A few things can go wrong when implementing a new ERP system. In this blog, I discuss some of the most common mistakes. The negative consequences can be enormous. So avoid these mistakes during your next ERP implementation.
1. Paying insufficient attention to requirements and processes.
Too often ERP implementations take the current business processes as the starting point and try to automate them as best as possible in the new environment. But ERP implementation is precisely an opportunity to optimize business processes. One should not automate wrong or inefficient processes as best as possible, but start with process optimization. Too little attention is also paid to the critical areas of improvement for the organization. Where is there really profit to be gained for the organization? These are important requirements for the new system. This can be done by completely changing processes, using new processes or applying new technologies.
2. Insufficient involvement of all departments and employees
Support from the entire organization is a must-have when starting an ERP implementation. That the company's management is behind the choice of the new system goes without saying. But also the key users, internal project manager and even all end users should be involved in the project from the selection and educated about the changes the ERP implementation will bring. They must see the benefits of the ERP system and face the transition with a positive attitude.
3. Too broad a scope until the ERP system goes live
It is impossible to meet all the requirements and wishes of all departments during ERP implementation and have a perfect system at go live. Moreover, striving for this makes the project very costly, drawn-out and complex. It is much better to focus on what is really important to have in place at go live and then optimize the system in follow-up projects. So focus! This way you will make it much easier for yourself and your colleagues.
4. Paying no or too little attention to change management
The importance of change management in ERP implementations is vastly underestimated. New processes and new technology/software impact the daily work of all employees. So prepare your people for the changes to come. Make sure they see the need for the ERP package and understand the benefits to themselves. Also manage the expectations they have. They need to understand that they will not have a copy of the current environment (which they are used to) and that not everything will go smoothly with the new package from going live.
5. No clear plan regarding the future
Many companies base their choice of an ERP system on what they need at the time. But the intention is to work with it for years to come, so you will also have to consider the future. Is the software solution future-proof? What technology is it based on? How can I be supported? Is upgrading possible in the future and how will this be done? How do I internally document and disseminate knowledge of the ERP system and business processes? Do I go for customization and what consequences does this have for the future? Just some of the questions about the future that not every organization considers during the selection process.
Want to know more about your how to avoid these (or other) mistakes? Leave your details and I'll get back to you.
Philip van Kemenade is a marketer at Dysel and has daily contact with end users of software.
