Can organizations succeed without ERP system

If an organization is very small in size, caters to the niche market and has very limited scope, then it can sometimes succeed without ERP. But today's organizations are becoming large and the products are becoming more and more complex in size, sophistication and technologies used. Also, a single group does not necessarily build the different components of a product.

This is the era of multi-site, distributed production, where different groups situated in different parts of the world develop the components of a system. In such a scenario, managing the activities of an organization is a very complex task. If proper control mechanisms and procedures are not in place, very soon the operations can get out of control and products and organizations can fail.

ERP training and education

All users of the ERP system should be trained properly in using the system to its fullest. Different groups of people in the company will have different training needs. Managers need more focus on the decision-making and analysis features of the system while the clerical staff need more focus on how to perform their jobs. But all the users must be trained in the ERP basics, overview of the system and its working, how an action by an employee triggers a host of events throughout the organization, how automation will help, what processes are changed and so on.

Educate everyone so that they understand what is going to be achieved with the new system. Additional education should include total quality management and change management strategies. Also the training sessions should be used to gain acceptance for the ERP system by dispelling the myths about ERP. When the employees do not understand what the new system is and what is supposed to do and how to operate it, they will not use it or use it incorrectly. This can lead to failure of the system. Best option is to train department managers in how to use the system and have them train the users.

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