, cloud-based ERP systems continue to dominate because of their scalability, affordability, and ease of use. 

Benefits of Cloud ERP:

• Automatic Updates: Always stay current with the latest features.
• Data Accessibility: Access systems anytime, anywhere.
• Seamless Integration: Effortlessly connect with other tools like CRM, HR, or your e-commerce systems.
• Cost Efficiency: No more expensive servers or maintenance costs.

Challenges in migration:

• Data integration issues and downtime risks.

Solution: Partnering with expert providers and phased rollouts ensures smoother transitions.

• Data security concerns: Potential risks of breaches or compliance issues.

Solution: Use robust encryption, certifications, MFA, and role-based access control.

Trend #3: Mobile-First ERP: Productivity Anytime, Anywhere

As remote work becomes the norm, mobile-first ERP solutions are becoming popular.  ERP providers are stepping up with mobile-first solutions in a world where mobility is key. These systems allow employees to access critical data and manage operations directly from their smartphones or tablets. Whether your team is working remotely or traveling, mobile ERP ensures that productivity never takes a break.

With mobile ERP solutions:

• CFOs can approve budgets or purchase orders on the go.
• Sales teams can access real-time inventory data during client meetings.
• Employees can submit timesheets or expense reports from their smartphones.

Trend #4: Enhanced User Experience (UX): Making ERP Easy

Complex ERP interfaces are a thing of the past. In 2024, user experience (UX) has become a key differentiator for ERP providers. Modern solutions are designed with simplicity in mind, featuring intuitive workflows and customizable dashboards that make the software easy for users of all technical levels.

Benefits of good UX:

• Less time spent training employees on complicated software.
• Easy access to critical data through intuitive dashboards.
• Higher adoption rates ensure your investment delivers value.

HAL ERP focuses on delivering an easy-to-use system that’s still powerful enough to drive business success. With a seamless UX, your team can focus on strategic growth rather than struggling with complex software interfaces.

Trend #5: Industry-Specific ERP Solutions: Tailored for Your Needs

Generic ERP solutions can’t always meet the unique needs of businesses in particular industries. In 2024, companies are choosing industry-specific ERP systems that are designed to handle the particular challenges and requirements of their sectors. These tailored solutions:

• Reduces implementation time and costs.
• Provides tools aligned with unique business processes.

How it works for you:

• Manufacturing: Features like supply chain tracking and production planning help optimize resources.
• Retail: Tools for real-time sales analytics and inventory management ensure you never miss a beat.
• Construction: Project management features make handling deadlines and budgets a breeze.

Trend #6: ERP with IoT and Advanced Analytics: Real-Time Insights

The Internet of Things (IoT) and advanced analytics are transforming ERP systems into powerhouses of information. IoT sensors collect data from connected devices and feed it directly into ERP dashboards. When paired with advanced analytics, these systems enable businesses to predict trends, prevent downtime, and optimize operations.

Benefits of IoT and analytics:

• Real-Time Monitoring: Track equipment performance or inventory levels with IoT sensors.
• Predictive Maintenance: Avoid costly disruptions by addressing issues before they happen.
• Actionable Insights: Advanced analytics provide data-driven recommendations to improve efficiency.

Trend #7: ERP Security and Compliance: A Top Priority

Cybersecurity is a growing concern as ERP systems handle increasingly sensitive data. In 2024, robust security features are non-negotiable. From advanced encryption to multi-factor authentication, modern ERPs are prioritizing data protection.

What secure ERP systems offer:

• Multi-Factor Authentication: Adds an extra layer of protection for user logins.
• Data Encryption: Ensures that information stays secure during transmission.
• Compliance Tools: Helps you adhere to local and international regulations.

For businesses in Saudi Arabia and beyond, staying compliant with VAT laws and regional regulations is crucial. HAL ERP includes built-in compliance tools to help businesses in Saudi Arabia follow VAT and e-invoicing rules set by ZATCA. Features like advanced encryption, multi-factor authentication, and bank-grade secure data storage keep your business safe from cyber threats, giving you peace of mind.

Trend #8: Seamless Integration with Business Tools

An ERP system that doesn’t integrate with other essential tools is no longer effective. Modern ERP solutions are built to work smoothly with systems like Customer Relationship Management (CRM), Human Resource Management (HRM), and other allied systems like e-commerce, online payments, etc.

What integration brings to the table:

• Centralized Data: Eliminates silos, ensuring all departments work from the same information.
• Real-Time Updates: Keeps all systems synchronized for smooth operations.
• Streamlined Workflows: Reduces manual data entry and errors, saving time.

Trend #9: Automation: Doing More with Less

While automation has existed for some time, ERP systems in 2024 are taking it to the next level with machine learning (ML) and Intelligent AI that is far more easily accessible and budget-friendly. These tools can adapt to your business needs, automating repetitive tasks while learning to make smarter recommendations over time.

What automation can do for you:

• Process invoices, payroll, and compliance tasks faster and with fewer errors.
• Learn from historical data to provide personalized insights.
• More time for your team to focus on strategic goals rather than manual tasks.

Trend #10: Two-Tier ERP

Historically, many companies attempted to deploy a single ERP system for both headquarters and subsidiaries, but this approach often proved costly and challenging due to specialized requirements at the regional level.

Key Features of Two-Tier ERP:

• Tier 1 ERP for Corporate Functions: At the corporate level, large organizations continue to rely on a robust Tier 1 ERP system for critical business functions such as finance and core operations.
• Tier 2 ERP for Subsidiaries: Subsidiaries and regional divisions operate with a more flexible, often cloud-based, Tier 2 ERP system. This allows for customization to address specific local needs, without the complexities of a one-size-fits-all solution.

This approach is especially useful for companies in growth mode or those with diverse needs across different regions. As Gartner suggests, larger organizations should consider whether a two-tier ERP strategy offers more value than a single-tier one.

What’s Next for ERP? A Glimpse Into the Future

ERP systems are not just evolving—they’re setting the stage for the future of business operations. Here’s a glimpse into what the future of ERP systems might look like:

• Autonomous ERP Systems: With AI and Machine Learning advancements, future ERP systems could take over complex decision-making tasks. These systems might optimize supply chains, adjust pricing strategies, or make critical decisions independently, without human intervention.

Gartner predicts that organizations could reduce costs by as much as 30% over the next three years by leveraging AI, machine learning, and robotic process automation (RPA) to automate previously non-automatable tasks.

• Blockchain for Better Security: Blockchain is set to play a more significant role in ERP systems, particularly in supply chain management. It can provide tamper-proof records, real-time tracking, and even “green ledgers” to monitor environmental impact alongside financial data.

• Conversational AI: Managing your ERP system might become as simple as talking to it! Future ERP systems are expected to feature conversational AI, allowing users to interact with their systems using chat, making the software even more intuitive and accessible. 

HAL ERP takes this a step further with its unique WhatsApp integration. You can handle tasks directly from WhatsApp, making ERP simpler and more accessible. It’s perfect for retail SMEs because it’s easy to use, scalable, and budget-friendly.

• Seamless Integration with Open Standards: As businesses adopt more tools and software, ERP systems will need to integrate smoothly with them. Open standards will allow ERP systems to easily share data and work seamlessly with other platforms, ensuring smoother and more efficient operations.

• Optimized for Remote Work: The future of ERP will continue to focus on supporting remote work. Expect more mobile functionality, secure remote access, remote training options, and automated workflows that simplify tasks and enhance flexibility for teams operating from anywhere.

Ready to Lead the Way?

The ERP software trends of 2024 are reshaping the way businesses operate. In 2025, we can expect ERP systems to introduce even more advanced features and deployment methods, helping businesses stay ahead of the curve. 

If you're ready to streamline operations, make smarter decisions, and scale with confidence, HAL is here to help you thrive in 2024 and beyond. Designed specifically for small businesses in Saudi Arabia, HAL ERP offers cutting-edge features tailored to meet your unique needs. HAL helps you with the following:

• Automated compliance: Stay aligned with the latest accounting standards effortlessly.
• Tailored for Saudi Businesses: Built to meet local needs and regulations.
• User-friendly interface: Manage accounts easily with intuitive dashboards and workflows.
• Safe and secured: Protect your financial data with robust user access control and security features.
• Effortless compliance: Automatically format invoices per ZATCA eInvoicing rules, ensuring hassle-free VAT reporting.
• Industry Focus: As each industry's needs differ, HAL offers uniquely crafted solutions for specific Industries, helping companies manage their costing and operations that fit their style. 

Schedule a Demo with HAL ERP today and experience firsthand how these advancements can transform your operations. Let our team answer all your questions and guide you through the benefits of adopting ERP solutions.