ERP implementation is not that easy!

ERP implementation is a costly process and consumes huge financial resources. The decision to switch to an ERP system may take several months or even years and requires a lot of accurate customized training and for that matter, which applies to other solutions.

ERP serves as the central nervous system for your organization that provides real-time reports to higher management. However, if not implemented correctly, ERP may lead an organization to face financial and non-financial losses.

Some of the common challenges faced by different organizations during ERP implementation are:

1. Choosing the Right software:

Lack of knowledge about current technologies leads to a waste of time and money. There are hundreds of solutions available in the market. ERP companies have many solutions to offer to their customers. Organizations need to understand which is the best one that fits their needs in terms of size and scope of systems since it is the first step in transforming your business into a new system.

The best solution to overcome this problem is to look at other firms of the same size in your industry, what software they are using, and how long they have been using that software, but also to look at other ERP implementation failures ‌ to make an informed decision.

2. Full Knowledge about the processes of the company:

There have been instances where ERP software companies are not briefed properly about the processes of the company. Software companies allocate their resources to develop the best ERP system, but sometimes, even when everything is ready, the company finds out they missed one of the core business tasks to include in the ERP system.

At that time companies find themselves in hot water because there is no other choice than to revise the whole project once again, or even revert to the previous system. It takes time for developers and also puts an extra burden on the client company to pay extra for any additional task.

It is therefore important for companies to arrange meetings with their managers before the project starts. This way developers get full knowledge of the process in the company and how they must address the issues in the best possible way.

3. No Prior Knowledge of ERP:

Many managers in a company don't even have prior knowledge about what an ERP is. This lack of knowledge leads to misunderstandings between managers and developers. Sometimes they misunderstand the ERP implementation and even the best solution for their company's operations. Most of the time this happens when companies don't have IT specialists in their companies or their IT manager is incompetent to guide them properly.

This, in turn, leads to ERP implementation failure in technical training as well because of the very technical nature of ERP. However, even if that is one of the main key issues in ERP implementation, it can easily be solved by getting customized training ‌ online tailored to your needs – and the ones of your whole team or company.

It is therefore important for companies to arrange meetings with their managers before the project starts. This way developers get full knowledge of the process in the company and how they must address the issues in the best possible way. There have been instances where ERP software companies are not briefed properly about the processes of the company.

4. Company Involvement:

While having trained managers and implementation teams is a core ingredient of a successful ERP implementation, ensuring that the whole team that will have to use the product, and not only the key users, are properly trained, on time, and at their pace, is of extreme importance.

Most of the ERP risks and challenges are actually associated with people that don’t have a direct impact on the project, but that hasn’t been trained at all, and an indirect lack of knowledge leads them to make decisions that do not take the big picture into account, and that might have collateral damage on the core implement project.

Therefore, it is of utmost importance to get customized training packages for the whole corporation, that they can all access at their own pace, and to make sure that the right resources are recruited in the first place, by using recruiting platforms.

So, finally, before you begin your ERP implementation, you’ll want to be prepared and have your system ready to go, without inviting technical difficulties resulting from underpowered or older infrastructure. And if you are facing what appears to be insurmountable modernization challenges, there is always the option of a Cloud-based ERP system, which reduces the technical burden on company infrastructure. You can also test launch the ERP, by implementing a few functions at a time, in order to make sure everything is in place before transitioning to the full experience.