idea incubation

M0254 - ERP (Enterprise Resources Planning)
Session 9 - ERP Implementation

ERP Solution Components

ERP Implementation Involves

• Project Planning
• Business & Operational Analysis, including Gap Analysis
• Business Process Re-engineering (BPR)
• Installation & Configuration
• Project Team Training
• Business Requirements Mapping to Software
• Module Configuration
• System Modification and Interfaces
• Data Conversion
• Custom Documentation
• End User Training
• Conference Room Pilot
• Acceptance Testing
• Production
• Post-Implementation Audit/Support

ERP Implementation

• Commitment from Management
• Form a task force with personnel from all functional Areas
• Take care of Hardware requirements
• Step-by-step rather than big-bang introduction
• Be patient, ERP implementation takes Time

Prepare Base for ERP

• Do not start without Management commitment
• Allocate sufficient funds
• Identify Core Project Team
• Select specialists from all functional areas
• Evaluate and select ERP package
• Evaluate Implementation Partner
• Make an Implementation Plan
• Present plan to Management Committee for sanctions
• Present plan to Employee groups for feedback/acceptability
• Plan for User Training
• Plan for Future upgrades

ERP Implementation Activities

Manage It...

Prime Contractor Project Management
Detailed Project planning and Tracking
Communications Plan
Subcontractor management
Project Scope Control
Financial Control
Project Oversight and Quality Assurance Reviews

Change It...
Change Mgment
Business Vision and Goals
Process Analysis
Package Select .
Business Case
Bus. Process Reengineering
Industry Best Practices
As Is /To Be Process Modeling
Fit-Gap Analysis
Policy Design and Procedure Dev.
Readiness Assessment
Organizational Design
Communications Plan

Implement It...
Package Integration (SAP,PeopleSoft, JDE, Oracle...)
Software Environment Builds
Enterprise-wide Infrastructure Planning/Design & Roll-out
Interfaces and Conversions
Data Warehouse Integration
E-Business
Business Intelligence
Networking
Design
Implementation
Tuning

Operate It..
Data Center Operations
Application Development & Maintenance
Network Station Management
Network Operations & Support

Service It.. .
Platforms & Technology Services
Installation/Customization & Maintenance
Performance and Tuning
Software Services
Planning/Design/Install
Migration Management
Problem Mgmt.
Systems Mgmt.
Internet Enablement
Web Site Design
Help Desk
Disaster Recovery
Business Resumption Services

Teach It..
Training Needs Assessment
Custom Curriculum and Material Development
CBT Development
End User Training Classes
Train-the-Trainers
Roll-out of Training

• It is important to recognize all of the different kinds of activities it takes to implement an ERP solution.
  This is a bit of an "eye chart" but it makes the point that this is a complex undertaking. The State needs to make sure it understands how its resources will need to participate in these activities and what type of support you will need from your selected vendor for these areas. You should make sure your selected prime contractor can address all of these areas.
  Everyone focuses on the technical tasks but the management, business transformation, and training activities are equally important.
  Some customers will include "operate it" as an outsourced or network application solution. Others won't want this option.
  All of the other categories must be part of an ERP implementation. We're going to talk in more detail about 3 of these areas.
  
  

Define Requirements

1. Determine the hardware required.
2. Analyze the existing Processes.
3. Fine tune the processes to be in line with those of ERP defined.
4. Analyze effect of system changes.
5. Prototype and present.
6. Refine the prototype & freeze the specifications.

ERP Implementation
ERP Consultants
How does a consultant steer a client through an ERP implementation?
Identify what you want improved, set goals, and calculate benefit
Define standard procedures
Plan for rollout far before it happens
Set milestones
Train everyone
Don’t forget your customers
Re-engineering - a part life with ERP
Re-engineer process before going for ERP
Re-engineer during implementation of ERP
Re-engineer after implementing ERP
Continuous re-engineering through ERP
ERP without Re-engineering
Advantages
No visible changes in Functionality
Users find it more acceptable
Can be completed within time frame.
Cost can be with in your control
Impact on Organization will be moderate
Disadvantages
Best Business practices would have been ignored
Stability of the system is known only in long run
May not achieve Corporate wide systems integration
New technologies have to be studied your self
Some functionality may be lost
Re-Engineering
Study the current system & Processes
Design and develop new systems
Define Process, organization structure, procedures
Develop/Customize the software
Train people
Implement new system
Business Process Re-Engineering (BPR)
In-depth study of existing systems/processes is required before ERP is considered.
This study brings out deficiencies of the existing system/process.
This study is called BPR.
BPR attempts to re-structure and re-organize the human resources, functional areas, Man-Machine interfaces in the organization.
Hence BPR attempts to maximize productivity.