A framework for Evaluating ERP implementation:- ERP systems are packaged softwares, a little bit customization required for both erp system and business processes.
- There are process and technical customization options and also technical and process change capabilities.
- ERP software is developed for all market, not for an individual company. ERP implementation requires data entry and integration
- ERP best practices are generic solutions and are not universal.
- ERP implementations are company wide and generally contains all company business processes.
- ERP system customizations are module selection, table configuration, code modification, another defines this by bolt-ons, screen masks, extended reporting, workflow programming, user exits, ERP programming, interface development, package code modification.
- ERP implementations goes into 5 stages, design, implementation, stabilization, continous improvement, transformation.
TECHNICAL CUSTOMIZATION
- module selection
- table configuration
- code modofocations-- which is great flexibility bu backward compatibility injures.
PROCESS CUSTOMIZATION
- no change
- incremental-- relationships among tasks are customized
- radical change
CAPABILITY TO CHANGE BUSINESS PROCESS
- comprehensive understanding of ERP vendor reasons underlying
- developing an enterprise software or networked database software
- managing a large scale software project
- wide rang of understanding business processes and the evaluation of the process
- creative thinking for redesigning business processes
- need for large scale organizational change management
EXAMPLE CASE
- Framework let a company resides in appropriate cell and thus figures out effort needed
- A variety of modules implemented using customization options mentioned in the article.
Configuring an ERP System: Introducing Best Practices or Hampering Flexibility
- Case is about implementing order management module while other modules are already implemented.
- they formed a war team that is appropriate for such project
- the existing software would be changed without any business reengineering.
- They thought they had enough expertise to implement ERP by themselves.
- In JD Edwards order processing tables are totally different identified.
- Grouping orders, customers is needed to manage discoutns or incentives.
- But marketing people have totally different and not organized procedures.
- Software system needed to make standardize pricing strategy of marketing.
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