Understanding the best ERP software implementation phases will benefit your business in many ways. It will provide increased efficiency and improved collaboration. After the ERP implementation phase, it will allow you to collect all data in a centralized location and provide flexibility. It would instead enhance your customer service serving as a primary goal.
What is ERP and Its Benefits?
Enterprise Resource Planning (ERP) is designed to support ERP process improvements and automations and is essential for many small and large businesses. The ERP implementation phase includes managing all the core supply chains, manufacturing, and other processes. ERP has benefits and limitations, and is critical to understand how ERP streamlines all company functions by automating them. Some examples are accounting, risk management, project management, etcetera.
What are the Main ERP Implementation Phases?
There are primarily 6 ERP implementation phases that a company will generally follow and should know before creating an ERP project.
Discovery & Planning
This is the first ERP implementation phase. Any successful ERP implementation requires extensive research. This ERP implementation phase consists of a project team and setting up system requirements. This is the phase where a company decides if they will be using an ERP using the cloud or in-built hardware software on their premises.
This is the second ERP implementation phase. In the design phase of the ERP, the aforementioned detailed requirements of the system to develop the design for a modern ERP system. Involving users in this ERP implementation phase will help you feel confident that your customers will welcome the new system. In this ERP implementation phase, analyses are done to identify minor errors that may require customization and provide a smoother user interface. An ERP in manufacturing companies will be designed differently than an ERP in B2B businesses, so knowing the important features and functionality you'll need is key to a successful ERP design.
This is the third ERP implementation phase. Development in a small business ERP will differ from the development of an enterprise ERP. Once you're done with basic design requirements, you determine where necessary customization is required to align the software with company requirements. The company must set up the hardware if it uses ERP software on-premises. As for the software, they will need to formulate basic manuals for training the staff to reduce human error and increase productivity. Alongside the software implementation, the company must determine what data or other software will be incorporated with the ERP system in this phase.
This is the fourth ERP implementation phase. Testing will be done in parallel with the development stage. In this ERP implementation phase, the company will develop testing modules and configure any fixes required after seeing the results tested again. For this ERP implementation phase, the ERP module will be tested for all essential functions as well as all day-to-day activities by the employees.
This is the fifth ERP implementation phase. This is the stage you have been preparing for. The project team should be ready for all the potential issues, and despite all the efforts, employees' best efforts must be ready for the change. The company keeps running the older version with new ERP software to minimize risks and increase productivity gain. This ERP implementation phase might add to project costs and reduce productivity.
Support and Updates
One still needs to keep updating and analyzing the ERP software after deployment. After the ERP implementation phase, the project team is responsible for listening to customer feedback. In this ERP implementation phase, any new or additional software is installed, and staff will be trained for the new ERP software.
What are the 7 Steps for a Successful ERP Implementation?
In a successful implementation phase, one must have a clear vision to communicate direct orders to the employees and satisfy the executives. Having a clear vision will help you keep track of your progress and prevent any less productivity.
One must be involved in the testing phase for a successful ERP implementation. The project team should listen to the feedback and keep updating the managing team and employees. For a successful ERP implementation phase, one needs to make a collaborative effort.
Your team lead should not have all the ERP skills, but he should be familiar with basic technical skills. He should know the business agenda and have good interpersonal skills to cooperate with the staff and create a fun working environment. For a successful ERP implementation phase, your team leader will need to formulate an implementation team that will be dedicated and focused.
There are many ERP implementation benefits and challenges to navigate, and strong leadership will help ensure a smooth process and good decision-making each step of the way.
The sense that executives in any company are not familiar with company processes. For successful ERP implementation phases, one should understand procedures and document everything required witty the ERP. Documentation will help you design the best software needed for your business.
One must work around the company procedures in any successful ERP implementation phase. If an ERP is too complex, a company may opt for a CRM. Understanding the difference between ERP and CRM and how they can be integrated as you scale is important as you plan. With new software implemented, changing the company’s working policy will bring a recent change in the workflow.
It is not advised to fulfill every employee’s wish but giving them a voice will help you design solutions early on. This kind of live feedback will result in a successful ERP implementation phase. But one needs to know that all new changes will affect all the steps of ERP implementation, so they should not take it lightly.
Organizational Change Management
The new ERP implementation phase can be intimidating but successful if you guide your company through the process. You should be able to listen to the different concerns in different departments. There should be plenty and practical training for all users. You should be direct and share your visions and benefits of the new ERP implementation with your company. They can communicate but not read your mind.
How to Avoid ERP Implementation Pitfalls
Even if the company knows all the benefits of any ERP cloud vs ERP implementation phase, which includes streamlining operations, there are still risks, leading to hesitancy. An ERP implementation phase is not a straightforward task. Many steps lead to problems, such as data migration, consolidation, and integration. For any successful ERP implementation phase, one main problem might be finding the right people. When there are setbacks in the ERP implementation phase, it hurts the company.
To avoid these pitfalls in any ERP implementation phase, finding good professionals in project management, design analysis, training, and security can lead to maximum effectiveness and a successful ERP implementation phase. Comparing the best ERP systems with attention to pricing, features, and reviews will help set you up for a successful ERP implementation.