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  • January 12, 2022
  • Subramanyam Sripada
  • 0
Enterprise Resource Planning (ERP) systems provide organizations with a solid foundation for digital transformation. However, selecting the right solutions and developing the right ERP implementation strategy is challenging. ERP implementations are usually long-term investments for any organization with the potential for a huge impact, so it is recommended that you adopt a planned approach towards the same.

Understand the Project Scope

For an ERP implementation to be successful, it must support the critical functions of the organization and consider the data and business process management elements.However, the scope of ERP implementations is often limited to core ERP modules, without much focus on master data management, business process management, and business intelligence or analytics.

As a result, the net impact of ERP in these organizations doesn’t live up to expectations; users are frustrated by the ERP’s limitations, and management is annoyed that they need to spend more time and money to achieve the desired results.

Therefore, it is essential to understand the scope of your ERP project and include master data management, business process management, and business intelligence elements wherever applicable.

Improve the RFP Process

An RFP supports the organization’s selection of applications to meet its scope, so its importance must not be underestimated. The RFP process to select a technology provider and an implementation partner can stretch out over many months or even years.

This results in the loss of both time and money, but the expected positive returns from the implementation are also delayed. Therefore, an effective ERP implementation needs the ERP selection process to be quick and effective. ERP implementation consultant can help you significantly provide the best advice to simplify the selection process.

Involve All Stakeholders

An ERP implementation fundamentally affects how employees operate, and therefore, the IT department should not have sole responsibility for the project. Involving the executive management and other key stakeholders early on can help gain crucial executive buy-in for the project and reinforce its importance to everyone. These stakeholders could include top management, finance, and IT teams, business process managers, end-users, or anyone impacted by the implementation process. 

Stakeholder support must be obtained, sustained, and visible throughout the project life cycle. Involving senior management helps in project sponsorship, project steering committees, quality reviews, and issue and conflict resolution and keeps them informed of its progress.

Allocate Sufficient Budgets

Organizations embark on ERP implementations to help reduce costs and expect these projects to deliver a timely ROI. One flawed approach is to cut the ERP implementation budget, which often impacts the project’s success. Budget cuts usually occur in change management, training, and project management. 

These areas are often viewed as unnecessary overhead rather than critical components of a successful implementation. Inadequate budgeting due to poor understanding can cause project failure when the performance significantly overruns the estimate, and the project fails to deliver its expected ROI. 

Therefore, you shouldn’t cut costs in crucial areas like change management, training, and project management. Change management and training are critical for an ERP project to succeed, and effective change management and training programs should be instituted at the outset.

In conclusion, organizations must follow a planned approach while evaluating ERP implementation partners for their business. Though many ERP software is available, the industry-leading Oracle ERP cloud solution is the best in serving as your integrated management of business processes and applications. The evaluation and selection process in choosing the best Oracle ERP Cloud Service provider is crucial for any implementation. You need to develop specific selection criteria based on your business objectives, the skills of your internal resources, and the project scope. Though these selection criteria may vary based on your needs, you must evaluate your ERP implementation partners’ capabilities in strategy, change management, resource skill sets, industry expertise, data and system integration, testing and training, etc.

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