ERP can be implemented at any point in a company's lifecycle. However, it is most common to develop ERP systems when the business grows for a number of reasons. First, as a business grows, it becomes harder to track all the data and actions happening across the organization.Second, as the business expands and adds new employees, it gets more complex to manage and leads to increased complexity in the system. Third, as the business scales and needs more sophisticated tools and resources, it makes sense to invest in technology that can help with these tasks. Another key reason to start planning for an ERP system is that it can help with compliance issues. As a company grows and adds new departments (such as sales or customer service), it may need to implement new policies and procedures for these employees.