← Back to Insights
ERP Basics8 min read

But We Are Too Small for ERP: Answering the 5 Biggest Objections Malaysian SMEs Have

Too expensive. Too complicated. Bad timing. We address the 5 most common objections Malaysian SME owners raise about ERP implementation - honestly.

Forward Within Consultancy

Sit down with a Malaysian SME owner for half an hour and talk about putting in a proper business system, and you will hear the same five objections. Every time. They come from owners with 15 staff and from owners with 200. From the company doing RM 5M a year and from the one doing RM 100M.

And here is the thing: none of these objections are excuses. They are fair concerns from people who have grafted for years to build something real, and who are understandably nervous about anyone coming in to poke at it. So let us go through all five, one by one, and give each an honest answer. No spin.

Objection 1: "It Costs Too Much"

This is always the first thing out of anyone's mouth, and honestly? Good. It is exactly the right question to ask. So let us be straight about what an ERP actually costs for a Malaysian SME.

Trading Boss, Penang

Aiyo, ERP very the expensive one lah. Those big company budget we don't have. At our size confirm cannot afford.

now ✓✓

Here is the real range:

  • Quick Win (1-2 integrations): From RM 7,000. Timeline: 1-2 weeks.
  • Foundation (core modules): From RM 15,000. Timeline: 4-6 weeks.
  • Tailored Solution (full custom): From RM 45,000. Timeline: 8-12 weeks.

And to be clear, those are not annual licensing fees. They are one-off implementation costs. What you pay ongoing depends on the platform you land on: Odoo Community Edition has no licensing fees at all (you just cover hosting), while Odoo Enterprise or NetSuite come with a monthly per-user charge.

Now, the reframe. The question is not really "is RM 15,000-45,000 a lot of money?" Of course it is. It is a meaningful sum for any SME. The question you actually want to ask is: are your manual processes already costing you more than that, quietly, every single year?

Because they usually are. We dug into this in our post on manual invoice tracking costs. For a typical Malaysian SME, manual processes bleed away RM 100,000-300,000 a year in wasted hours, errors, late payments, and revenue that slips through the cracks. So an implementation that costs RM 45,000 and clears out even half of that waste has paid for itself before you hit the six-month mark.

That is the shift in thinking. ERP is not a bill you swallow. It is an investment with a return you can actually measure.

The question is not whether ERP is expensive. It is whether your manual processes are quietly costing you more.

Objection 2: "It Is Too Complicated for Our Team"

This one usually comes from owners who have been burned before. Maybe a CRM you paid for that nobody ever opened. Maybe an accounting upgrade the team quietly hated and worked around. If that is you, the wariness makes complete sense.

Factory Owner, Shah Alam

My staff some of them not so tech-savvy one. Last time install new system, everybody confused, end up still using Excel. Don't want repeat that.

now ✓✓

So here is the honest answer: if a system feels complicated, the implementation was bad. Full stop.

A good implementation starts from your team's seat, not from a textbook. What do they actually do all day? What drives them up the wall? What would make tomorrow easier than today? That understanding tells you where the pain is. It does not mean bending the software to mirror every old habit: with best effort, we stick to the ERP's original workflow wherever it does the job, because it is the optimised way of working and it upgrades cleanly, with no conflicting custom code. The effort goes into killing the real frustrations, not into rebuilding the old ways on new screens.

Think about how this plays out. When a warehouse fella sees that the new system swaps his handwritten stock card for a scan-and-confirm that takes half the time, he is not resisting it. He is asking why you did not do it sooner. When an invoicing clerk watches the system auto-fill an invoice straight from the sales order, she is never going back to re-keying line by line. The teams that adopt fastest are always the ones whose daily users had a say in how it was built.

So no, complexity is not some unavoidable tax you pay for having a system. It is a design failure. If the last one felt complicated, it was not your team that failed. The implementation failed your team.

Objection 3: "This Is Not the Right Time"

Ah, the timing one. And look, there is always a reason. Year-end is coming. There is a big project on. The market feels shaky. We are mid-hiring. We are restructuring. Pick any month of the year and it comes with its own perfectly good reason to wait.

So let us be honest about this: there is never going to be a perfect time. There are only delays that get more expensive the longer you sit on them.

Every month you run on manual processes carries a real, calculable cost. The hours quietly burned, the errors that slip through, the deals that go cold because nobody followed up. That meter does not pause just because you are waiting for a calmer quarter.

And there is a harder edge to it right now. The LHDN e-invoice mandate is rolling out, and businesses that are not ready will hit compliance headaches. Getting your invoicing systemised now, even as a small Quick Win, is not only about saving time. It is about being ready when the regulator comes knocking.

The SMEs that pull ahead are almost never the ones who held out for perfect conditions. They are the ones who started with what they had and got better as they went.

Objection 4: "How Do I Know I Can Trust You?"

Now this is the big one. The most important objection of the lot, and the one most consultants will happily talk around rather than answer. So let us not dodge it. The truth is you cannot fully trust a new vendor until you have actually seen them deliver. Of course you cannot.

So here is our honest answer: start small. A RM 7,000 Quick Win is not a bet-the-company decision. It is a 1-2 week job that connects two of your existing tools, or takes one genuinely painful process off your hands. At the end, you have a working result in front of you and more than enough to judge whether you want to go any further.

That is how most of our client relationships actually began. One small project. One real, tangible result. Trust built through delivery, not through a slick pitch.

There is no long-term contract waiting to trap you. No vendor lock-in. If the Quick Win does not earn its keep, you walk away having spent RM 7,000 and two weeks, and that is the worst case. If it does deliver, and it usually does, then you have a solid foundation to build from.

One of our clients put it better than we could: "When I did not like one piece of software, they just swapped it out and integrated the new one. That kind of flexibility is priceless." That is the kind of relationship we are after, the kind where you always have options.

Objection 5: "We Tried Software Before and It Did Not Work"

This is the scar-tissue objection. You sank time and money into a CRM, an inventory tool, maybe even a full ERP attempt once upon a time. It did not stick. The team drifted back to their old ways. And now there is a real flinch in the room whenever someone says the words "new system."

We get it. So here is the honest answer: the software was probably fine. It was the implementation that let you down.

In our analysis of why implementations fail, the same culprits turn up again and again. Picking the software before anyone understood the workflows. Skipping the process mapping entirely. Training that barely happened. Nobody around to help once the thing went live. Every one of those is an implementation failure, not a software failure.

Which is actually good news, because it means a different approach gets you a different result. That looks like:

  • Starting with your processes, not with the software
  • Pulling your team into the design from day one
  • Giving people real training, not a PDF manual to skim
  • Sticking around to support the system after go-live

If your last experience was a consultant who vanished the moment the software was installed, or a vendor who handed over the tool but none of the know-how, then your hesitation is completely earned. But the answer is not to swear off systems forever. It is to pick a better partner this time.

Should You Get ERP Now?

Answer five quick questions and find out:

The Decision Framework

So you have heard all five objections answered. The question that usually comes next is the honest one: "Alright, but should we actually do this?"

Here is a simple way to think it through.

Do it now if:

  • You have 15+ employees and RM 5M+ in revenue
  • You recognised your business in the five signs of manual process overload
  • The LHDN e-invoice deadline is approaching and your invoicing is still manual
  • You have at least one internal champion willing to own the project

Do the Quick Win first if:

  • Budget is tight (under RM 15,000 available)
  • Trust in "new systems" across the organisation is low
  • You want to prove the value before committing
  • You have one specific pain point that is costing you measurably

Wait if:

  • Your business genuinely has fewer than 10 employees and simple operations
  • You are in the middle of a crisis that needs all of management's attention
  • You do not have anyone internally who can champion the project

For most Malaysian SMEs reading this, the honest answer is one of the first two.

Still on the fence? Start with a RM 7,000 Quick Win - connect two of your existing tools in 1-2 weeks. See real results before committing further.

Was this useful?

Ready to Transform?

Let's discuss how we can solve your business systems challenges.

Book The Blueprint