Managing an ERP project can be the highlight of your career, or… it can mean a direct entry into the underworld. Launching an ERP implementation project is like taking the reins of your company’s transformation. If you’re ill-prepared, it will be a real obstacle course, and you risk plunging into a costly and time-consuming failure.
As with any military campaign, the key to success lies in meticulous preparation. With the right strategy, the right resources, and by asking the right questions, an ERP can transform your organization and deliver huge productivity gains. Here are our six tips for preventing your ERP project from turning into a fiasco.
# 1 – Ask the right questions before getting started
It’s going to sound strange, but the first question to ask yourself is: does my company really need an ERP? And the second is: is it ready for this digital transformation? Implementing an ERP is a key step for companies looking to optimize their management, but it’s not without risk, and it’s vital to avoid taking the plunge just because it’s “fashionable” or to benefit from subsidies.
That’s why it’s essential to carry out a complete diagnosis of your company’s needs. Why is ERP necessary? What objectives must it meet? What are the potential challenges? The clearer you are about your objectives, the fewer unpleasant surprises you’ll encounter. By identifying your company’s challenges and needs BEFORE settling on a particular ERP, you’ll ensure that the platform will live up to your expectations.
# 2 – Define a clear framework to limit risks
Once your requirements have been defined, it’s important to draw up a detailed specification document. This document must not only specify the functionalities expected of the ERP, but also include performance indicators (KPIs) to monitor the project’s progress once deployed. A poorly adapted or poorly planned ERP always leads to delays and additional costs. A precise timetable and a well-defined budget for each phase will keep you on track and prevent the project from exceeding your financial and time expectations.
# 3 – Build an internal team
ERP implementation is not a solitary adventure. This project requires a team with a wide range of skills: technology, human resources (for training and organizational change management), project communication and, of course, the two or three business specialists who will champion your organization in areas such as accounting, warehousing, production, marketing, etc. They’re the ones who’ll keep an eye on the progress. These are the people who will ensure effective follow-up and a smooth transition with employees.
Make sure you also have weekly check-ins with your team, and work with a supplier who will operate in agile mode with you.
# 4 – Plan a phased deployment
Don’t rush into a company-wide ERP rollout all at once, as this may be too big a step. It’s better to plan implementation in bite-sized chunks, starting with the easiest functions and with a reduced number of users. This makes it possible to test, gather end-user feedback, adjust the solution, retest, and at the same time validate the relevance of training and internal communication tools. Some ERPs are totally modular and interoperable with the organization’s existing management systems. This flexibility drastically reduces risk, because gradual integration into the business means you don’t have to deal with a large number of unforeseen events, which are bound to crop up, even when everything has been perfectly planned.
# 5 – Constant improvement and evolution
ERP implementation doesn’t end once the system is in place. It is the nerve center of an organization, the software package through which all information flows and is processed, from finance to production to HR. As such, it must constantly evolve and improve to keep pace with changing needs. In addition to system maintenance, this means monthly meetings in the first year, then quarterly thereafter, to measure performance and identify areas for improvement.
# 6 – Call in an expert
Because of its intrinsic complexity, an ERP project – even a seemingly simple one – can quickly become a real headache. It’s essential not to underestimate the stakes and costs involved, if you are to tackle such a digital transformation with serenity. It’s the role of integrators like TechNuCom, who are experts in this very particular type of technology, to advise and support you in making a success of your ERP implementation.
