Published on July 15, 2009
CHAPTER 8 ERP IMPLEMENTATION LIFECYCLE SONALI CHAUHAN Dept. of Information Technology - Mumbai University T.Y.B.Sc (IT) 2008-09 Sonali C. (UDIT TYBSc-IT) 1
Company ERP Vendors Management Pre-Selection Screening Package Evaluation Project Planning Gap Analysis Reengineering Configuration Implementation Team Training Testing End-user Traning Pre-Selection Screening Phases of ERP Implementation Pre-Selection Screening Sonali C. (UDIT TYBSc-IT) 2
Pre-Selection Screening There are many Vendors and all packages are not same Study strong points and week points of each packages Short list according to the requirement of organization Check the years of existence of the vendor and past experience Search for a perfect packet. Compare the cost Compare the time required Sonali C. (UDIT TYBSc-IT) 3
Package Evaluation Most important phases because it will decide failure and success of project. Require huge investment so switching to another ERP package is not easy. “DO IT RIGHT THE FIRST TME” No package is perfect - (keep in mind before analysis). Do not require prefect fit ,Should be flexible enough for the company needs. Develop selection criteria Sonali C. (UDIT TYBSc-IT) 4
Cont… Package Evaluation Points to be kept in mind while evaluating ERP: 1. Functional fit with the 1. Ability to support multi- company’s business site planning and control process. 2. Technology 2. Degree of Integration 3. Availability of regular between the various upgrades components of the ERP system. 4. Amount of customization required 3. Flexibility and scalability 5. Local support 4. Complexity infrastructure 5. User friendliness 6. Availability of reference 6. Quick implementation sites 7. Total cost Sonali C. (UDIT TYBSc-IT) 5
Cont… Package Evaluation Better to form evaluation/selection committee for evaluation process This is not a one-man-decision. All the departments are involved. Thus it should have company wise acceptance Discuss the pro & cons Sonali C. (UDIT TYBSc-IT) 6
Project Planning Phase Designs implementation process determine-“How to go about” – time schedule, deadline, etc – PROJECT PLAN IS DEVELOPED Roles are identified and Responsibilities are assigned Everyone's scope of work defined and Heads of implementations identified Team members are selected and task allocation. How- When- What to DO??? Phase is controlled by committee and meets periodically Sonali C. (UDIT TYBSc-IT) 7
Gap Analysis Crucial phase Create complete model of where they are now and in which direction they will head in future. Even the best ERP package can only cover 80% of the companies functional requirement. The remaining 20% of these requirements present a problematic issue for the company’s BPR. One of the most painful solution is to change the business process to fit the ERP package Sonali C. (UDIT TYBSc-IT) 8
Cont… Gap Analysis Other solutions: Updation at low cost Identifying a third party product that might fill the gap. Design a custom program. Altering the ERP source code (most expensive) used only for mission critical Sonali C. (UDIT TYBSc-IT) 9
Reengineering Human factors are taken into account. Two different connotations: Downsizing efforts (controversial) Reduce significant no of employees Business Process Re-Engineering ( Two separate but closely linked implementations are:) Technical implementation Business process integration. Sonali C. (UDIT TYBSc-IT) 10
Configuration Business should be mapped according to goal of company Prototype is created before implementing it Live. Testing is done on prototype Configuring not only reveals strength but also weakness. Explains what wont fit and whr the gap is Sonali C. (UDIT TYBSc-IT) 11
Implementation team Training Implementation team is trained i.e. connotations how to implement Later employees are also trained to run the system Vendors and consultant will leave after implementation is over. Good in-houses must be there to handle system. So there should be right selection of employee. Willing to change ,Learn new thing and Not afraid of technologies – and good functional knowledge Sonali C. (UDIT TYBSc-IT) 12
Testing Try to beak system Testing real case scenarios While testing- come up with extreme case scenarios- System overload Multiple users logging at same time User entering invalid data Hacker and so on… Test case must be designed to find weak links and bugs should be fixed before going live Sonali C. (UDIT TYBSc-IT) 13
Going live “Lights On, Switches Thrown, Gloves Off” Technical side, Work is almost completed Functional side, prototype is fully configures and tested ready to go operational Once system is ‘live’ old system is removed and new system is use Sonali C. (UDIT TYBSc-IT) 14
End-User Training Actual user is given training on how to use system. Starts much before system goes live Sonali C. (UDIT TYBSc-IT) 15
Post-Implementation This is very crucial phase as there are no vendors and consultant at this stage. So employees must be trained thoroughly to handle problem is system. There should be employed who must have knowledge to enhance the system in future. System should be upgraded and ne technologies are introduced. Sonali C. (UDIT TYBSc-IT) 16
Any Questions???? THANK YOU Sonali C. (UDIT TYBSc-IT) 17
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