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Implement ERP for manufacturing business
18Oct

5 Steps for Successful ERP Implementation

Let us get it straight!

If your company, like every other business organization these days, is inflicted with the unwarranted chaos of multiple activities and work complexities, you are in a definite need of an Enterprise Resource Planning solution that serves as a systemic design for continuous delivery of positive outputs.

Undeniably, the software has come a long way in terms of boosting the business by becoming an integral part of the business process.

It is important to have an ideal ERP for optimal utilization because we know as entrepreneurs that- First right move leads to the war won!   

There are several types of ERP software solutions such as custom build or cloud-based industry- specific or customized cloud-based solution. Based on your company specific needs you must pick the right solution.

Steps for ERP Implementation

In this blog, let us quickly walk through a 5 step process that will take you through the planning and a successful implementation of your ERP solution.

Here we go!

1. Identify problem: What do we need ERP implementation for?

You can easily streamline your business processes of collecting information and eliminate several repetitive processes, particularly when the Role of Cloud ERP in digital transformation is soaring high. Greater work efficiency has become desirable and much more achievable with an on-cloud ERP software. Thus, your Enterprise Resource Planning solution greatly reduces the traditional practice of manually keeping the track of information. Isn’t that worth the need especially when real-time work has become an order for companies? Besides, one of the notable advantages of ERP implementation is data security. Your ERP software improves and assures security and accuracy of data too. Moreover, with the software you will be able to manage your entire business processes effectively by controlling your costs and even improving your production levels.  

2. Smarter evaluation of the scope

If transparency of daily operations, having business financial control and supporting common processes have been a concern for your organization; the features of ERP must be evaluated considering the needs of a company.

A leading Panorama study reveals that 61.1% of ERP implementations take longer than expected and 74.1% of ERP projects exceed budget.

Reason- Unclear definition of ERP requirement causes delays and over budgeting.

What needs to be done? Here’s what Capterra revealed in its study- 33% of ERP buyers did not demo a product before buying!

2015 ERP report, revealed that 93% of companies preferred to customize their ERP software. And as per IDC around 60% of manufacturing industries will need digital platforms that are estimated to enhance their bottom-line by 30%. Thus while you choose you ERP you must be convinced that it is at pace with the emerging global trends in advanced manufacturing.

3. Data Migration: the next big step

Basically, ERP enhances the way business processes were earlier carried out. Gartner recommends 15% budget in organizational change management from now which is 5%. This is specifically followed by the identification of which data is necessary to transfer. And precise care should be taken to have your data secured and ensure that data is easily retrieved when required.

ERP Implementation

4. Customized service

Let us suppose that you are running a 140 crore rupees’ annual operation that is supported by labor-centric management approach. Now, using an ERP will mean that you will eventually automate a wide range of operations including purchase, finance, HR, accounting, inventory, customer service, order tracking etc. And this would reduce manual paper-based system, thus digitizing core platform. Today’s business environment demands manage more with less.

Also, during the pilot testing, management has to gauge enough that they follow best practices and if needed must un-follow unconventional methods.

5. Testing & finally going LIVE!

During implementation, system and user acceptance testing is quite an important phase. You would want to make sure that your IT team is trained well enough to handle any tech problem –that may come along with time and evolution of technology itself.

Moreover, your system would call your attention for timely upgrades and general maintenance!

And once your system has been well tested and configured, you can go live.

A bonus for you

Here’s a final go-live checklist for you:

  1. Confirm and take-in the hardware synchronization if needed.
  2. Test all the final reports like business reports and accounting reports.
  3. Confirm accuracy of data migration.
  4. Confirm all technical and other functional tests
  5. Last but not least, check with user-acceptance and auto backup measures.

This is what you need to do next…

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