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Identification of the needs for implementing an ERP package


The first step for implementing an ERP package is to identify the reasons for going in
for an ERP solution for your business by asking questions like:
Why should I implement an ERP package?
Will it significantly improve my profitability?
Will it lead to reduced delivery times for my products?
Will it enhance my customers‘ satisfaction level in terms of cost, delivery time,
service
and quality?
Will it help reduce the costs of my products?
Will it enable me to achieve the same business volume with reduced manpower?
Will it enable me to reengineer my business processes?
2. Evaluating the ―As-Is‖ situation of your business.
The total time the business process takes to complete.
The total number of decision points involved.
The number of departments/geographical locations that the business process involves.
The flow of information.
The number of reporting points.
3. Deciding upon the desired ―Would-Be‖ situation of our business.

4. Re-engineering of the business processes to achieve desired results.


The business process cycle time is reduced significantly.
The number of decision points is reduced to the bare minimum.
The flow of information is streamlined, i.e., there is no unnecessary to-and-fro flow
of information between departments.
5. Evaluation of various ERP packages
Global Presence: Check the performance and acceptability of the package globally.
Local Presence: Check how the package is performing in the local market – this
gives an idea as
to how well a package is taking care of the country specific business needs
Investment in R & D
Target Market
Price
Modularity
Obsolescence
Ease of Implementation
Cost of Implementation
Post-Implementation Support

6. Finalizing of the ERP package.

7. Installing requisite hardware and networks


8. Finalizing the implementation with consultant.
9. Implementation of ERP package.

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