6 ERP trends for 2026 and beyond: CIOs rethink core systems
Enterprise resource planning (ERP) is entering a major period of change as artificial intelligence (AI), cloud migration, support deadlines and newer modular technologies push companies to rethink their core business systems. In his CIO article, technology journalist Neal Weinberg identifies six trends shaping ERP in 2026 and beyond. He describes the current market as an ERP “supercycle,” with organizations reconsidering long-standing systems as they look for ways to modernize and take advantage of AI.
The six trends are:
- AI is transforming ERP. AI is moving ERP beyond recording transactions toward automating routine work and supporting decisions. But the article notes that modernizing the ERP core may need to happen before companies can get the most from AI.
- End-of-life deadlines are forcing decisions. Support deadlines from vendors such as SAP and Microsoft are pushing companies to decide whether to upgrade, migrate or consider another platform.
- Data sovereignty is influencing cloud choices. Regulations and geopolitical concerns are making where business data is stored and processed an increasingly important part of ERP strategy.
- Cloud migration is accelerating. AI adoption and aging on-premises systems are encouraging more organizations to move ERP workloads to cloud environments, although hybrid and private cloud remain important in regulated industries.
- Monolithic ERP systems are being unbundled. Some companies are moving toward modular, best-of-breed applications rather than relying on one massive ERP suite.
- ERP startups are getting more opportunities. As enterprises adopt modular architectures, newer vendors can target specific areas such as finance, procurement or AI orchestration rather than competing with entire ERP suites.
The takeaway is that ERP modernization is becoming less about simply replacing an old system and more about creating a flexible foundation for AI, cloud and new business applications.
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