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 ImplementationPROS and CONS (1)

Question asked: Why cant company implement their own ERP Package?????

Cannot go for trialanderror 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
Sonali ERP-Alexis Leon 3

In-House ImplementationPROS and CONS (2)

Cont

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 fileshld have practical implementation experience.

Sonali

ERP-Alexis Leon

In-House ImplementationPROS and CONS (3)

Cont

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.
Sonali ERP-Alexis Leon 5

In-House ImplementationPROS and CONS (4)

Cont

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.
Sonali ERP-Alexis Leon 6

In-House ImplementationPROS and CONS (5)

Cont

In-house implementation is expensive Might require to hire experts and have them on companys 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
Sonali ERP-Alexis Leon 7

In-House ImplementationPROS and CONS (6)

Cont

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.

Sonali

ERP-Alexis Leon

In-House ImplementationPROS and CONS (7)

In summary,

Cont

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

Sonali

ERP-Alexis Leon

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
Sonali ERP-Alexis Leon 10

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
Sonali ERP-Alexis Leon 11

Cont

Role of VENDORS (2)

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.

Sonali

ERP-Alexis Leon

12

Cont

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

Sonali

ERP-Alexis Leon

13

Cont

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 implementation. He understand all the fine details regarding project.
Sonali ERP-Alexis Leon 14

Cont

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 to company. Company shld get guarantee after customization that s/w shld fulfill all the requirements to achieve goal from vendor.
Sonali ERP-Alexis Leon 15

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 indepth understanding all the weakness n strength.
Sonali ERP-Alexis Leon 16

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
Sonali ERP-Alexis Leon 17

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

Sonali

ERP-Alexis Leon

18

Cont

Role of CONSULTANTS (2)

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.
Sonali ERP-Alexis Leon 19

Cont

Role of CONSULTANTS (3)

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

Sonali

ERP-Alexis Leon

20

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

Sonali

ERP-Alexis Leon

21

ANY QUESTION

THANK YOU!!