Enterprise Resource Planning (Essay Sample)
Like any complex information technology, ERP systems can be deployed in many different kinds of ways. Since enterprise systems by definition are as broad as the enterprise itself, it follows that the number of ways it could be implemented is limited only by the imagination of the participants—which, in an organization of any size, is almost unlimited. Obviously, not all of these ways of implementing ERP systems are equally good; some will produce effective results and corporate returns; others will result in extremely expensive doorstops and paperweights.
As the case for this module, you're asked to think about ERP implementation. For starters, please read two articles with practical advice regarding implementation:
Burns, M. (2010). How to select and implement an ERP. 180 Systems. Retrieved from http://www(dot)180systems(dot)com/resources/ERPWhitePaper.pdf
Donovan, R. M.(n.d.). Successful ERP implementation the first time. Retrieved from http://www(dot)alticoadvisors(dot)com/Portals/0/Successful%20ERP%20Implementation%20the%201st%20Time.pdf
The “Open Directory Project” purports to be a reasonably comprehensive catalog of the information available on the Web. Unlike a search engine like Google, it doesn’t offer any assessment of the sites it links to; it simply takes them at their self-described word. If you're not familiar with the Open Directory Project, visit http://dmoz(dot)org/about.html for a quick rundown.
For our purposes, we’re particularly interested in some nine companies (or collections of companies that are found in their ERP listing (The Open Directory (2011) ERP Systems.source..
Enterprise Resource Planning
It is quite common that companies spend a lot of time and resources on the ERP software inclusive of the implementation only to realize that there is no significant change in the performance of the organization. There have been a lot of controversies and legal suits against the negative ROI. The selection and implementation of systems of ERP and its change processes is a relatively complex undertaking. Irrespective of the size and availability of resources, the implementation of the ERP requires a careful approach and planning (Burns, 2010).
The companies that have been consistent culprits of failure of the ERP system can accrue the failure to several reasons. One of the reasons is that the strategy of operations being unable to drive the designed process of the business, as well as the deployment. The second reason is that the time consumed in the implementation process being longer than had been anticipated. Thirdly, the preparation activities for the pre-implementation being done poorly. The next reason is associated with individuals not being prepared o embrace the new system put in place. The final reason is that the cost of implementation being much weighty than the earlier projection. However, these challenges can be avoided (Donovan, n.d.).
Suppose a firm is a manufacturing type, then the management has to realize that the improvement of the supply chain requires its management redefining its objectives and strategies in reference to strategic opportunities. The ERP is usually modelled towards providing support to the business processes which firmly support the strategic opportunities of the company. There are basic ERP tenets that guide not only the actions but also decision. The success of the ERP emanate from effective implementation, preparation and appropriate use of the available tools. Despite the fact that the above assertion seems obvious, few companies usually get it right in their first round of the implementation. The success for the integration of the enterprise or even supply chain management that is advanced can be enhanced through the elimination the traditional cross-functional barriers (The Open Directory, 2011).
ERP allows companies to break down silos of organizations by replacing them with organizational horizontal structures that are tight. The structures make it possible for the realignment of the organizational structure, strategy, technology, and process. The selection and implementation of the ERP system begins at the comprehension of the Critical Success Factors. It is used in the determination of how critical a requirement is as this manifests when they can be easily mapped (Jones, 2007).
The measurement of success is determined through the saving money by increasing revenues, streamlining of the operations, and increasing the market share. The measurement is a vital act in the motivation of the staff during implementation, enables the organization to keep its p...
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