Introduction

Implementing an ERP system can be a significant investment for any business. However, realising the full value from your ERP solution largely depends on the implementation process. By getting it right, you can reap the benefits of your all-in-one business solution sooner, and more importantly, see Return on Investment (ROI) faster.

ERP Implementation Is Key

According to Gartner, 55% to 75% of all ERP projects fail to meet their objectives. Common causes of failure include inadequate communication, poor planning, ineffective change management, and constant adjustments to business objectives during the implementation process.

If you’re considering an ERP system to consolidate and streamline business processes, help your business grow faster, and increase warehouse efficiencies and profitability, ensure the implementation stage is at the top of your priority list.

Here are six strategic steps to help you get your ERP implementation right the first time:

1. Identify Your Requirements

When scoping an ERP solution, choose software designed for the needs of your business and industry. Look for functionality that addresses your core processes and business requirements. Think about whether you want to run the software out-of-the-box or with customisation before making your final purchase decision. If you’re unsure, talk to the ERP vendor you’re considering. Think of your relationship with the ERP vendor as a partnership that can aid the success of your implementation, and don’t be afraid to ask for their advice.

Studies have shown that customisation is a leading factor in why ERP implementations can take longer than expected and incur higher costs. That’s why we recommend selecting an ERP implementation vendor or working with a knowledgeable ERP expert to ensure your project is scoped appropriately and customisations or additional functionality (if needed) are managed within a scheduled timeframe.

You can also think about getting started faster with a more standard ERP implementation, which can help you gain ROI very quickly. Once you’re up and running, you can continue to work with your ERP vendor on the customisations needed to drive value even further from your software. Getting your core business functions set up and running efficiently straight away can present some big benefits. Having a plan with clearly defined requirements will ensure you continue hitting your implementation goals as you add on your customisations or additional functions.

2. Choose the Right ERP Implementation for Your Business

Understand the differences between the two main types of ERPs you can invest in: on-premise and cloud-based ERP systems. On-premise ERP systems are installed on your own physical computers and servers, requiring significant upfront investment and ongoing maintenance. Cloud-based ERP systems are managed entirely offsite by the ERP provider, offering easier and faster implementation with no need for expensive hardware or dedicated resources for maintenance and upgrades.

Cloud ERP systems can have you up and running in as little as eight weeks. System upgrades are managed for you, ensuring your ERP solution is always current without downtime or additional resources needed for each upgrade.

Discover the ROI secrets of investing in a cloud-based solution like NetSuite ERP to understand the financial benefits.

3. Factor in Change Management and Provide Training

ERP implementations require dedicated time, planning, training, communication, and documentation. This process can add pressure to current day-to-day business responsibilities and operations. Investing in a cloud-based ERP implementation service can help take some of the burden away from your employees and free them up to focus on other tasks. A good cloud ERP vendor will provide training as part of the implementation process and offer a knowledge base of information to support your employees.

New systems and processes may still affect the tasks and responsibilities of your employees. Get their buy-in and build consensus around the implementation, and spend the necessary time on change management. Even if the ERP implementation is completed quickly, invest in training your employees on the new system so they are productive from day one and not resistant to the change.

4. Appoint an Internal ERP Solution Champion

Having one point of contact to manage communications, address problems, and keep the implementation on schedule will ensure your project runs efficiently and to schedule. Select someone organised or with project management skills who understands the value of simplifying your systems and automating processes.

5. Develop and Execute a Communication Plan

Keeping everyone on the same page about the progress of your implementation and key milestones is important. A good communication plan should:

• Identify all stakeholders and make people accountable
• Outline the ERP implementation schedule and go-live date
• Detail the various stages of your implementation and key milestones
• Provide information, such as FAQs, on the ERP system’s functionality
• Promote scheduled demonstrations and any testing requirements

6. Allocate Adequate Time

An ERP implementation needs time and resources to be successful. Allocate what’s needed for your implementation requirements to ensure the process runs efficiently. Set realistic expectations to create a seamless experience for users, consult with users often to address any queries and issues, and train users on the new system ahead of time so they can hit the ground running when it’s live.

Getting It Right

These six strategic steps will help you launch your ERP implementation on the right track and keep it there throughout the entire process. It will also help you get the most capability out of your ERP system, boosting efficiency and productivity, leading to greater profitability. Having an experienced implementation provider to guide you through the process can make all the difference. Ask your ERP vendor about the number of implementations they’ve helped customers with, and look for customer testimonials to see how it has worked for other businesses. This can take the worry out of getting your ERP implementation right and give you more time to focus on growing your business.

Explore the financial brilliance behind NetSuite ERP implementation to grasp the full scope of its economic impact.

For more information on cloud ERP implementation, why not get in touch and talk to someone who knows and understands it for some further advice.