Common ERP mistakes to avoid
Implementing a successful integrated business solution like Microsoft Dynamics NAV is kind of like scaling and reaching the top of Mount Everest: It's a battle. An ERP project is one of the most expensive and complicated tasks an IT department can undertake, with obstacles at every corner waiting to thwart the unsuspecting. After hundreds of thousands of dollars and countless hours of work, it can be devastating to find out that an ERP system does not meet expectations or deliver tangible benefits. It is, therefore, incredibly important that businesses get it right the first time.
Microsoft Dynamics NAV can function as the backbone of a company's operation and the foundation upon which business performance is built. The success of a project is much more than simply choosing the right solution, vital though that is. How the implementation is planned, structured and carried out is just as important.
One way to avoid any mishaps is to understand the most common pitfalls organizations encounter when they embark on an ERP implementation project:
Lack of planning: Never play ERP by ear. Kevin Beasley, a leading chief information officer, told CIO.com, "Many organizations do not do enough up-front planning before they begin an ERP software evaluation. This often leads to confusion down the road because they might not fully understand their current processes and how to evolve them to maximize business benefits and efficiencies." It is essential for organizations to conduct audits before selecting an ERP system to discern where the software is needed most and what features would be beneficial. ERP systems should also be evaluated. The employees who will be using the software most are the best bet for this job.
Not screening vendors: It is a vendor's job to sell you their system. Without testing it you cannot be sure that the system has all the benefits or capabilities they promise. Of course, ERP systems cannot be taken to the office, tested and returned if there are any problems, so it's important to vet vendors before making a purchase. Request names of reputable businesses that the vendors supply to, and find out if you can contact those organizations and talk to them about their experiences with ERP implementation. A vendor should be able to provide at least three or four names. If they can't, consider it a warning sign.
Not understanding or using features: John Hoebler, managing director of a business consulting company, told the source that their annual ERP survey found that only 46 percent of respondents understood what features they were using in their system. That means that a whopping 54 percent of survey-takers had invested millions of dollars into a software without knowing its features. Without knowledge of what your ERP is capable of you can not fully harness it's potential. When the time comes for maintenance or upgrades there will be no way to guarantee their effectiveness because you won't know which features are most helpful and which are redundant. Experts suggest that organizations create master lists which outline salient attributes, and track their usage. The list should be reviewed regularly to determine which parts of the ERP system are being used.
In general it can be difficult to implement ERP like Microsoft Dynamics NAV successfully without a dedicated team or consultant. Accent Software can help your business understand the benefits of Microsoft Dynamics NAV and how it can help your company. If you are interested in finding out more about this and other business management software contact us today.