At one point in time, every business will have to go through the process of implementing a new ERP solution. It may be that the project is the implementation of the first ERP application for your business, or it might be that you are upgrading to a new solution. In either case, there are some things that people often don't realize about ERP implementations that wind up costing them money that they never would have had to spend if they had realized some basic things from the very start. When you look at the statistics that show high numbers of ERP implementation projects running over budget, failing to deliver or taking too long odds are that the reason for the failure is that someone didn’t quite understand some essential aspects of modern ERP solutions.
ERP solutions are modular
If you purchase a base ERP application, it might not do what you expect out of the box. This is because enterprise resource planning software is modular; built to handle the needs of different departments such as:
- Finance/Accounts
- Human Resource Management
- Manufacturing
- Marketing/Sales
- Supply Chain/Warehouse Management
- Customer Relationship Management
- Project Management
Since this is a modular solution, your organization needs to understand that you may have to purchase the different modules based on what you expect your software to do. If you expect supply chain process to be more efficient after your ERP implementation, you had better make sure that you have included this module in your solution.
Not only do you have to make sure that you purchase the right modules, but you have to understand that you will likely have to integrate each module into your existing infrastructure. Each integration brings about unique challenges so you need to prepare for them.
Security is your responsibility
Software vulnerabilities are common in enterprise applications; and that is one of the main reasons why vendors are constantly releasing updates and patches. This doesn’t excuse you from the responsibility of securing your ERP solution and the data that powers it. You are responsible for applying any security patches when they are made available, but security doesn’t stop there. You also need to secure the network infrastructure that your ERP solution lives in to make sure that you didn’t leave any open doors for an attacker to exploit.
End user training is essential
Many vendors highlight user experience and ease of use during the sales process. However, just because ERP software is becoming easier to use doesn't mean you can save money by cutting out training costs. If users are not comfortable with the software or the processes involved then they will not use the ERP solution properly and this will effect how quickly your company starts to see benefits from your project. By making sure that the people using the software are given the right amount of training, and the right type of training, you greatly increase the chance that your ERP implementation will be viewed as a success.
The implementation of an enterprise resource planning solution is not something to take lightly. If you don’t have people on staff who are experienced in this type of project there is a good chance that some of the most important aspects of a successful implementation will be overlooked. Instead of running the risk, consult with an expert who can guide you through all the necessary steps and help you navigate the many hurdles that threaten to stall your project.
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