Learning from failure: 3 ERP disasters every adopter should understand

Implementing an enterprise resource planning platform is no easy task. In fact, more than half of all ERP implementation projects fail to meet fundamental objectives, according to research from Gartner published by Deloitte. However, this does not mean prospective adopters should discontinue their efforts to modernize internal workflows via new ERP solutions. These cutting-edge systems have the power to catalyze true transformation across the organization, facilitating accurate, data-backed processes with bottom line-building potential.

That said, firms embarking on the ERP implementation journey should keep that admittedly scary statistic in mind and familiarize themselves with some of its most notable data points. Here are five ERP disasters every adopter should know and understand:

Hewlett-Packard
By June 2004, Hewlett-Packard had successfully centralized and updated 34 of the 35 ERP systems bolstering its global operations, according to the International Data Group. The computing giant was on track to transition the final platform when major issues materialized, disrupting business operations in the Americas Region for six weeks – double the planned disruption period. HP experienced immediate repercussions as order fulfillment times lagged and customers complained. On top of that, third-quarter earnings came in below projected levels, creating further turmoil within the organization. Former CEO Carly Fiorina ultimately removed three members of the management team who oversaw the division responsible for the Q3 dip, which amounted to roughly $400 million. The failed ERP transition, while not directly related to the drop, helped color the situation – another internal misstep with serious fiscal implications.

What went wrong? According to former HP Chief Information Officer Gilles Bouchard, the HP ERP implementation team was to blame. Bouchard said three key issues came to the fore. One, stakeholders within the cross-functional group had trouble collaborating across silos. Secondly, established data integration processes broke down due to ineffective manual input practices on the HP side. Finally, increased demand pressurized the situation and led to unintended operational problems.

In the wake of this episode, Bouchard conducted an internal survey to further explore the ERP implementation failure and search workable solutions that might yield success in future enterprise information technology efforts. The CIO found that more collaborative business processes were required when combining disparate systems into one central platform.

"When you consolidate, by definition, there's a lot more interdependencies," Bouchard told IDG. "When everybody's got their own ERP [system], they can all work within their own silos. Now there's a lot more commonality and a lot more sharing, and a lot of learning in terms of program management."

ERP adopters can find success by evaluating historic implementation failures.ERP adopters can find success by evaluating historic implementation failures.

Lumber Liquidators
In August 2010, Lumber Liquidators completed the final stage of a significant ERP overhaul, IDG reported. This late push bookended a seemingly successful implementation project, as stakeholders put the finishing touches on up-to-date point-of-sale, inventory and warehouse management modules made for the modern marketplace. However, these new systems failed to stoke fiscal gains. In fact, the company saw a 45 percent decrease in net income over Q3. Why? Employee productivity plummeted.

Production teams left at least $12 million in unrealized net sales on the table, as they struggled to adapt to the new workflows that accompanied the recently-implemented ERP. System analysts watching the situation unfold immediately recognized the problem: Lumber Liquidators and its solutions partner SAP had not done enough to engage employees about the new platform, according to the ERP advisement firm Panorama Consulting Solutions. Without proper IT training or guidance, personnel on the ground simply side-stepped the system and returned to older methods, ultimately slowing production.

Unlike HP, Lumber Liquidators was not willing to accept all of the blame and argued that SAP was partially responsible for their Q3 losses. However, the materials supplier never took its complaint to the court of law, a common tactic for ERP adopters that link flagging sales to vendor shortcomings.

Nike
Back in 2000, Nike oversaw an ERP disaster of truly epic proportions, CIO reported. The athletic clothing company partnered with i2 Technologies, which merged with JDA Software in 2009, to design and implement an industry-leading solution that would help automat its backend ordering processes and forecast market demand for some of its key product lines, including the Jordan Brand shoes. Trouble began soon after the live launch, when a software glitch resulted in skewed factory orders. Nike ended up flooding the market with low-performing Air Garnett sneakers, while leaving sellers short thousands of pairs of in-demand Jordan models. The company took considerable losses as a result, incurring $100 million in lost sales and suffering a stock price drop of 20 percent.

"For the people who follow this sort of thing, we became a poster child [for failed implementations]," Roland Wolfram, former vice president of global operations for Nike, told CIO.

Nike placed the blame squarely on i2 Technologies, contending that the company's flawed software was the root cause of the supply chain breakdown. On top of that, the clothes company claimed the software provider could have easily addressed the issues, which resulted in sluggish integration and failed ordering operations. However, those on the outside looking in believed Nike shared some of the responsibility. The i2 Technologies solution accounted for just 10 percent of a $400 million supply chain overhaul that seemed overly ambitious from the start, according to CNET. The company wanted to consolidate a client relationship management system, an ERP and supply chain tools into a single functioning system, CIO reported. This is a tall order for any technology firm, as an innumerable number of variables must line up for things to go off without a hitch.

"Nike lost $100 million due to a botched ERP implementation."

"Doing those things at a small company is hard, but doing it at a global enterprise like Nike ups the extremely high chances of failure," Joshua Greenbaum, an analyst for Enterprise Applications Consulting, told CNET. "When these systems fail, they fail big."

Nike ultimately recovered from this hit, working with other vendors involved in the massive project to clean up misconfigured internal systems and get the project back on track. However, the implementation timeline did expand, growing from two to seven years. The budget grew as well. As the company completed the final stages of the massive initiative back in 2006, project costs had moved past the $500 million mark – an overrun Nike has successfully accounted for in the years since.

These stories constitute a cautionary tale for companies looking to integrate ERP technology into their operations. ERP adoption comes with considerable roadblocks. Those set on navigating these obstacles must carefully chart out their implementation efforts and work with employees across the organization to successfully meld new technology with existing processes. Vendor selection is, of course, another key concern, as adopters must collaborate with proven partners who have the industry knowledge, technical skill and solutions to meet their unique business needs.

Is your company prepared to bolster its digital infrastructure with an advanced ERP solution from a trusted software provider? Connect with Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, the perfect ERP solution for enterprises of all sizes. Learn more about our offerings today.

Mitigating common ERP implementation risks

Enterprise resource planning platforms offer myriad benefits. Adopters can streamline critical backend operations, while introducing data-based processes that facilitate scalability and lay the groundwork for long-term success, no matter market conditions.

However, implementation is rife with risk. Developing and deploying one of these systems requires considerable company resources, as well as support from the end users who will eventually log into and use the solution. Many adopters fail to muster the internal strength needed to follow through on ERP projects, wasting money and time on half-imaged and constructed software. An estimated 26 percent of the organizations that started implementing ERP platforms last year ultimately failed, according to research from Panorama Consulting Solutions.

Companies exploring ERP solutions can avoid this fate by getting acquainted with the inherent risks ahead of time and actively working to address them as implementation unfolds. What exactly are the risks that come along with this process? Here are some of the common hazards that hamper businesses on the ERP adoption journey:

Focusing on the technology rather than the business
ERP implementation is, of course, a technological enterprise. Most organizations understand this and stack their internal teams with talented information technology professionals who can effectively evaluate available systems and understand how they might interact with existing backend infrastructure.

However, the software itself is only one half of the equation, according to Panorama. The introduction of an ERP system necessitates more widespread change. Business leaders and managers must adjust existing workflows to align with the new software. Companies that implement ERP solutions in isolation greatly increase their likelihood of failure, as they drop new systems into operations that are just not compatible. Users, faced with either continuing business as usual or integrating an incongruent platform into their day-to-day activities, will briefly feign usage and then go back to their old ways. 

Businesses can avoid this problem by embarking on operational transformations in which ERP systems are simply only one component. Using cross-functional teams, ERP adopters can catalyze the organizational change needed to support the new technology.

ERP solutions offer many benefits but risks abound on the road to adoption.ERP solutions offer many benefits but risks abound on the road to adoption.

Failing to invest in employee training and change management
System usage is often an afterthought – an issue many project leaders only address near the tail end of the ERP adoption journey, if at all. This, of course, is an immense mistake. If adopting an ERP is simply part of a larger strategy to transform the business, then, with this methodology, employees are left without the tools and guidance to navigate the post-implementation environment. How do users react when placed in this position? Most shun the new system and fall back on older methods.

Would-be adopters have watched such situations unfold. Last year, Deloitte connected with chief information officers who have overseen ERP adoption efforts in the past and asked them to identify the most common barriers to implementation. Approximately 82 percent of respondents placed resistance to change in the top spot. This hostility is often the result of ineffective training efforts, as frustrated workers take out their anger on the system itself, no matter how helpful it might be.

The fix here is simple. Project leaders must collaborate with human resources personnel to develop instructional resources that not only cover system features but also address how the new technology affects the business as a whole. Most importantly, organizations implementing ERP platforms should begin these efforts at the beginning of the adoption journey, working with employees to prepare for the change to come, according to CIO.

Handling the entire process internally
When it comes to implementing new enterprise technology, most businesses like to lean on internal IT teams. Although this strategy makes some sense from an organizational perspective, it also comes with complications. Company IT teams, while capable, often do not possess the specialized skills required to effectively vet and deploy ERP software. When they become the drivers behind the implementation process, costly roadblocks arise as they learn on the fly.

Consequently, adopters are better off connecting with ERP experts who have handled countless implementations and can leverage their knowledge of the space to offer solid guidance, according to Panorama. This way, businesses can have the best of both worlds: technical specialists who can integrate the new software into current computational infrastructure and ERP specialists who can render expert advice. However, this is not to say that intern IT workers should not be involved in the planning phase. These employees should be aware of all system specifications to ensure that the software comports with existing digital workflows, according to IT Toolbox. 

With these risks in mind, organizations can move forward with ERP adoption plans and chart out the way ahead, fully understanding the pitfalls that lie ahead.

Is your company prepared to bolster its digital infrastructure with an advanced ERP solution? Contact Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, the perfect ERP solution for enterprises of all sizes. Learn more about our offerings today.

Searching for an ERP? Mind these key trends

Organizations on the hunt for new enterprise resource planning software do not conduct this search in a vacuum. As project leaders develop system requirements, source vendors and perform other central tasks, the ERP industry moves forward. Firms currently locked into the adoption process must contend with the many external forces shaping the market and possibly take these developments into account when designing their solutions. Here are some of the most impactful trends affecting the ERP arena:

Choices increase
When on-premises systems dominated during the early 2000s, prospective adopters had limited options. Vendors offered comparable products that more or less included the same base features, with few exceptions. This is no longer the case. The crystallization of cloud-based storage and processing technology has opened myriad new opportunities. Now, software makers boast vast portfolios with many different variations. Companies are responding to this shift by rolling out more complex ERP strategies that mix legacy and cloud components, according to TechTarget. Why?

Many are hesitant to relinquish legacy software and put their complete trust in the cloud. The data certainly supports this conclusion. Panorama Consulting Solutions recently connected with more than 340 adopters and asked them to submit details on their respective implementation journeys. Approximately 72 percent ruled out solely cloud-based solutions due to concerns over data loss, while 12 percent did the same in fear of suffering data breaches. While enterprise technology experts have dispelled the myth that cloud ERPs are more vulnerable than on-premises systems, organizations still balk at the idea of getting rid of their server rooms entirely. Still, many see the benefit of this newer technology and support mixed approaches, maintaining core legacy gear while moving customer relationship management and inventory management solutions into the cloud. Some are even combining the new and the old via specialized integration modules.

SaaS moves to the fore
The Software-as-a-Service model is quickly becoming the go-to arrangement for enterprises juggling multiple backend systems. This methodology offers several key advantages. Most importantly, vendors are in charge of maintaining SaaS setups, meaning adopters no longer have to worry about performing maintenance tasks or implementing updates. Additionally, the monthly billing structure that most often accompanies SaaS platforms facilitates vendor accountability and therefore improves user experience, as software makers must maintain high service quality to retain clients, Enterprise Apps Today reported. Consequently, 26 percent of respondents in the Panorama survey chose to implement such systems, making SaaS ERPs the second most popular choice behind on-premises solutions.

ERP technology continues to change with the shop floor.ERP technology continues to change with the shop floor.

IoT technology matures
The Internet of Things is expected to encompass more than 8.3 billion devices by the end of the year, according to research from Gartner. This represents an increase of 31 percent over figures recorded in 2016. Businesses alone will maintain over 4 billion IoT fixtures before the year is out, indicating the sustained growth of the enterprise IoT technology market. Manufacturers are, of course, leading the way when it comes to adopting these devices, integrating advanced sensors, mobile applications and other innovations into automated workflows meant to facilitate organizational scalability and longevity.

This sea change has had an immense impact on companies using manufacturing ERP software, as most have had to evaluate their existing solutions against new IoT requirements, according to Manufacturing Automation magazine. Vendors are certainly meeting the demand here, quickly rolling out IoT modules to support clients embracing the trend. However, some believe the emergence of IoT technology could change the ERP market entirely, Industry Week reported. How?

For one, the real-time data collection abilities that come with these fixtures could negate the need for forecasting, allowing companies to establish direct data flows between the point-of-sale and the factory. Analysts also expect IoT technology to establish lines of communication between the customers and ERP solutions, as individuals interact with backend systems via web-enabled products. This would give organizations the power to cultivate deeper customer relationships and forgo the manual data entry processes usually require to maintain accurate data. Lastly, the prevalence of IoT devices in the workplace will force prospective adopters to take a look at their data security measures to ensure that employees and consumers are protected against cyberthreats.

Firms looking to integrate advanced ERP technology into their existing operations must take these trends into consideration when forging their path toward adoption. Those that fail to do so may be setting themselves up for future failure, as competitors with forward-looking solutions leave them in the dust.

Is your organization on the hunt for a new ERP system? Connect with Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, the perfect ERP solution for enterprises of all sizes. Learn more about our offerings today.

Strategies for finding an ERP consultant

Implementing an ERP platform is no easy task. Stakeholders from disparate departments must collaborate to design and source a sustainable solution that works for the entire organization. For some, the process can get too overwhelming, at which point external support resources are required. Most companies confronted with this state of affairs turn to ERP adoption consultants, trained professionals who leverage industry knowledge and technical know-how to shepherd clients through implementation, from planning to launch.

Last year, an estimated 68 percent of ERP adopters utilized consultants, according to research from Panorama Consulting Solutions. Businesses looking to take the same approach should carefully consider their options and choose the external advisor that not only understand the software but comports with internal culture. How can prospective ERP adopters go about getting the ideal consultant? These tried-and-true methods usually yield favorable results:

Focus on experience
Organizations that have never used ERP technology before are often amazed by its potential, framing the software as some groundbreaking new discovery. While these platforms do deserve praise, they are anything but new. ERP systems have been around since the 1980s, according to scholarly research from Idea Publishing Group. Consequently, consultants with decades of experience are available for hire – these are the quintessential candidates for businesses looking for implementation assistance.

Truly impactful consultants not only have knowledge of industry-standard ERP software but also understand how it fits into the operation. Additionally, these professionals can tap into sector-specific insights to help clients install and use technology that works with their unique processes. How do organizations go about judging consultant credentials? References are the key, IT Toolbox reported. The experienced can easily talk through successful implementations they have coordinated and provide references. That said, consultants who claim to have overseen strings of projects with 100 percent success rates are most likely bending the truth, as only one-third of all successful implementations fall into this category. Why? It is impossible for even the most seasoned ERP consultants to control all of the variables – they can only control their actions, not those of their clients.

"Last year, an estimated 68 percent of ERP adopters utilized consultants."

Look for budgetary expertise
Consultants do not simply help install whatever solutions their clients come up with. They actually participate in the system design and selection process, and therefore have a hand in the financial aspects of the project. Ideally, they actively work to create return on investment for the clients. This requires tangible budgetary chops, according to Panorama. Effective ERP consultants should be able to chart out the fiscal impact of the implementation and leverage their experience to look for ways to cut costs – a major concern for most adopters, more than half of which overran their budgets last year, the consulting firm found.

Judge cultural fit
In addition to meeting project-specific skill requirements, the ideal ERP consultant must fit internally. The average implementation unfolds over 12 to 18 months, according to TechTarget. These professionals are not only rendering services but also integrating into the business and closely working with employees in all departments. With this in mind, companies must account for cultural fit just like they might with full-time hires. Organizations that work with consultants who hold similar professional values are more likely to facilitate a smooth implementation and adopt an ERP solution that meets their business needs from an operational and cultural perspective.

ERP consultants can provide valuable assistance to business only just beefing up their internal systems. However, project teams should choose wisely, as the wrong external partner can wreak havoc and catalyze failure.  

The benefits of business intelligence

The business intelligence market grew 5.2 percent to encompass more than $16 billion last year, according to research from Gartner. This figure probably comes as little surprise to those monitoring the enterprise information technology arena, as organizations of all sizes continue to incorporate robust backend systems into everyday business processes. Analysts at Gartner expect this activity to pick up over the course of the year as part of a mainstream embrace of BI solutions. Why are so many companies investing capital in these platforms? Their data-mining and asset-tracking features open up new revenue-building opportunities via a number of key operational benefits.

Real-time shop floor transparency
Mangers and executives are responsible for identifying and acting on key internal shifts that might impact the business. Traditionally, this requires an immense amount of work, as these individuals must collect evidence from disparate sources and synthesize this information to make decisions. Even then, the data can be inexact, forcing leaders to base their determinations on instinct. This may have worked in the past but the modern market dictates that enterprises work off of cold hard evidence.

Business intelligence solutions automatically gather such insights, giving stakeholders the real-time facts they need to do what is right for the bottom line, according to Paragon Solutions. These platforms integrate with everything from business accounting systems to manufacturing assets, thereby facilitating the flow of accurate, actionable data.

"BI solutions automatically gather such insights, giving stakeholders the real-time facts they need to do what is right for the bottom line."

Centralized, accessible information
Simply collecting and storing enterprise data is not enough. This information must be easy to access if it is to make an impact on the operation and drive revenue. BI solutions offer this kind of centralized environment, usually through single-sign-on portals, Enterprise Apps Today reported. This unsiloed approach allows for timely decision-making and supports integrated business operations, as employees from every department can view the same data source. Of course, most platforms come with role-based credential configuration features, giving systems administrators the power to control who has access to sensitive internal data.

Enhanced customer connections
Organizations must woo customers to survive – it's the way business works. In the past, many have operated on suppositions when making these connections, using overarching market analysis to target the common denominator. While partially successful, this approach leaves room for improvement, as potential customers who do not fall into generalized groupings slip through the cracks and profits with them.

BI-infused applications allow enterprises to track customer activity and drill down into the behaviors that define these individuals and drive their purchasing habits, according to The Houston Chronicle. This information can prove vital when formulating promotions or meeting prospective buyers face-to-face. It can also improve interactions with invested customers, enabling employees to go into each conversation with useful insights. Some platforms equipped with BI capabilities even include self-service portals that give customers the opportunity manage their own accounts without company assistance. Integrated data-mining tools compile complete customer histories and present this data to external users for consumption. This feature is in high demand among consumers, as most want to avoid drawn-out phone conversations and leverage self-generated insights to find answers.

Open doors
Even the most profitable organizations can find room for improvement. However, traditional operational methods make spotlighting new opportunities more difficult, as stakeholders must search multiple data silos and weed through unstructured information and offhand insights that might point to internal issues. BI platforms facilitate this sort of transparency. Market and production trends are easy to spot, allowing executives and managers to adjust their operations to meet these shifts and ultimately reach new heights.

Business intelligence and commerce are now entwined. Organizations without platforms that provide these insights are bound to lose out to competitors, operating with little transparency while others tap into robust data stockpiles.

Could your business benefit from BI-infused software? Connect with Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, which comes equipped with cutting-edge business intelligence and reporting tools, making it the perfect solution for firms hoping to achieve operational transparency. Learn more about our offerings today.

Is your business in need of an ERP upgrade?

Enterprise resource planning software does not last forever. The average system can function effectively for as long as a decade before slowing considerably under the weight of persistent patching, according to IT Toolbox. Of course, this is not some hard-and-fast edict. Companies must decide on their own when ERP replacement is necessary. How? Operational warning signs often materialize when solutions start to slide. Here are some common signals that regularly foreshadow complete system decline:

Vendor support fades
Most ERP makers pair software with robust support packages designed to keep things running smoothly. However, few maintain these programs into perpetuity. Instead, vendors phase out antiquated versions with newer iterations, ending the need for past support offerings. Organizations with overly aged ERP solutions normally discover this the hard way, as scheduled updates disappear and customer service personnel offer little help when kinks crop up. When this situation unfolds, it usually means a complete system upgrade should take place. Why? The answer is simple: Only vendor-backed ERP solutions can operate effectively.

On a related note, companies that struggle to get support for up-to-date software or have been victim to sudden vendor rate hikes in this area may also consider swapping solutions. In both of these scenarios, costs will inevitably continue to build until the ERP is simply too expensive to keep. It's better to get ahead of this spend by making a move before support-related spending gets too out of hand.

"Only vendor-backed ERP solutions can operate effectively."

IT cannot keep pace
Traditionally, information technology teams are responsible for maintaining legacy systems. Even some newer alternatives require ample internal intervention. Many companies are more than happy to handle these demands, especially if it means protecting large upfront investments. However, when technical staff can no longer do the bare minimum required to maintain the databases and other ancillary platforms that enrich the ERP and facilitate return on investment, change must come, ERP Software Blog reported.

New business opportunities arise
Sometimes even well-functioning ERP platforms must be replaced. Why? In most cases, this situation occurs when organizations pursue new business opportunities, according to Panorama Consulting Solutions. For example, enterprises involved in mergers often look for new systems to address integration issues. Other times, new operational goals require the adoption of more robust ERP solutions. Divestitures present similar problems, requiring departing companies to move data from parent company software to their own independent systems.

Complaints and workarounds abound
System users – especially those with some technical skills – tend to develop personal workarounds for overly problematic technology. When users implement these shortcuts in the interest of saving time, there is little to worry about. However, when these alternative methods constitute standard operating procedure, an ERP swap is essential. If left unaddressed, serious workflow flaws simply multiply until the old shortcuts simply do not work any longer. Similarly, users that skip this strategy and instead fill out trouble tickets should be taken seriously, as high complaint volumes normally indicate major system imperfections.

With these signs in mind, organizations can easily identify depleted ERP solutions and take steps to adopt newer technology that bolsters the business instead of weighing on it. Has your enterprise experienced one or more of these issues firsthand? It may be time for a change. Connect with Accent Software today. As a Microsoft businesses solutions partner, we offer the Dynamics platform, which is backed by top-of-the-line support services from Microsoft. Learn more about our offerings today.

How to select and implement the ERP that works for your business

Implementing an enterprise resource planning solution is neither easy nor inexpensive. In fact, most organizations pay between $2,000 and $4,000 per concurrent user, according to ERP News. This fact alone should incentivize adopters to proceed slow and steady. However, many rush through the process in an effort to catalyze transformative internal changes as quickly as possible. The opposite normally occurs, as fast-moving companies implement solutions that weigh on the business and drain cash coffers.

Such situations are easy to avoid with patience and planning. Prospective adopters who require more guidance can follow these commonly used ERP selection and implementation strategies:

Get executive support
Before information technology teams can begin evaluating solutions and developing implementation plans, business leaders must allocate the required resources and, more importantly, offer their endorsement. Many firms manage to get funding but fail to secure the full support of senior leaders. Why? Lack of communication, according to CIO. Implementation managers should reach out to corner office dwellers and discuss the project in detail. It helps to connect specific components to overarching organizational goals, as this demonstrates to executives that the proposed ERP is more than just some glorified backend system. In reality the solution can drive change across the business, opening up new revenue-building opportunities that make far off sales targets more attainable.

It's important for project stakeholders to continue these relationships as things progress, offering occasional progress reports and project updates. Sometimes, C-level clout is the perfect solution to internal or external resistance.

"Planning is an essential part of the ERP implementation process."

Make a plan
Planning is an essential part of the ERP implementation process. Yet, many businesses simply skip this stage, believing they can select and put into place the perfect system without articulating project goals and system requirements. In reality, this strategy rarely pans out for obvious reasons. Internal ERP teams should instead embark on an extensive two-part planning journey, according to ERP Focus. The first leg involves identifying the specific operational issues the solution is meant to solve. These should be big-picture items that regularly arise during intraoffice gripe sessions or company meetings. Along with these issues, implementation teams will need to dig into the business itself and pinpoint the operational qualities that make it unique. With this cross-section of data, stakeholders can create accurate project goals off of which they can formulate platform requirements.

When it comes to listing essential software features, it is important that implementation teams not only formulate these needs internally but also reach out to end users – the senior managers and ground-level employees who will ultimately use the ERP. In the end, systems like these are only effective when users embrace them and, in order for this to happen, they must have a say in the selection process, Manufacturing Business Technology reported.

After receiving and processing platform input, implementers must move onto compiling an exhaustive feature list. When vendor evaluations begin, this document will serve as guiding light, revealing the way through gimmicky demos and marketing speak.

Be discerning
Some ERP providers deploy highly orchestrated presentations designed to sell viewers on an idea, rather than an actual product. Even the most seasoned IT personnel can become ensnared in sales traps when viewing these spectacles. With this in mind, implementation teams should carefully consider the offerings they see and take extra steps to ensure vendors can deliver on their promises. How? Asking for client references is always a smart move, as these companies can attest to live system usability, according to CIO. Additionally, it is always wise to go with a software maker that has industry-specific experience. Too often, implementation teams collaborate with green vendors whose offerings do not work well in specialized operational workflows.

With these strategies, prospective ERP adopters can implement systems that have the potential to transform the business, bolstering productivity and efficiency and revealing new revenue streams. Is your organization prepared to embark on the ERP adoption journey? Connect with Accent Software today. As a Microsoft Business Solutions Partner, we offer Dynamics NAV/ERP-based products fit for use in a variety of industries. With our help, you can adopt a transformative product that can streamline key backend processes such as inventory management, job costing and scheduling. Plus, our seasoned implementation personnel can help you adopt a game-changing solution that fits your operational needs. Reach out today to learn more about our ERP offerings or schedule a demo. 

Strategies for building a successful ERP implementation team

Successfully implementing an enterprise resource planning platform takes teamwork. Stakeholders across multiple departments must come together to design and implement an end-user-friendly solution that streamlines internal processes, bolsters efficiency and boosts profits. However, assembling such a team is no easy task, as many would-be adopters discover. Last year, analysts from Deloitte asked information technology leaders from around the world to identify the top barriers to ERP implementation. Approximately 44 percent of respondents cited poor team performance as a central roadblock.

With this in mind, organizations intending to put into place functioning, bottom line-building ERP solutions should carefully construct implementation teams, choosing complementary contributors who can help catalyze success. How? Here are some essential strategies for building an effective ERP project group:

Think top down
Team leaders must look to the C-suite for assistance before harnessing IT assets and recruiting talent from other parts of the business, according to Manufacturing Business Technology. Gaining executive sponsorship is absolutely essential, as corner office dwellers not only offer access to company resources but also use their influence to smooth over any internal resistance to change, a variable that more than 80 percent of the participants in the Deloitte survey said derailed implementation. That said, truly getting these individuals on board requires work. 

ERP team originators should develop an extensive proposal that accurately captures the size and scope of the project. Additionally, this document should include technical aspects that tie directly into overarching business goals. Although most business leaders would rather not wade through detailed system specifications, they will certainly appreciate an explanation on how proposed features further sales targets and other growth metrics. On top of that, it is always wise to take into account office politics when developing such proposals, as these seemingly inconsequential factors can slow the system design and roll out process, or result in the the adoption of an ineffective ERP solution, according to Deloitte.

Implementation teams can make or break the ERP adoption process.Implementation teams can make or break the ERP adoption process.

Gain cross-functional allies
In addition to obtaining support from the top, ERP project leaders should survey the lower ranks for engaged operational personnel who can help create functioning system workflows, CIO reported. The individuals tasked with facilitating everyday business processes often provide valuable insight into how features might work in real-time operational scenarios. They can also speak to the user experience, offering up experienced-backed advice on system usability.

How do ERP implementation leaders go about finding people within the operation who can yield actionable information? Most are found executing tactical duties, deploying specialized skills and institutional knowledge to oversee or participate in detailed processes. These professionals know the inner-workings of the business and can share valuable data. Some teams automatically gravitate toward midlevel managers whose internal experiences might seem relevant to platform configuration and deployment. In reality, these individuals often supervise those with more granular understanding of internal tasks.

Recruit core talent
While executives and cross-departmental representatives are certainly important to the implementation process, these staff take a backseat to core ERP executors. The staff members that constitute this group take on most of the actual work, drawing up system specifications, collaborating with vendors and working with fellow employees to ensure adoption goes as planned, according to Panorama Consulting Solutions. Although these individuals are intimately involved in implementing software, it's best that not all of them hail from the IT department. Why? Installing an ERP requires a complete internal transformation, meaning the core team should include invested stakeholders from all parts of the business. 

Because the members within this inner circle can make or break the implementation process, ERP project leaders must work to pinpoint individuals with the appropriate skills and knowledge. What competencies should be on the must-have list? Communication skills are essential, as core team members must effectively collaborate amongst themselves and with external parties throughout the process. Decision-making abilities are also important, especially for those who take official or unofficial leadership roles within the team, according to ERP Focus.

Organizations that can field ERP implementation teams with professionals who embody the archetypes above are well on their way to success. 

Are you putting together a top-level ERP project team looking to transform your business? Contact Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, the perfect ERP solution for enterprises of all sizes. Learn more about our offerings today.

Why ERP security matters

Hackers executed 980 successful large-scale cyberattacks last year, stealing more than 35 million sensitive files, according to research from the Identity Theft Resource Center. This data typifies the current enterprise data security climate. New threats seem to materialize daily, as dangerous external actors get their hands on powerful vectors designed to siphon information from internal servers or simply disrupt systems. Consequently, many organizations are optimizing their digital defenses, installing new backend solutions to protect mission-critical applications, including enterprise resource planning platforms.

One event recently highlighted the importance of shoring up these essential fixtures. In March, a prominent ERP provider was forced to patch its products after data security specialists uncovered a serious vulnerability that could have easily been exploited by cybercriminals, Dark Reading reported.

The external experts who spotted the weakness said it was one of the most severe faults they had seen, casting doubt on the system as a whole. Of course, skilled hackers can break into software without accidental backdoors. How? Frontend user error, for one.

​"IT teams bear the responsibility of protecting essential applications such as ERP systems."

Correcting bad behaviors
Most ERP users are not well-versed in data security best practices and often unknowingly indulge in risky behaviors out of convenience. For example, passwords are normally a key problem as employees are known to reuse easy-to-recall phrases across multiple platforms. Additionally, many employ overly simplistic passwords that take seconds to crack with most mediocre decoding software.

Security applications provider SplashData recently culled through five million stolen enterprise passwords and discovered that "123456" and "password" were most commonly used, according to Dark Reading. This suggests that many user still don't have a strong grasp on security basics and need further training on the subject.

Obtaining strong infrastructure
​IT teams must also bear the responsibility of protecting essential applications such as ERP systems. Spreading out administrative duties among multiple backend users is wise, as hackers who manage to steal IT credentials have only limited power within the system, according to IT Toolbox. In addition to using data security best practices, internal IT personnel should work with executive leaders and operational stakeholders to select systems equipped with optimal security features. While knowledge sharing can go a long way toward protecting ERPs, it cannot address the many sophisticated threats that can compromise the company locked within these solutions.

Does your organization need a reliable, secure ERP platform? Contact Accent Software. As a Microsoft businesses solutions partner, we offer the Dynamics platform, which is backed by top-of-the-line security from Microsoft. Learn more about our offerings today.

ERP security strategies you need to know

Last year, hackers executed attacks against more than 1,000 organizations and looted over 700 million records, according to the data security firm Gemalto. Of course, as technology improves, these attacks will only become more frequent, as cyberthieves develop new methods for invading secured servers and stealing essential business information. With this in mind, enterprises using manufacturing ERP software must take steps to secure their data as best they can.

If you're interested in ramping up your security protocols to ward off hackers, review these essential ERP security strategies:

Classify your data
In most cases, cyberthieves target only valuable information. For instance, the intruders that invaded the servers at the file-sharing giant Dropbox back in 2012 went directly after user account information, Motherboard reported. Chances are, these hackers passed up all sorts of non-essential data to reach the 60 million user credentials they eventually released for public consumption. So, before you start developing a security strategy for your ERP, review your digital assets and assign them security levels. You first want to focus your attention on data that, if compromised, could do immediate harm to you, your vendors and customers, ERP Software Blog advised.

Once you understand just how valuable your information is, you can craft tailored security protocols to fit specific assets.

Build an airtight plan
Effective ERP security plans cover a number of essential areas. Internal system access is often a primary concern for organizations with such software, Deloitte found. When you consider the available information on the subject, this makes perfect sense. Data security experts estimate that individuals with system access are responsible for more than 40 percent of all data breaches, according to Info Security.

To protect yourself against internal data mismanagement – both intentional and unintentional – institute a strict, role-based permissions scheme. This way, only the most trusted and savvy system users can directly access essential business data. Additionally, you will want to pair this with a change management plan that includes instructions on how to revoke access to users who have resigned or been terminated. You don't want disgruntled workers walking out the door with active ERP credentials.

Of course, no matter what protocols you put in place, breaches are still possible and you must be prepared handle them. If you're working with an on-premise solution, draft incident reports and response procedures and develop an in-depth emergency response plan. Conversely, if you have cloud-based manufacturing ERP software, you will need to collaborate with your vendor and review the services they offer.

You must secure your manufacturing ERP software to keep safe precious company data.You must secure your manufacturing ERP software to keep safe precious company data.

Don't forget mobile
In the event that you have an ERP solution with mobile capabilities, you will need to develop data security protocols to address device use and offsite access. To start, figure out how you plan to manage and track devices. Organizations big and small lose company-owned devices regularly and, on occasion, these lost smartphones and tablets end up in the hands of hackers, Information Week reported. You can avoid this situation by carefully tracking your devices, especially when users leave the company. If you have a bring-your-own-device policy in place, you will need to organize a system for wiping company data from devices owned by departing personnel.

Give employees best-practices for keeping their equipment secure as well. For instance, advise them how to identify questionable apps that could be fronts for data-extracting Trojan horse viruses. Of course, ask them to stick to common, web-based software stores like the Android Marketplace and iTunes.

Document everything
After you've developed your ERP security plan, document it. This strategy must outlast the administrators and users it serves, so avoid relying on corporate oral history. Instead, put together an editable online portal that includes all of your security protocols and give every employee in your organization access.

Empower your personnel
When it comes to enterprise data security, policies are only as effective as the their practitioners. In short, your employees need to know a thing or two about protecting the company data they access. With this in mind, organize some training to address key topics such as how to draft a secure password.

"Reusing an existing password is never smart."

These credentials are the first line of defense against data-hungry hackers and must be built to stand up to decryption tools that can formulate thousands of guesses in seconds. Effective passwords are usually on the long side and contain an array of evenly dispersed special characters, Wired reported. It's also important that you advise employees to create unique passwords for their ERP accounts. Reusing an existing password is never smart and can result in multiple accounts being compromised.

With these ERP security strategies, you can keep out the cyberthieves and keep the executives in the C-suite happy.