Plan of Action Before Implementing a New ERP System


Irrespective of what kind of business you’re in, implementation of an ERP system is always a critical project that must be taken seriously. Implementation of an ERP system requires complete commitment from a project team that is supported by business leaders to ensure success. The teams need to address every minor issue and plan for it well in advance right from concerns of the costs that will be involved and demonstrating ROI, to considerations of who will manage the process at your company everything needs to be in place.With all vital considerations and a proper execution, implementing an ERP system will be a smooth process and will quickly improve efficiency across your business.

ERP system brings up many advantages in the working and business processes of an organization. Implementing ERP system successfully is not an Easy task until you have a proper plan ready on each step during as well as after implementation. Many times an ERP implementation comes with surprises in the organization and drags the timeline of the project unnecessarily.

Before implementing a new ERP system companies should take a number of factors into consideration to help ensure a success of the project. Planning for ERP implementations is the single most important element to a successful ERP implementation. To start with, an organization needs to address its corporate culture, which is best driven by executive management, and its operational and production processes – every aspect of an organization’s efficiency, productivity and standard operations must be scrutinized. Unfortunately, very often, companies undertake ERP implementations that are lacking proper strategy and finally end up fixing issues that would never have appeared if diligent planning and project management led the ERP deployment charge.

This Plan contains following 7 important steps every company needs to take before implementing an ERP system.

  • Define the ERP strategy around your company’s core business requirements

The first most important thing to do before you take up on ERP implementation is to identify your organization’s processes, roles, hierarchy, departments etc. Identify the Key Performance Indicators(KPI) and this will help you in selecting a right ERP solution that best fits your kind of business.

  • Without a sound understanding of where you are today, it is very difficult to realize where you want to go

You need to specifically define your existing business processes and prepare a flow diagram if at all you are changing your old processes with new ones in your ERP implementation. Make sure to give classifications on all your pain points with old workflow this will assist the vendors to prepare or suggest a good change.

  • Manage and involve a good team for better utilization of resources

Understanding the functional capabilities of each employee with its own department helps to create a powerful ERP system. Always make sure to allocate employees having hands on experience knowing business processes completely during the implementation as it helps a lot to the vendor to meet your actual needs and requirements.

  • Selection of a Good ERP Vendor

Once you are done with defining your new business processes you need to create a formal Business requirement document which gives a fair idea about your business and involved processes to the vendors and proceed to request the proposal from them. Share this Document with several vendors who have expertise in similar kind of implementation and compare the offerings, this will ensure you have the best fit vendor for your business. Once you have selected the vendor you can ask for more ideas from your vendor to resolve your pain points with new ERP system.

  • Develop performance metrics for evaluation of the program

Even during the implementation process, it is very important to constantly monitor the developments and put key performance metrics in place and measure the impact of the ERP system will have after it is fully developed. This will help you in determining if all your efforts are going in the right direction and tell you whether or not the ERP system will improve your business efficiency. Keep it simple – Try to understand what you are getting with implementing an ERP solution and how it will benefit your business areas.

  • Knowledge transfer and awareness for user acceptance

It is very important that your employees have sufficient knowledge of the new ERP system and should be able to derive maximum benefits from this system. Make sure to arrange proper knowledge transfer and training sessions for your employees to make the best use of the ERP system. Define the roles and responsibilities to each team member to avoid confusions and make sure all their questions/issues are addressed without the added pressure beforehand.

  • Preparing to ‘go live’ finally

This phase comes only after your system has been tested for several scenarios and test cases, all your business processes have been properly configured and your employees have been well trained, it’s time to ‘go live’ or activate your ERP system. Make sure you are fully prepared to take on the new system before you finally go live on the program. A well-prepared and clearly defined implementation strategy can go a long way in ensuring the success of any ERP system.

Conclusions

When you need an ERP software solution NetSuite offers the #1 business management software suite. NetSuite being a Cloud ERP, it offers you some essential benefits that every Cloud-based technology is expected to have such as web-based user interface, web-based computing, reduced or almost no maintenance of servers from company’s end, automated data backups, anytime-anywhere computing just by using the device that is connected to the internet and so much more.

For any queries on ERP Software or any guidance on selecting the right ERP Software for your business get in touch with us through sales@bistasolutions.com or to write your feedback on this blog post, you can reach us at feedback@bistasolutions.com

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