Enterprise Resource Planning (ERP) : You can think of an enterprise resource planning system as the glue that binds together the different computer systems for a large organization. Without an ERP application, each department would have its system optimized for its specific tasks. With ERP software, each department still has its system, but all of the systems can be accessed through one application with one interface.
ERP is a software system that helps you run your entire business, including processes in finance, human resources, manufacturing, CRM, accounting, sales, supply chain, services, procurement, and more.
ERP Implementation Life Cycle : To implement ERP software, you should clearly understand what an ERP implementation lifecycle is. ERP implementation is not a one day or one week process, as the implementation comes with a set of 8-10 important steps. The timeline of ERP implementations is fluid, but the life cycle of the implementation is more structured.
The process of its implementation to automate business processes is referred to as ERP implementation life cycle. It involves several steps and stages right from the start, planning for project implementation, analysis, design, implementation, transition, and operations.
- Pre-evaluation Screening
- Package Selection
- Project planning Phase
- Gap analysis
- Implementation Team Training
- End-Use Training
- Post Implementation
Pre-evaluation screening :
- This phase starts when the company decides to go for an ERP system. Search for an advantageous ERP package starts when the organization decides to actualize the ERP.
- It is a time-consuming process because every package has to be analyzed first before reaching any decision.
- As all packages are not the same and each has its own strengths and weaknesses. This process should eliminate those packages that are not suitable for the company’s business processes.
- Refers to the talked about past address to make sense of the criteria utilized as a part of choosing a specific ERP bundle.
Package Selection :
- It is the most important phase in implementation. Every business is different and so are its needs.
- With numerous options available in the market, it could be rather daunting to choose the right fit for your business operations.
- This phase depends on the success and failure of the entire project with package selection.
- To pick the best structure, the unmistakable proof of the framework that meets the commercial requirements.
- In this step, ERP modules that do not fit your requirement are eliminated.
Project Planning Phase :
- When kicking off any project, it needs to be planned out perfectly, so that there are no surprises during the implementation.
- This phase plans and designs the implementation process.
- This phase develops the strategy for utilization. Time designs, due dates for the wander are connected at.
- In this stage the unpretentious components of how to approach the execution are picked. The wander design is made, parts are recognized and commitments are apportioned.
- The stage will organize what control measures should be presented and what helpful moves should be influenced when things increase out of energy.
Gap Analysis :
- It is the most crucial phase in this implementation. Here, gaps are analyzed between the company’s practices and those practices which are supported by ERP packages.
- GAP analysis is performed to evaluate and compare the current system of the organization and its future position as needed.
- Different arranged includes in these are Upgrade, Identify the outsider item that may complete hole, develop a customized procedure, Changing the ERP foundation code.
- This way you can easily identify the key processes that need the most attention with your ERP.
- It is the fundamental rethinking and radical redesign of business processes to achieve improvements.
- To make the process more efficient and worthy, re-engineering is implemented as the process involves several changes and alterations based on the planning and gap analysis.
- This is where the human factor of the business comes to the light.
- For this circumstance ERP is purchased with the purpose of reducing the number of specialists.
- Each execution will incorporate few alterations in occupation commitments as methodology ends up being more motorized and gainful.
- It is the main functional area of ERP Implementation.
- It is fundamental for the achievement of ERP utilization that those outlining the system can elucidate where the flaws inconvenience happen that won’t fit into the set.
Implementation Team Training :
- Now after the above processes, the implementation team knows how to implement the system.
- In a flow when the game plan is happening, the execution amass is getting readied.In a flow when the game plan is happening, the execution amass is getting readied.
- It will require for employees to get proper training so they can start using the product, seamlessly.
- This is another crucial step in the ERP implementation life cycle. It is basically carried out to assess the errors and try to resolve them before the actual application process.
- This is the phase where the team breaks the system.
- This is where all subtle elements are finished, and the structure is formally acknowledged as functional.
- Here the company will test real life extreme scenarios like user error detections, system overload, simultaneous multiple user log-ins, data security and more. This will help the company to identify errors, bugs and weak links before the implementation.
Going Live :
- The usage group more likely than not tried and run the framework effectively for quite a while.
- Once the technical and functional side is properly working and testing is done. There comes the next phase i.e, “Going Live”. Once the system is ‘live’, the old system is removed & the new system is used for doing business.
End User Training :
- This is the phase where the user of the system is given training on how to use the system.
- This is where the honest to goodness customers of the system will be set up on the most capable technique to use the structure. The specialists who will use the new system are identified and their capacities are considered. In light of this, their skill stages are divided into get-togethers.
- This planning is especially beneficial as the achievement of the ERP system is in the hands of end-customers.
Post Implementation :
- It is the most important and critical factor. Post Implementation is based on two words- Operation and Maintenance of system.
- This is the amazingly fundamental stage when the execution organize is finished.
- There must be specific people in the association who can enhance the system when essential.