The whole point of acquiring an ERP software system for your manufacturing operation is to improve productivity. Indeed, the whole reason for managing a manufacturing operation is to improve productivity wherever and whenever it can be improved. To this end, we expect the acquisition of an ERP software system to provide a continuous savings that results in a high ROI. In short: An ERP software system should not only do what its designed to do (plan the resources of an enterprise), but should do so at effective cost of ownership. Otherwise, what's the point?
To ensure satisfying the ultimate ROI goals of ERP acquisition, manufacturers must understand that bringing any ERP system into their operation requires that every employee be invested in the success of the system. This investment is a result of what is called the implementation of the system throughout the operation. From the front office to the shop floor, from the president to the shipping packers, for an ERP system to work it must be used and used properly by all aspects of the operation. While the best methods of ERP implementation are very much dependent upon the type and needs of the company, some processes for success are common to all operations.
First, once management has decided, based upon present or emerging needs, to acquire a new ERP software system, a planning and purchasing team that represents all areas of the operation should be assembled. In short, all employees should be apprised of the ERP decision well in advance of its acquisition. Change does not come equally easily to all. All employees should have ample time to prepare themselves for a different way of doing things, and this can be greatly facilitated by making the ERP acquisition decision a transparent one.
Next, after planning a budget, choose an ERP software that not only offers maximum value for that budget, but one fits the needs of the company. This practice means that there should be direct relationship between the functionality of the software and the functions of the business. All too often, manufacturers spend far too much money for an ERP system with functions they will more than likely ever use. Or, they spend far too little money for something considerably under their predetermined budget, and end up with a system lacking key functions necessary for their business.
It is best to remember that the best ERP software solution will be one that sees itself as a partner in the success of your operation. Achieving full implementation of an ERP software system requires that there be a strong and determined relationship developed between the software provider and the manufacturer-one that sees successful implementation requires a long term commitment to the project. This relationship will help the manufacturer produce an alignment (or employee "buy-in") produced within the organization via full management support that, in turn, paves the way for the implementation to proceed as smoothly as possible.
Once the implementation plan is developed and the proper implementation approach selected, company data is converted and the training commences. It is here, in the training, where the right software selection really pays off. If care was taken in selecting a software provider that appreciates the manufacturer as a partner rather than purchaser, then the training and testing phase is one in which the measure of implementation success or failure is made. An ERP software provider that sees themselves as a partner will provide training and testing that puts it all together for their customers through hand-on supervision and systems consulting.
Finally, the commitment to partnership does not end when the system "goes live". Through on-going training, software updates that interface with emerging or anticipated needs, and the achievement of specific implementation objectives, the relationship between the company and their ERP software provider becomes even stronger. It is here, in the realization of company ERP objectives, where maximized ERP benefits equate the highest ROI.
http://globalshopsolutions.com/
Dusty Alexander is the President of Global Shop Solutions. Global Shop Solutions is the largest privately held ERP software company in the United States.
Copyright 2007 - Global Shop Solutions. All Rights Reserved Worldwide. Reprint Rights: You may reprint this article as long as you leave all of the links active, do not edit the article in any way, and give the author name credit.
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