Vendors, Consultants and Users
UDIT -T.Y.B.Sc (IT)
Why Companies cannot developed their ERP
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.
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PROS and CONS (1)
Question asked: Why cant company implement their own ERP
Cannot go for trial–and–error coz of huge
amount of investment.
Consequences of failed ERP Implementation:
Can put organization out of business
Implementation cannot go for long time, shld be
finished in reasonable period of time
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PROS and CONS (2)
For successful implementation- in-house ppl
should have knowledge and skill.
People shld be familiar with ERP package and its
Should at least have 1-year experience.
Not in reading all brochures n help file…shld
have practical implementation experience.
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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
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PROS and CONS (4)
Along with good knowledge they should have
Knowledge of how to organize and run a project.
Enough experience in handling problems and
Good people skills.
Good leadership skills.
Excellent training skills.
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PROS and CONS (5)
In-house implementation is expensive
Might require to hire experts and have them on
After implementation these people are not
needed only few ppl are in use that will handle
In-house implements means wasting lots of
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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.
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PROS and CONS (7)
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
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“Vendors are the people who has developed ERP
Invested huge amount of time and efforts in
research and development to create packaged
ERP package grew out of experience or
opportunities of group of people working for
company in particular segment.
Vendors have to constantly upgrade their
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§ Role of VENDORS (1)
Vendor should supply product and its
documentation as soon as company has signed
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
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§ Role of VENDORS (2)
Another role is of trainer-
Provide initial training to the key users of the
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.
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§ Role of VENDORS (3)
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
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§ Role of VENDORS (4)
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
He understand all the fine details regarding
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§ Role of VENDORS (5)
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
Company shld get guarantee after customization
that s/w shld fulfill all the requirements to
achieve goal from vendor.
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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.
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And make it a point that implementation does
Therefore, these people are who implements
ERP package and invest huge amount of money
Since they are expertise mistakes is avoided
No trial and error
So saving of time n money and efforts
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§ 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
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§ Role of CONSULTANTS (2)
For better implementation and better business
practice they shld be impartial while questing.
Responsible for analyzing and addressing
Must know difference „Must have‟ and „nice to
Decide level of customization
Must use diplomatic skills.
Provide drawback and advantage of all the area.
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§ Role of CONSULTANTS (3)
Will leave once project is finished
Must leave knowledge and train people.
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These people will use ERP system
Use function that are being automated.
Afraid of training.
Job profile will change
Old job is gone but new job comes in
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