Chapter 7 Erp Implementation Lifecycle Alexis Leon
Dept. of Information Technology - Mumbai University
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Company ERP Vendors
Management Pre-Selection Screening
Gap Analysis Reengineering Configuration
Implementation Team Training Testing End-user Traning
Phases of ERP
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There are many Vendors and all packages are not same
Study strong points and week points of each packages
Short list according to the requirement of organization
Check the years of existence of the vendor and past
Search for a perfect packet.
Compare the cost
Compare the time required
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Most important phases because it will decide failure and
success of project.
Require huge investment so switching to another ERP
package is not easy.
“DO IT RIGHT THE FIRST TME”
No package is perfect - (keep in mind before analysis).
Do not require prefect fit ,Should be flexible enough
for the company needs.
Develop selection criteria
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Points to be kept in mind while evaluating ERP:
1. Functional fit with the 1. Ability to support multi-
company’s business site planning and control
process. 2. Technology
2. Degree of Integration 3. Availability of regular
between the various upgrades
components of the ERP
system. 4. Amount of customization
3. Flexibility and scalability 5. Local support
4. Complexity infrastructure
5. User friendliness 6. Availability of reference
6. Quick implementation sites
7. Total cost
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Better to form evaluation/selection committee for
This is not a one-man-decision.
All the departments are involved.
Thus it should have company wise acceptance
Discuss the pro & cons
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Project Planning Phase
Designs implementation process
determine-“How to go about” – time schedule,
deadline, etc – PROJECT PLAN IS DEVELOPED
Roles are identified and Responsibilities are assigned
Everyone's scope of work defined and Heads of
Team members are selected and task allocation.
How- When- What to DO???
Phase is controlled by committee and meets periodically
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Create complete model of where they are now and in
which direction they will head in future.
Even the best ERP package can only cover 80% of
the companies functional requirement.
The remaining 20% of these requirements present a
problematic issue for the company’s BPR.
One of the most painful solution is to change the
business process to fit the ERP package
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Updation at low cost
Identifying a third party product that might fill the
Design a custom program.
Altering the ERP source code (most expensive) used
only for mission critical
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Human factors are taken into account.
Two different connotations:
Downsizing efforts (controversial)
Reduce significant no of employees
Business Process Re-Engineering ( Two separate but closely
linked implementations are:)
Business process integration.
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Business should be mapped according to goal of
Prototype is created before implementing it Live.
Testing is done on prototype
Configuring not only reveals strength but also
Explains what wont fit and whr the gap is
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Implementation team Training
Implementation team is trained i.e. connotations how
Later employees are also trained to run the system
Vendors and consultant will leave after implementation
Good in-houses must be there to handle system.
So there should be right selection of employee.
Willing to change ,Learn new thing and
Not afraid of technologies – and good functional knowledge
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Try to beak system
Testing real case scenarios
While testing- come up with extreme case scenarios-
Multiple users logging at same time
User entering invalid data
Hacker and so on…
Test case must be designed to find weak links and bugs
should be fixed before going live
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“Lights On, Switches Thrown, Gloves Off”
Technical side, Work is almost completed
Functional side, prototype is fully configures and tested
ready to go operational
Once system is ‘live’ old system is removed and new
system is use
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Actual user is given training on how to use system.
Starts much before system goes live
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This is very crucial phase as there are no vendors and
consultant at this stage.
So employees must be trained thoroughly to handle
problem is system.
There should be employed who must have knowledge
to enhance the system in future.
System should be upgraded and ne technologies are
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