Common Misconceptions to Purchasing an ERP – “Plug and Play” Implementations

Often, business owners believe that purchasing and implementing an ERP solution is a straightforward process: purchase the software, be granted access (or download and install it if on premise) and get to work. However, a successful ERP implementation does require a well-thought-out strategy prior to purchasing to ensure that the implementation runs as smoothly as possible. But even though an ERP implementation is not always straightforward, it is absolutely worth the effort. And you can make the process much smoother by also choosing an experienced partner that follows a strict methodology to keep the project organized and on time and on budget.  The following six key steps can also help you to have a successful implementation:

1: Know Your Needs
Why are you purchasing an ERP system? ERP systems are not a “one size fits all” product, and although many businesses use the same features (often the same way), every business will need to configure and personalize its system to fit its unique requirements. Thus, develop an implementation plan that will not only address your key business needs but will also rank them from most to least important. This list will guide you through your purchasing process and will help Copley design a system built for your company’s specific needs. By documenting and analyzing existing business processes, you will better help us (and yourself) understand how a new ERP system will fit into your current workflows. Having this list will also help identify areas for improvement and ensure we can accommodate these changes.

 2: Know Your Scope
In addition to ranking your key business needs, you should map out which business functions/ departments (such as finance, HR, inventory, sales, production, procurement) and systems will need to align with your new ERP. Across the departments, you will need to define the various user roles and specify access levels for each role, thus ensuring the right people have the right access and permissions. You’ll also need to identify which systems, such as an outside CRM, legacy software, or third-party applications, must integrate with your ERP system. Lastly, will your ERP system need to manage different regions, languages, currencies, or compliance requirements? The more strategic and detailed your scope, the more likely your ERP implementation will be focused on time, and on budget.

3. Know Your Team
As you outline your business needs and scope, you should also assemble a dedicated project team comprising representatives from different departments, such as IT, finance, sales, and operations as well as a project leader. Include a mix of people with technical knowledge and those familiar with day-to-day operations and processes, ensuring the team can bridge the gap between technical and business needs. Once you assemble your team, ensure that the leadership team is also fully committed and understands the benefits of the ERP system. Their support can drive organizational change, allocate the necessary resources, and motivate employees.

4. Know Your ERP Software
Once you’ve defined your scope and have an internal team, find and learn your ERP options. They will help you select which ERP system and tools match your organization’s needs, considering factors like scalability, industry-specific features, ease of integration with existing systems, and user-friendliness. Don’t shortchange this step as you should be ensuring you will have all the capabilities and best business practices built in across different workflows or departments.

5. Know Your Rollout Plan: Pre, Go-Live, and Post
Implementation Prep: Clean and organize data before migration to ensure high-quality information is transferred to the new system. Test data migration with a small subset of information to verify that the process works correctly.

Solution Design: Determine functional areas and modules to be utilized. Familiarize the core team with related CSI capability and establish the foundation for future state process choices.  Model to your specific organizational requirements. Document all new business processes and procedures to be used in employee training and change management.

Employee Training and Change Management: Provide comprehensive training for all users to help them become comfortable with the new system and tailor the training to different user groups based on their roles. Implementing a change management plan to help employees adjust to the new system, including communication, support, and addressing concerns is a critical step often overlooked or skipped.

Testing and Quality Assurance: We’ve all read the horror stories of inaccurate software testing before a system goes live. Conduct thorough testing to ensure that the system is functioning as expected: functional testing, integration testing, and performance testing. Address any issues before going live.

Support During and After Go-Live: Prepare for a smooth transition by having a detailed go-live plan, including a support structure in place for troubleshooting issues. This will support and address any immediate challenges that arise after the system goes live.

6: Know What’s Next
After the ERP system is live, monitor its performance and gather feedback from users. Use this information to make improvements, enhance system functionality, and ensure the system continues to align with business needs. Monitoring can be done manually, but Copley will have the ability to monitor processes with proper process intelligence and process mining for ongoing improvements.

Although no ERP implementation is “plug and play”, it is never an obstacle to purchasing an ERP system. Operating a thriving business in our current landscape requires investing in innovative technology such as a modern ERP system like Infor’s CloudSuite Industrial. And by following these steps, you will ensure that your hard work on the front end paves the way for your business to have a prosperous future.