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5 tips for preparing for an ERP implementation

Is your organization on the eve of implementing a new ERP system? Or an upgrade or re-implementation that will cause a lot of change? The impact of such a project on the organization is enormous. Without proper preparation, your company runs a lot of risk! These tips will increase your chances of success.

1. Inform and communicate

When selecting a new ERP system, companies often take a very thorough approach. Extensive research, presentations, demos, reference visits and discussions. Nothing is left to chance. But once the choice is made, the plans are rarely shared and discussed extensively with the rest of the organization. Whereas, on the eve of the project, it is very important that everyone in the organization knows what is going to happen, why and what the consequences will be. That knowledge ensures that people are involved and motivated and understand the benefits of the ERP implementation.

2. Select a super team

Your organization's project team will consist of a project leader and key users from the various departments. Choose a project leader who is strong on his/her feet, has experience with this type of project, keeps a tight rein on the schedule and communicates well. The key users are not necessarily your most experienced people. Much more important is that they are good at understanding business processes, see where improvements can be made, are motivated to make the project a success and are willing to make changes.

3. Make enough time for your people

One of the biggest problems during ERP implementations is lack of time. Your employees obviously can't let all their work fall out of their hands and focus entirely on the ERP implementation. That makes sense. But you will still have to make some room in their schedules. There are periods when one only has to dedicate a few hours per week to the project, but also phases when half the working week is occupied by the project. Take that into account in capacity planning before you start the project.

"One of the biggest problems during ERP implementations is lack of time."

4. Ensure support and commitment from management

Management must be fully behind the choice made and support and facilitate the project team from the start. You do this by giving the team enough time, giving them the mandate to make decisions, and by resolving issues that escalate in a steering committee meeting. Management should also be involved in the implementation. Monitor progress, identify problems in a timely manner, show understanding and help the project team.

5. Establish a detailed schedule with phased implementation

Without proper planning, an ERP implementation becomes a heavy and interminable process that is never completed within time, budget and scope. A detailed, realistic schedule with responsibilities per task and predetermined milestones gives everyone a foothold. Also, don't try to cram everything into the project; instead, opt for a phased implementation. The project already creates a lot of strain on the organization when you keep it simple and do it in phases, let alone when you want to automate and improve everything at once.

Fortunately, you don't have to do the preparation alone as an organization either. The ERP partner has extensive experience with this type of project. They can advise and support you already in the preparation for the project. For example, in assembling the team, drawing up the planning and internal communication.

Remko Gaastra is in charge of Dysel North America. He manages a team of industry experts to make equipment dealers in North America more successful.