|
|
|||
|
|
ERP solutions have the potential to positively impact business results. Yet, recent studies reveal that successfully implementing and realizing these results are difficult. Michael Hammer, in a study financed by SAP, reported that 70% of SAP's installations failed to achieve the results needed to justify the expenditure. Barry Wilderman, an analyst with the Meta Group, after surveying 63 companies that had installed a variety of ERP systems, reported that the average company over a five-year period realized a negative ROI on their ERP investment. In order for an ERP system to be successfully implemented and have a positive impact on the business, the following steps are required:
Phoenix Advantage has successfully implemented these steps both as corporate leaders and as external consultants. We can help clients through the complete life cycle of an ERP project implementation or with any single component. Our business and leadership experience combined with our technical expertise enables us to work equally well with management, users, and technicians. Services that we offer are: Business Model Definition: A business model is a high-level definition of how the business will function with an ERP system. It consists of strategic goals and objectives, an outline of the workflow through the organization, and guidelines for managing and implementing the model. The business model determines the type of ERP system required and sets the foundation for its configuration. We work with a cross-functional leadership team to quickly define these elements and set the criteria for the ERP system. Business Process Design: After defining a business model, the supporting business processes have to be reviewed and possibly redesigned. The goal is to have business processes that effectively implement the model and integrate the functionality of the ERP system, while limiting the overall change and impact to the organization. We have developed methods and tools which help a cross-functional work team quickly define these processes and provide adequate detail for communicating them to the organization. The business processes designs define the functionality needed by the ERP system. Implementation Planning: Working with the project leadership, we develop a comprehensive implementation plan. This plan addresses the technical implementation of the software along with issues such as data integration, interface with legacy systems, operational procedure changes, communications with the organization, rollout planning, and change management. Having one plan to cover all aspects of implementation insures coordination and helps manage the organization's expectations. CIO magazine reports that data and systems integration is "a project waiting to bloat." We help clients plan and manage the large number of resources required. Configuration: Partnering with a team of configurators, we select the appropriate models and set relevant parameters in the ERP system. These actions determine the behavior of the system, and properly align the system with the business processes. Sometimes ERP systems cannot fully support the designed business model. When this occurs, we help the configurators and users develop the necessary modifications for a successful implementation while insuring the integrity of the goals and objectives. Change Management: Change Management is the establishment of new work practices, skills, and values to effectively integrate new business processes and systems into the day-to-day business. ERP solutions dramatically change how people think and interact. Many procedures, skills, and values used by the organization in the past become obsolete or even counterproductive. If changes are not managed properly, the "old way" of doing business will overtake the new processes thereby minimizing the benefits of the ERP solution. Our experience with previous implementations can help organizations plan and successfully achieve the required changes. Rollout: The rollout is the period of time between the last conference room pilot (CRP) and the software becoming "live" and stable. A plan must be in place to keep this period of time as short as possible, minimize disruption to the daily business, and maintain the user's confidence in the new system. A critical portion of this plan is the "Go-NoGo" decision process. This must be defined in advance and agreed to by all participants. We help the leadership define the rollout plan, develop the "Go-NoGo" criteria, and assess the readiness of the software and the organization for the go-live.
Whether you are just thinking about ERP systems, starting to define your conceptual model, beginning to develop your implementation plan, having difficulty with the configuration and implementation, or planning for "Go Live," Phoenix Advantage can help you achieve business results for your company's ERP investment.
|