ERP Software System Implementation Mistakes

ERP stands for Enterprise Resource Planning and it’s one of the most important things when it comes to any company these days. ERP helps create a centralized database having detailed information about all the departments of the company. This common database can be accessed from all departments and this can enhance the overall performance and efficiency of the company. Enterprise Resource Planning software system contains information about various departments like Inventory, customer service, human resource, finance etc. This way, the company will have a better control on its resources and in the process it will be able to save lots of money and time.

As we can see, when you don’t have control on the resources in your company it can affect the overall performance, efficiency and profit of the company. Having an Enterprise Resource Planning software system will ensure that you have everything under control. However, if not implemented properly, an ERP software system can cost you dearly. ERP software system implementation mistakes can result in loss than profit. Therefore, it’s important to identify and tackle the ERP software system implementation mistakes at the right time.

In this article, we’ll help you identify the ERP software system implementation mistakes. We’ll also help you with the ways to avoid those ERP software system implementation mistakes. First and foremost, be clear about what you want from this system – choose an Enterprise Resource Planning system that suits your company. You need to make sure that this system is perfect when it comes to covering all your needs. The implementation is usually offered by the vendor. It’s time for you to review the implementation schemes offered by the vendor to cross-verify their significance. The next step is to form the implementation team. This team should have experts from all sides. Make sure that you include people from vendor company, your own staff (preferably, IT staff) and if needed consultants from outside firms. This team has to take care of the planning, testing and the maintaining of the Enterprise Resource Planning system.

In the third step, you need to have an implementation plan. The plan in question has to address the objectives and goals. It also gives the details of the implementation process. This plan should also have detailed information about the schedules, cost and installation dates. As per the plan, you also select the administrators with their specific duties. These administrators have to make sure that they are doing the assigned tasks well. They will have to submit periodic reports as well.

Now it’s time to think about the training. It could be a completely new system for the employees. All the administrators have to educate the employees under them about the detailed working of the Enterprise Resource Planning system. Administrators should show them how to use and should also teach the policies. At this point, it’s also important to warn them about the security issues in the system. Though you have trained your employees about the working of the system, you need to do a final testing before you make this go live to avoid any undesired result thereafter. Make sure that you have a backup plan for the extreme scenarios, which are unavoidable in most cases.


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Keywords: Causes of ERP Failures, Cost of ERP Implementation, Total Cost of ERP Ownership

By: Terro Dashner

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