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Erp software selection


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Erp software selection

  1. 1. ERP software selection By Indah D Lestantri
  2. 2. Objective To highlight the issues in selection an ERP software To learn the guidelines in ERP software selection
  3. 3. Vendor ERP software The first : SAP oracle, BAAN. JD Edwards,… Open source ERP software
  4. 4. Issues in ERP software selection simple Various component complexity Cost is high Resource people ERP difficult
  5. 5. Various reason that make the ERP Lack of clarity about the customers requirements Complexity in the business processes Increased number of ERP vendors Lack of better planning Resistance to change Project cost Integration, upgradability, adaptability and applicability of software
  6. 6. ERP software selection criteria ERP implemented in organization Implemented of ERP is various ( smalla, medium, or large)
  7. 7. Factors to consider while choosing of ERP product Increased transparency and better information flow Easy maintenance, adaptability and flexibility of software Reduced cycle time and lead time Process improvement Enable with multi lingual and multi currency features
  8. 8. Factors to consider while choosing of ERP product (2) Increased customer satisfaction Modular architecture of software Higher software reliability Market position of vendor Implementation of desired business processes Operating system independence
  9. 9. Methods in ERP selection The decision is made by top management with the inclusion of external consultants There is a centralized type of selection process in place, characterized by a strong focus on the IT and organizational department with only little participation of other internal departments and no employment of consultants The decision is made taking into considerations the suggestions given by several departments of the organization whether they are going to be a user of the ERP system or not Using a combination of all the three steps given above as when there is a need
  10. 10. ERP software selection process Phase 1 : Initial requirements Phase 2 : Developing the short list of candidate solutions Phase 3 : Final selection Phase 4 : Implementation planning
  11. 11. Phase 1 We want to get to know our team, plan and discuss the big project We administer a series of quistionnaires and conduct interviews with our project team
  12. 12. Phase 2 This phase help us establish a list of high level differentiators. We compare the candidate solutions We analysis of qualitative factors
  13. 13. Phase 3 Final ERP software and vendor selection
  14. 14. Phase 4 Every software vendor has a plan to make their implemented succeed And after going through the first three phases, they will have a better understanding of their business processes.
  15. 15. Important factors influencing the ERP vendor selection Functionality of ERP package (24%) Vendor’s reputation (26%) Vendor’s ability to provide a complete solution (16%) Project costs (23%) Future software maintenance provided by the ERP vendor (11%)