Implementing an enterprise resource planning (ERP) system is crucial to help your business function quickly and efficiently. An ERP system is a software suite designed to manage significant business processes. However, before enjoying the benefits of an ERP system, you should ensure a seamless ERP implementation.
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Unfortunately, ERP implementation can be daunting and doesn’t happen overnight. To make the process as seamless as possible, here are the tips to help you ensure a successful software rollout:
- Work With The Best ERP Consultant
Working with an ERP implementation consultant firm can make a difference in a successful ERP implementation. As a business owner, it’s hard to see trends outside your business and beyond the horizon.
Your project’s scope will include not just leading your business through change but also understanding your industry trends, business processes, and highly technical aspects of the ERP implementation process. With experienced consultants, you’ll know what the implementation will cost you and the possible opportunities you can use to your advantage from a successful ERP implementation.
But before starting the process, look for an ERP consultant to help you make the most of the software. ERP consultant with years of industry experience will help your business grow and excel in the future.
- Create An Implementation Team
Depending on how big or small your company is, you may need more team members to manage your enterprise resources. Hiring new team members who are finance and app development experts can also help a smooth ERP implementation. Moreover, an ERP implementation team often includes some, if not all, of these roles:
- End Users: These individuals can help you decide whether the software meets your company’s needs or if the training requires some adjustments.
- Project Manager: This team member manages the process by coordinating the communication and all tasks involved.
- Executive Sponsor: This person leads the ERP’s overall strategy, ensuring everybody hits the key goals.
- Determine Your Scope
Establish realistic and clear expectations for your ERP implementation. First, determine your goals and the project’s scope. Then, ensure that everyone knows and agrees to the scope.
When determining the project’s scope, determine system requirements, define business processes, and outline necessary customizations. However, you’ll also need to reduce the number of customizations whenever possible, as they can make your ERP harder to upgrade.
The more specific you are with your scope and requirements, your preferred vendor will submit more detailed proposals. Once you know your scope, ensure to adhere to it. To help you keep the process on budget and on time, you must limit scope creep.
- Have A Plan
Create a clear plan to show what you can accomplish in every stage. For example, determine what functionality is essential during the first phase of the implementation and what features can wait for the second phase.
A phased approach will help your team focus on critical functionalities and ensure that your business will receive a good return on investment (ROI). In addition, phases can also motivate your implementation team, as celebrating the success of every step will establish momentum for the following stages.
- Establish Key Performance Indicators (KPIs)
Once your implementation team understands your company’s essential requirements, they can quickly determine specific KPIs. These metrics help you measure the success of the process.
For example, manufacturers may want to improve cycle time, costs, downtime, inventory turns, and demand forecast accuracy. However, retailers may opt to work on customer conversion rates, average purchase value, profit margins, inventory turnover, total sales, and sell-through rates. Defining measurable benefits and goals will help keep your team focused on what you want to accomplish.
- Create A Communication Plan
A communication plan ensures that relevant external and internal stakeholders are aware of the transition or ERP implementation process. For example, your employees and end-users would want to know why a new system is necessary and how it’ll benefit the company. Moreover, they also need to see the implementation timeline and how or when they’ll get training.
A comprehensive communication plan considers all stakeholders and provides an appropriate timeline and message to meet their varied needs. An ERP implementation expert is usually responsible for providing a communication plan guidance or template.
- Practice Change Management
The ERP implementation process doesn’t end as soon as you launch the new system. So aside from providing continued support to your team, you must practice change management.
At some point, your team may disagree with the change, which is normal. However, your job is to make the change stress-free and easy. First, inspire your team by highlighting the ERP system’s benefits and other good uses. Then, get their feedback and listen to them.
Ensure that your team communicates with end-users about their experiences, identifies solutions to prevalent problems you didn’t discover during the early phases, and sends out surveys. It’s also crucial for your team to get everyone on board so that the new processes won’t be overwhelming, allowing the implementation to be as seamless as possible.
Conclusion
ERP implementation is never easy and often requires a plan, consultant, and an engaged team to ensure a successful process. While it may seem like an overwhelming task, the above tips will ensure a smooth and stress-free ERP implementation.
