ERP implementation in SME. Factors affecting in implementation, Need for ERP in SME, ERP implementation strategies, functions of ERP consultant,

1. Emmanual Ahoulou
Mehak Narula
Amit Chougule
Xingtong Li

2. What is ERP ?
In 1990 ERP CONCEPT was described as an
innovative business software which can be developed
to create a shared database acrross multiple business
units.
ERP is an enterprise –wide information system that
facilitates the flow of information and coordinates all
ressources and activities within the organization.

3. ERP System in SME
 SME uses ERP to reduce costs to improve the profit margins.
 Need of proven methods to streamline operations and improve thheir customer’s
experience.
 To synchronize changes between systems.
 Consolidates applications could bring more control to cross-functional processes for
manufacturing, finance, human ressources, marketing and sales.
 Provides a real time enterprise-wide view of the business for faster and more
effective decision making.
 Shortens production lead times and delivery times.
 Helps build a common vision throughout the enterprise.
 Cross-departmental coordination and execution workflows quite challenging without
erp solution.
 Consolidates multiple permissions and security procedures into a single framework
which reduces the risk of losing or exposing sensitive data.
 ERP boost productivity and worker output, it can dramatically reduce operating and
overhead expenses.

4. ERP System in SME
 Another reason an ERP solution is so critical is their ability to increase information
consistency and accuracy.
 Most importantly, an ERP solution makes it easier for employees at all levels – from
front line staff members and team supervisors to senior managers and executives –
to assess company performance and understand their impact on it. ERP solutions
enable effective objective setting, and allow everyone to monitor progress towards
that goal.

5. NEED OF ERP System
 Companies require immediate informations business
processes( stock, order, profits).ERP gathers all the
information into a single framework to improve their
effectiveness.
 ERP system is customizable, standard application
software includes integrated business solutions for the
core processes and the main administrative functions.
 SME need to implement an integrated information system
in order to stay competitive and customer-orient
 Some need to reduce costs constantly to stay competitive
and increase the profits margins.

6. BUSINESS PROCESS
REENGINEERING
Processes, organization, structure and information
technologies are the key components of BPR which
automates business processes accross the enterprise
and provide a well designed information system.
Organisation has two options to consider while
implementing ERP.

7. ERP implementing strategies.
 Big bang - Implementation happens in a single instance. All users move to the
new system on a given date.
 Phased rollout - Changeover occurs in phases over an extended period of time.
Users move onto new system in a series of steps.
 Phased rollout by module
 Phased rollout by business unit
 Phased rollout by geography
 Parallel adoption - Both the legacy and new ERP system run at the same time.
Users learn the new system while working on the old.

8. Factors affecting ERP
implementation
 Data Provided
 Parrallel Systems
 Training & Testing
 Expectations from ERP systems
 Employee Retention
 Design & Testing
 Stakeholders should be identified in initial phases.

9. Issues & Challenges
 Awareness
 Perception
 Earlier Implementation
 Approach to Implementation
 Cost
 Change Management

10. Case Study - Custom Engineering
Solutions
 Two major divisions
 Electromechanical Motors & Equipment
 Electronic Control Systems
 ERP SYSTEM JUSTIFICATION
 The Need for New Systems
 Justifications for a New ERP System
 Support niche market strategy
 Provide better cost data
 Improve the accuracy of financial reporting

11. An Enterprise Resource
Planning Consultant
 Represents a contractor, firm or team of consultants
that include project management, technical and
functional resources or most likely a combination of
all of these in one.

12. The Functions of an ERP Consultant
 Knowledge brought by a consultant is the most important asset.
 "Change management," which is part communications, part training,
part strategy and part hand-holding is another important function. If
your organization does not change with the system, you get less
value for your efforts.
 Can act as an advisor - He has been there and done that and can give
options along with consequences of taking those options.

13. Benefits
While ERP consultants can be expensive, if used
properly they can save time and money while
implementing a more trouble-free system.
One of the key benefits is "knowledge transfer" from
consultants to your staff, which, if done properly, will
enable you to become self-sufficient and get rid of
consultants sooner.

14. Expert Insight
 Many organizations keep implementation consultants on staff long
after they have deployed the system. They do this for support and as
a safety net in case changes are needed to the system configuration
for business or regulatory reasons.
 Implementation consultants are generally expensive and may not be
the best suited to application support. Consider instead hiring a
service geared specifically for system support; these services tend to
be cheaper and better at system maintenance and troubleshooting
problems.

15. Roles
 The various tasks that are performed by ERP consultants are as
follows:
 Selection of the ERP package.
 Creating equilibrium between system capabilities and
organizational objectives.
 Present and prospective system analysis and documentation.
 Development, management, implementation and regular
assessment of the ERP system.
 Imparting education and training to existing and prospective
users.

16. Role
 Ensuring steps for effective implementation of ERP.
 Assisting in installation and configuration of the
ERP system.
 Making sure that the ERP system can be updated to
satisfy changing business needs.
 They analyze the requirements of the business and
provide an ERP consulting strategy to satisfy
business requirements.
 He assists by providing their expertise on
specialized software modules.

17. Thank You
 Amit Chougule
 Lille, France.
 amitchougule4433@gmail.com