An ERP implementation requires significant investment and expertise. Companies should not attempt an in-house implementation due to the risks of failure and high costs. Instead, they should work with expert ERP vendors and consultants who have extensive experience developing, customizing, and implementing ERP packages. Vendors provide the software and initial training, while consultants manage the entire project, address customization needs, train employees, and ensure a successful outcome. Employees may resist an ERP transition due to fears about changes to their jobs, but their concerns can be addressed through training, education, and pilot projects. Negotiating a long-term license deal with an ERP vendor can help reduce total costs of ownership over time.

1. ENTERPRISE RESOURCE PLANNING (ERP)

2.  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, should be
finished in reasonable period of time

3.  Many software vendors have their own team of
consultant, responsibility is to ensure that software
package follows the standard approach.
 Aware of product n help during implementation.
 Developing a good software n implementing software
is entirely 2 different proposition.
 Each group of people have their definite role in
implementation.

4.  Along with good knowledge they should have
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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.

5.  In-house implementations expensive
 Might require to hire experts and have them on
company's roll.
 After implementation these people are not needed
only few people are in use that will handle postimplementation phase.
 In-house implements means wasting lots of resource

6. “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

7.  Vendor should supply product and its documentation
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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

8.  Vendors training provides to key users:
How package works, what are the major
components, how data and information flows across
system, what should be configured, what are the
limitation, strength, weakness so on..
 Objective if vendors is to show how software works not
how to implement software

9.  They are also like a “GAP” between package and actual
business processing.
 Software has to be customized.
 It is job of vendors to customize software according to
company.
 Company should get guarantee after customization
that software should fulfil all the requirements to
achieve goal from vendor

10.  Deals with implementation and with various problem
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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

11.  Consultant should guarantee that software success of
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software 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
For better implementation and better business
practice they should be impartial while questing.
Responsible for analyzing and addressing customizing
issue.

12.  Must know difference „Must have‟ and „nice to have‟
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items.
Decide level of customization
Must use diplomatic skills.
Provide drawback and advantage of all the area
Maintain documentation
Will leave once project is finished
Must leave knowledge and train people.

13.  These people who 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

14.  Fear of being redundant
 Fear of failure
 Fear of the future

15.  Training and education
 Creating ERP champions
 Pilot projects
 Involve employees in the process
 Addressing issues related to ERP implementation

16.  One of the key components of our ERP software
selection methodology is contract negotiation with
ERP vendors.
 Focusses on ERP consulting and extensive knowledge
of the ERP software industry.
 Enables consultants to provide clients with a
negotiation experience that delivers desired
results, quantifiable benefits and a very strong return
on investment on our consulting fees

17.  Ensure not getting Over-Licensed on the software.
One big potential area of savings is making sure one is
not getting over-licensed, whether it be in terms of
unnecessary modules, too many users or other
instances of “shelfware” that turn out to be the
equivalent of throwing away money.
 Consider the Total Cost of Ownership of ERP
Software.

18.  Negotiate a Long-Term License Deal. Rather than
focusing solely on the immediate purchase, it is more
important to view the acquisition of ERP software as a
long-term deal.
 Understanding Points of Leverage.

19. THANK YOU

20. Submitted by:
Yashsavi Amit (A2305110093)
Tushar Sharma (A2305110114)
7ECE-2(X)