Enterprise resource planning solutions are one of the ways companies can revolutionize their customer engagement and manufacturing processes. However, many businesses are still struggling with how ERP works exactly, and others are still left in the dark on how to do a Successful ERP Implementation.
Sometimes over 70% of the projects involving ERP fail.
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Steps to a Successful ERP Implementation
This is a lot of statistics because the implementation involves costs and time. It’s essential to thoroughly do the research and understand the process before you get started. Some of the steps to a Successful ERP Implementationto know about are the following:
1. In-Depth Research
One of the first steps to do is to have a proper definition of the scope, vision, and need of the ERP solution that you’re trying to implement in your company. You can check with https://logicdata.com/ for more information about the solutions you can apply to your business in the 21st century. Another thing is that there should be a specific team that will do the communication and implementation. They should have the commitment and knowledge to guide this project towards success. The teams should have the following roles:
Executive Sponsors – This is the leader and will oversee that the goals are being reached. They formulate strategies and communicate this to everyone on a daily basis.
Project Managers – These people seek approval from the higher-ups, and they implement, communicate, and coordinate tasks to be done for the day.
Application Analysts – These are in charge of migrating data from the legacy tools to the new ERP system, and they work on the cleansing processes.
App Developer – These are the techs that install and customize the software for more user-friendliness.
QA Test Engineers – Tests the performance and data integrity of the new ERP system.
Users – Documents customer interactions, business processes, saves files, defines more requirements, provides valuable feedback, and lets the developers know about the system’s overall functionality.
The team needs to examine and document the business’s processes and map out how they flow from one department to another. It’s essential to identify the usual issues or errors that may appear suddenly on the system. The unnecessary efforts, duplications, and missed customer opportunities should be reported to the developers as well.
The company should have a detailed plan for evaluating its processes and operations. They should be able to define the results that they want to see in their future operations. If the entire team does not have any idea about the definition of success, they will have the slightest chance of taking advantage of the entire services that ERPs can deliver.
Understanding your business processes will ensure that you set measurable and attainable objectives and goals. Quantify your desired results and develop key performance indicators to ensure that you’re reaching your goals. You can read more about KPIs on this site here. You should put together a budget and timeline that will work out well.
2. Installation
The software installation is an excellent opportunity to re-engineer your business and current operations. The standard operating procedures should be aligned with the current processes of the company. Know which ones to keep manual or automate processes and design blueprints to incorporate the new business processes and practices.
Application developers responsible for building the IT infrastructure and software installation should check the progress of the installation. They check for data collection and networking facilities. They are the ones who ensure that the goals are met within reasonable timelines and troubleshoot problems along with the processes.
3. Migration
The next step to the ERP processes is to migrate data. All the records available should be transferred into the newer systems. Many corporations tend to store employee and customer data on paper. However, today, physical records may be inefficient, primarily if a business deals with many consumers daily. The databases should not contain any errors and unnecessary details to keep the migration process straightforward.
A team should be assigned to review the accuracy of the data, and there should be uniformity. Any outdated information should be removed from the system to save storage space.
When the data is verified and updated, it’s time for the application analyst to migrate all the data available. This will involve the actual transfer, setting up newer databases, and mapping out the fields for both the new and old systems.
4. Tests for Quality Assurance
The engineers who are responsible for testing and quality assurance should check that the system is working and that the data is safe. They do report on the interface and functionality, and they do real-life operations and transactions to determine the system’s efficiency.
Employees who will be the end-users should validate the processes and ensure that everything smoothly flows between the departments. It’s essential to have the systems thoroughly tested before the live date to ensure fine everything will work. Early adaptations and beta testing for users are excellent opportunities to see if the systems have errors.
5. Training the End Users
There’s a significant amount of resources involved in training people. It takes time, energy, effort, and money, which business owners should prepare for. With this said, the employees also need to carry out the tasks assigned to them and do their usual responsibilities, and it may take months before they will be able to use the new ERP system daily.
The time it will take will depend on the behaviours of the employees, the complexity of the solution, and the mentality of some in changing the way they do things.
Some may have stayed with the company for decades and implementing a new ERP can be difficult for them. They have years of learning how to do certain things, and change is usually challenging. This is where the ongoing processes and constant adjustments should be made.
It’s essential to train the trainers first and let them provide feedback exclusively. Meaningful communication and consistency are the keys to success. If the employees will be able to use the new system faster, there’s an increased chance of more productivity after the deployment, and the entire project will be a success.
