An enterprise resource planning (ERP) solution is often one of the largest, and most costly, projects an IT department undergoes. Many statistics, surveys and reports quickly point out that a majority of these projects fail to deliver in one way or another. Some run over budget, others take too long to implement and there are even cases where the software won’t do everything the business needs it to. However, getting the most out of your ERP solution can be done. If you look at Gartner’s estimates that between 55 and 75 percent of all ERP implementations fail it is important to realize one thing; 25 to 45 percent are doing something right. To replicate those companies, you have to look at what they are doing to optimize their ERP solution.
Do you know your processes?
Businesses put processes into place to help things run more efficiently, cut down costs and provide better service to your customers. These processes are where you need to start when it comes to optimizing your ERP solution. Begin by performing a full bottom-up assessment of your processes to understand:
- What they are supposed to do
- How they are supposed to help
- Who do they effect
Next, interview your users to see if these processes help and to see if they are using the ERP solution correctly when they are performing their daily tasks that are a part of these processes.
Are you asking the right questions?
Once you have had time to sit down and see exactly how your ERP solution is being used, its time to ask some important questions:
- What is the quality of our ERP data? Is it usable and reliable and does it provide the metrics and information we need.
- How does our ERP solution help us operate more efficiently? Are people getting things done more quickly and with less error than before? Are people able to make decisions more quickly as a result of having this data at their disposal?
- How does our ERP solution help us become more innovative? Are people using the data in to develop strategies and forecasts for the future?
- Does our ERP solution help us improve our product and/or customer service? With all of that data on hand, you should be able to harness customer feedback to help improve your products along with your customer service.
- Are people using the ERP software the right way? Even after training, some of your users are going to have trouble with the software. Sometimes it is due to a poor user interface and sometimes it is a problem with the users themselves.
Fix the problems
If answered honestly, there are going to be some root problems that need to be addressed. If your solution needs additional customization to work the way you need it to, then find a way to make that happen. If users are the problem, they may require additional training or you may need to create a better user experience. Odds are that once you identify those problems and take corrective action you will find that your ERP will work much harder to help your business achieve its goals.
Often times, it takes someone from the outside to assist with this. Existing problems are sometimes missed by people who see them every day and end-users aren’t always comfortable relating problems to co-workers or managers. Sometimes, there is just no one in the organization who is qualified to perform this type of analysis on your ERP system. This is where a reputable consulting firm can be a huge asset to the success of your project. By helping you identify the problems you are having and providing you with a roadmap for resolving these issues, you will easily find yourself in that 25 to 45 percent.
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