Tuesday, June 24, 2008

Day 3 Articles

A Framework for Evaluating ERP Implementation Choices

  • The paper proposes the balance of degree of customization for ERP software and processes
  • A successful ERP implementation requires fit between software and business processes
  • ERP systems are packaged, which indicates they target the market, not individual companies. So, the work with assumptions of their clients. These create
  • Differences between ERP capabilities and Company requirements are company-industry-country specific, and can be categorized as in 3 groups, data, output and process.
  • ERP projects are more riskier than IT projects because they are Company wise
  • Module Selection, table configuration and code modification are the 3 steps of ERP customization.
  • Design, implementation, stabilization, continuous improvement, and transformation are 5 steps that companies experience with ERP.
  • Primary reason to customize ERP implementation is to fit processes that are supported with ERP to ERP system. Technical customization deals with that.
  • Fit can be achieved by changing processes other than the system. Process customization deals with that
  • Modules, tables and codes may have different degree of customization, ERP customization choices depends on the degree of fit between ERP system and the company’s requirements.
  • When the degree of change and the capabilities of the companies to handle that change are low, project team’s development level must be high.
  • The research helps companies understand the customization decisions given the company’s capabilities.

Configuring an ERP System: Introducing Best Practices or Hampering Flexibility

  • Large number of orders, quick response is needed, too many employees are included.
  • Implementation team is experts in their departments, external consulting is acquired but not in terms of customization
  • Team is handling 1 department out of 6 at one time.
  • Order management is complex because of difference of products and customers.
  • Order management module was too complex to handle with only customizing the ERP software
  • So the team decided to find a way between reengineer their customer dealings (business processes) and the software together.

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