A lot of organizations get ready to implement cloud ERP during the new year. A new year always brings in a fresh perspective and of course a brand-new budget that will surely motivate every organization to plan big for the new year.
During January or a month before that, a founder would have complete knowledge about the leftover budget from the last year. Spending the remaining funds from the previous year efficiently is a challenging task for many organizations. Usually, they invest it in ridiculous things that promise short term benefits rather than focusing on the big picture. Implementing ERP software in your organization in the new year can help you recognize the shortcomings before it becomes a deal-breaker.
But is your organization ready for it?
Implementing ERP in your organization is a serious affair because there are umpteen issues that need to be handled before doing it. You need to make some changes if you plan on going ahead with ERP implementation.
Let us discuss three key things required for a successful implementation of cloud ERP:
1. Organize Your ERP Implementation Process
You would go through hundreds of reviews, check the number of downloads and many things just to install an app on your phone. Therefore, you need to do some groundwork before implementing cloud ERP in your organization. Understand the business requirements, research potential ERP vendors, and list out internal, as well as external resources required to successfully implement ERP in your organization.
As the new year begins, not everyone will warm-up to a change of process in the organization. Hence, you need to tread carefully, plan and prepare for it before the new year begins.
The quintessential factor in ERP implementation is migrating your data from legacy/old systems to ERP. Data is the heart of every business, so the transfer of data must be a completely secure process. Once the data is accurately transferred to the ERP system, the next steps are a walk in the park.
An ideal ERP software will help you and your employees to interact with data as you desire.
2. Mapping and Analysis of The Process
As we said earlier, you need to have a precise idea about business requirements. Therefore, you need to map out various business processes involved, workflows involved, identify the common points across various business units and find the weak zones of your organization. This will help you to comprehend the solutions offered by the ERP solution to address the flaws. Likewise, you can also identify the primary factor vital for the ERP software to be implemented in your organization.
Everyone wishes to provide the best service for their customers by efficiently adhering to all their demands. Although wishful thinking can help you to get control over the way your company functions, the reality is far more different. The service you provide is only as good as the technology stack available in your organization. Don't let limitations of ERP software come in your way of providing the best service to your customers. Implement an ERP software which can automate most of the tasks and help you gain an edge over the competitors.
Although we love customization, we are cursed with the extraordinary ability to abuse it. Being over-dependent on a wide range of customization offered by an ERP solution will end up being a headache for your development team. Moreover, it will further complicate things for them during the downtime of the ERP software. Therefore, it is necessary to identify how ERP can be incorporated into your organization without overusing the customization ability and adjust to your processes without much fuss.
3. Change Management Strategy for ERP Implementation
According to Wikipedia, Change Management is a collective term for all approaches to prepare, support, and help individuals, teams, and organizations in making organizational change. The transition from old technology to new is difficult and it might take a toll on your employees, hence you need to support them in every way you can.
Change Management strategy will help you answer these questions for your employees and ensure them that the ERP implementation is necessary for the progress of the organization.
- Can ERP incorporate your existing software?
- Does ERP change the way of handling financial regulatory compliance?
- Can you perform internal audits with ERP, if yes how to do it?
- Can all the tasks be completely automated?
- Does it take care of currency conversions, tax regulations and calculations or it needs a manual approach?
It is a good thing that you are thinking of switching from legacy or old systems to ERP software but the transition is not easy for all your employees. Before switching, you must ensure that the cloud ERP software is a perfect fit for your organization’s needs and the employees and shareholders are on the board for this change. The best ERP software is the one where all your organizational requirements are met and it does not put a dent in your wallet.