Chapter 9 Vendors Consultants Users Alexis Leon

Chapter 9

Vendors, Consultants and Users

Sonali C.
UDIT -T.Y.B.Sc (IT)
2008-09

Introduction
 Why Companies cannot developed their ERP
package?
 Developing ERP is very complex.
 Developing ERP is not their business…
 They should be focus on improving their product
and service to live in competition.
 Ands also to serve their customer better.
 Software firm/vendors can provide better
sophisticated package then companies.
Sonali ERP-Alexis Leon 2

In-House Implementation-
PROS and CONS (1)
Question asked: Why cant company implement their own ERP
Package?????
 Cannot go for trial–and–error coz of huge
amount of investment.
 Consequences of failed ERP Implementation:
 Quite harmful
 Can put organization out of business
 Implementation cannot go for long time, shld be
finished in reasonable period of time

1

Cont…
PROS and CONS (2)
 For successful implementation- in-house ppl
should have knowledge and skill.
 People shld be familiar with ERP package and its
technical issue.
 Should at least have 1-year experience.
 Not in reading all brochures n help file…shld
have practical implementation experience.


Cont…
PROS and CONS (3)
 Many software vendors have their own team of
consultant, responsibility is to ensure that s/w
package follows the standard approach.
 Aware of product n help during implementation.
 Developing a good s/w n implementing s/w is
entirely 2 different proposition.
 Each group of people have their definite role in
implementation.


Cont…
PROS and CONS (4)
Along with good knowledge they should have
following skills:
 Knowledge of how to organize and run a project.
 Enough experience in handling problems and
issues.
 Good people skills.
 Good leadership skills.
 Excellent training skills.


2

Cont…
PROS and CONS (5)
 In-house implementation is expensive
 Might require to hire experts and have them on
company‟s roll.
 After implementation these people are not
needed only few ppl are in use that will handle
post-implementation phase.
 In-house implements means wasting lots of
resource


Cont…
PROS and CONS (6)
 Hence ,its better to implement to specialist
 Employees must be trained during
implementation, saving lots of money otherwise
would have been spent on hiring training.


Cont…
PROS and CONS (7)
In summary,
 Better for company to concentrate on business
and leave ERP implementation to the people
who handles this.
 For good benefit company people should
participate during implementation
 And proper role should be given to the people


3

Vendors
“Vendors are the people who has developed ERP
package”
 Invested huge amount of time and efforts in
research and development to create packaged
solution.
 ERP package grew out of experience or
opportunities of group of people working for
company in particular segment.
 Vendors have to constantly upgrade their
product

§ Role of VENDORS (1)
 Vendor should supply product and its
documentation as soon as company has signed
contract.
 Later company can organized training and testing
for implementation team
 Vendor is a like a LINK.
 Responsible for fixing any problem.
 Constantly interact with implementation team


Cont…

 Another role is of trainer-
 Provide initial training to the key users of the
company
 who will play lead role in implementation
 Key users along with consultant will define how
s/w is to sever the company
 Key users should be given thorough training.


4

Cont…

 Vendors training provides to key users:
 How package works, what are the major components,
how data and information flows across system, what
shld be configured, what are the limitation, strength,
weakness so on..
 Objective if vendors is to show how s/w works
not how to implement s/w


Cont…

 Consultant also plays a role in vendor
 He ask question that are avoided by vendors n
users are unaware of.
 If implementation fails blame will be on vendors
so he participate in all the phase of
implementation.
 He understand all the fine details regarding
project.


Cont…

 They are also like a “GAP” between package and
actual business processing.
 s/w has to be customized.
 It is job of vendors to customize s/w according
to company.
 Company shld get guarantee after customization
that s/w shld fulfill all the requirements to
achieve goal from vendor.


5

Consultants
 Deals with implementation and with various
problem arises during implementation.
 Experts in management, administration
 Have many years of implementation experience
 But they are very expensive.
 Research various product in depth ,develop in-
depth understanding all the weakness n strength.


Cont…

Consultants
 And make it a point that implementation does
not fails
 Therefore, these people are who implements
ERP package and invest huge amount of money
and manpower.
 Since they are expertise mistakes is avoided
 No trial and error
 So saving of time n money and efforts

Cont…

§ Role of CONSULTANTS (1)
 Consultant should guarantee that s/w success of
s/w and must show desire results that satisfies
the need of company.
 Administer all the phase in details
 Schedule all the thing in time.
 They have to allocate right people


6

Cont…

 For better implementation and better business
practice they shld be impartial while questing.
 Responsible for analyzing and addressing
customizing issue.
 Must know difference „Must have‟ and „nice to
have‟ items.
 Decide level of customization
 Must use diplomatic skills.
 Provide drawback and advantage of all the area.

Cont…

 Maintain documentation
 Will leave once project is finished
 Must leave knowledge and train people.


End-Users
 These people will use ERP system
 Use function that are being automated.
 Employee fear.
 Afraid of training.
 Job profile will change
 Old job is gone but new job comes in


7

ANY QUESTION…

THANK YOU!!

8

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