One misconception prevalent before researching enterprise software was that an ERP project was simply an IT project and that it was all about installing and testing software.
Only when an ERP solution aligns with an organization's business strategies and business processes will it improve the enterprise's actual performance.
Business Processes with ERP Solution "Different companies can buy the same ERP system but have dramatically different results because of the various ways of utilizing the ERP software application. Companies use different strategies to accommodate their business processes for their ERP solution implementation.
A lot of companies have very little or no focus on business processes, which means that their ERP projects are treated more like IT project. This is the worst strategy a company could adopt. Companies like these lack clear business objectives, and the efforts on ERP solution selection and implementations usually go waste.
Some other companies changed business processes to accommodate ERP functionality. Consultants usually suggest reengineering business processes prior to or concurrent with the ERP solution implementation and allowing a change agent to manage the numerous changes and ease the transition to the new processes.
A smaller percentage of companies changed their business processes independent of ERP, then selected or configured software to align with new processes." To utilize this strategy, companies usually rely on the assistance of ERP consultants, as they need to select the best software fit, as well as define the most favorable business processes for the organization.
Other companies "changed or customized their ERP solution functionality to accommodate current business processes," which to most consultants is a surprising figure. It is not typical for a company to totally change or customize ERP software solution to fit their current processes, as it requires a tremendous amount of work to customize the ERP system while also accurately defining current processes.
This is most likely due to responses from companies which had not yet started their ERP implementation and expected to maintain the lowest level of change to their current business processes. However, what they really should do is not to be afraid of change but to take advantage of the ERP Solution' inherent best practices to improve their business processes.
In a nutshell, an ERP Solution is just a tool. Learning how to use the tool to effectively leverage operational success within the organization is the key to a successful ERP project
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