ERP implementation
ERP is a shortened form of the enterprise resource planning. It involves software that enhances the resource management and performance for an organization. It combines all activities across departments. These activities include planning, purchasing, inventory regulation, product supply, order follow up. The software involves financial features, and in addition, it may include accounting and workforce management portions. Implementation of ERP in management improves the outcomes of the management work though misappropriation may result in a dramatic failure. Authors contend that ERP systems streamline internal business activities (Donovan). Originally, the ERP was only used by the manufacturing industries alone but now it is incorporated in all sectors of the business management. It has facilitated the companies to restructure the old traditional modes of office practices to a modern and effortless way. According the authors, the direction of achievement for the ERP originates from an excellently laid the foundation in steps. It starts with noting the possibilities of success, comprehending the existing opportunities and seeking paths to advance them in the future. Above all, the determinant of success is the priority availed to it, reduction of time misappropriation especially on the basics of the ERP software and management of the extent, budgeting and timing (Burns, 2010).
In cases of poor results from the system, the blame is mainly due to the inability of the people to finely use the system. If pre-implementation preparations executed poorly then, ERP system would fail in further process. According to the authors, most unsuccessful executions depend on the degree of keenness observed by the management before starting an implementation program. Adept in IT is vital for the successful running of the system (Burns, 2010). Ignoring IT would mean that the ERP system would in essence fail to achieve its desired outcome. According to the author, for successful execution of the ERP the strategic management is of foremost importance especially for the widespread supply of labor. According to the past statistics, the ninety percent (90%) of ERP implementation fail due to this.
For apposite implementation of the ERP, some principles are observed in the process. They are held as the basis for the successful execution of the ERP. Merits of ERP emerge from the immense preparation and execution. Hence there is no external force as people have thought in the past. The author states that errors in the business strategy do not have any remedy. Not even information technology can intervene in the fault. Precise definition of the business strategy determines the success of the ERP software. In addition, it provides a competitive advantage. The author advises that the implementers of the ERP must analyze the present business process and derive the main objectives of the business. According the author, the ERP implementers should apply bendable ERP information science that facilitates swiftly varying business environment. Note that ERP software is the basis for the fast movement of information to and fro. It is also significant for the implementation process to entail a remarkable executive officer who has the authority to make appropriate changes to the ERP as per the variations in the business. This provides orderliness that is fundamental for the success of the ERP. The executive also provides answerability in matters concerning the ERP. To ensure accomplishment of the ERP, the executive commits into urgency when dealing with the ERP issues. This facilitates timeliness in attaining targets as per the business exposure (Donovan).
According to the author, creation of efficient cross functional process that works with the ERP is complex and involving as compared to the functional silos. The triumph of the enterprise integration or other progressed supply chain control plans depends on the elimination of the ritualistic cross functional barriers. Note that the silos entail the group boundaries where the information surge. The author outlines that the ERP implementers barely analyze the project so as to acquire the knowledge. They most probably start of the job with small information content of the ERP project they intend to establish.
There are common problems that lead to immediate failure in the ERP implementation process. For instance, the information technology (IT) infrastructure variations are not accorded the importance they warrant. Therefore, the author maintains that the ERP must be controlled by business concerns and not technological factors as may be felt. A stepwise methodology offers guidance in the implementation process. Therefore, smartly written plans ensure achievement of the best ERP. The executioners of the ERP are challenged to be critical and creative thinkers; this facilitates them to make generative decisions on applying the best strategy of the time. Most people underestimate the significance of this examination process. They jump into the search for software directly. The author discourages this because the vendor in most cases would not be trusted to explain the disadvantages of a system that he expects to bring him money after selling. Note that strategies are not rigid. They change with time in an improvement path. Every time a new technology emerges there is an added feature on the earlier version (Donovan)
ERP specifications should include off-the- shelf templates faultlessly created to increase the rapidity and abridge software customization process. However, templates in their natural existence constitute certain best practices that support the cross functional business practices. The summary of the implementation process are: ensure employee participation, regulate and controls the risks and involve management participation (Burns, 2010).
References
Burns, M. (2010). How to select and implement an ERP. 180 Systems. Retrieved 7th June 10, 2012 from www.180systems.com/ERPWhitePaper.pdf
Donovan, R. M.(n.d.). Successful ERP implementation the first time. Retrieved 7th June 10, 2012 from www.idii.com/wp/donovan_erp_success.pdf
