ERP implementation entails a lot of time, endeavor, capital and planning. The business has to map and do a lot of study before even obtainable in for the implementation. If appropriate planning is not done previous to and during the process, it will consequence in errors in ERP implementation and direct to failure of the system. Implementation malfunction is a major concern for the firms since a lot of investment is involved. The ERP package selected should be precise for your organization and the implementation practice should be complete in the right manner so that there is no scope for errors in implementation. Coordination between the team members is indispensable to ensure a smooth process. The risks and errors in ERP implementation should be diminished to the minimum.
Some of the issues that lead to errors in ERP implementation are as follows:
1. Inadequate resources: Lack of resources or insufficient resources required by the ERP software can lead to failure. The system needs a appropriate infrastructure and other resources for its flourishing implementation. To shun errors in ERP implementation and make certain a smooth process, there should be sufficient resources available.
2. Improper project management: The project has to be handled perfectly and there should be no possibility for errors in ERP implementation. The project manager selected should be experienced to be competent to plan out the requirements. He should be able to handle and plan out the whole thing in a proper manner. If there is improper management, it consequences in no coordination and poor execution of the project. The manager has a significant role to play in the implementation process as he has to look after many things. He also acts like an intermediary between the customer and the vendor. He has to bring together well and ensure the work is done appropriately by the consultants employed.
3. Excess customization: The ERP system is often customized and amended to suit the requirements of the business. It is customized to fit but a great deal of alterations can revolutionize the ERP software totally and result in a failure. A modest customization is helpful but too much can lead to errors in ERP implementation.
4. Poor involvement: It is essential for the top management to be occupied actively during the implementation procedure. They have the responsibility to synchronize and tend to the needs during the process. If there is meager involvement or no involvement, it can lead to impediments and eventually into a failure of the ERP implementation. To avert these errors in implementation, it is critical that the top management work together with the vendor in order to be responsive of what is going on and to be able to take right decisions on time.
These are some of the errors in ERP implementation which occur if care is not taken. Since Enterprise Resource Planning implementation requires so much of investment, it facades some risks too if not implemented in the right way. Consequently it is significant to consider the above points to ensure a successful implementation and evade the errors in implementation.