M0254 - ERP (Enterprise Resources Planning) Session 9 - ERP Implementation Ir. Ekananta Manalif, MM, MKom (D2664) Jurusan Sistem Informasi Universitas Bina Nusantara ERP Solution Components Infrastructure 20% ERP Software 20% Implementation 60% M0254 Enterprise Resources Planning ©2004 ERP Implementation Involves Project Planning Business & Operational Analysis, including Gap Analysis Business Process Re-engineering (BPR) Installation & Configuration Project Team Training Business Requirements Mapping to Software Module Configuration System Modification and Interfaces Data Conversion Custom Documentation End User Training Conference Room Pilot Acceptance Testing Production Post-Implementation Audit/Support M0254 Enterprise Resources Planning ©2004 ERP Implementation Commitment from Management Form a task force with personnel from all functional Areas Take care of Hardware requirements Step-by-step rather than big-bang introduction Be patient, ERP implementation takes Time M0254 Enterprise Resources Planning ©2004 Prepare Base for ERP Do not start without Management commitment Allocate sufficient funds Identify Core Project Team Select specialists from all functional areas Evaluate and select ERP package Evaluate Implementation Partner Make an Implementation Plan Present plan to Management Committee for sanctions Present plan to Employee groups for feedback/acceptability Plan for User Training Plan for Future upgrades M0254 Enterprise Resources Planning ©2004 ERP Implementation Activities Manage It... Change It... Implement It.. Contractor • Change Mgment • Package Integration • Project Management • Business Vision (SAP,PeopleSoft, JDE, Oracle...) • Detailed Project and Goals • • Software planning and • Process Analysis Tracking • Package Select . Environment Builds • Communications • Business Case • Enterprise-wide • Infrastructure Plan • Bus. Process Planning/Design & • Subcontractor Reengineering • Roll-out management • Industry Best • Interfaces and • Project Scope Practices Conversions Control • As Is /To Be • Data Warehouse • Financial Control Process Integration • Project Oversight and Modeling • Quality Assurance • Fit-Gap Analysis E-Business • Business Intelligence Reviews • Policy Design and Procedure • Networking • Design Dev. • Implementation • Readiness • Tuning Assessment • Organizational Design • Communications Plan • Prime Operate It... Data Center Operations Application Development & Maintenance Network Station Management Network Operations & Support M0254 Enterprise Resources Planning ©2004 Service It... • • • • • • • Platforms & • Technology Services • • Installation/ Customization & Maintenance • Performance and • Tuning • Software Services • Planning/Design/ Install • Migration Management • Problem Mgmt. Systems Mgmt. Internet Enablement • Web Site Design Help Desk Disaster Recovery Business Resumption Services Teach It... Training Needs Assessment Custom Curriculum and Material Development CBT Development End User Training Classes • Train-theTrainers • Roll-out of Training Define Requirements Determine the hardware required. Analyze the existing Processes. Fine tune the processes to be in line with those of ERP defined. Analyze effect of system changes. Prototype and present. Refine the prototype & freeze the specifications. M0254 Enterprise Resources Planning ©2004 ERP Implementation Evaluation Business Realization Final Project Preparation Preparation Blueprint Business Blueprint Business Case and Project Proposal Go Live and Support Business Benefits and Continuous Improvement Production System and Ready Organization Project Charter Configured and Tested System M0254 Enterprise Resources Planning ©2004 Sustain Help Desk and Support Organization ERP Consultants How does a consultant steer a client through an ERP implementation? Identify what you want improved, set goals, and calculate benefit Define standard procedures Plan for rollout far before it happens Set milestones Train everyone Don’t forget your customers M0254 Enterprise Resources Planning ©2004 Re-engineering - a part life with ERP Re-engineer process before going for ERP Re-engineer during implementation of ERP Re-engineer after implementing ERP Continuous re-engineering through ERP M0254 Enterprise Resources Planning ©2004 ERP without Re-engineering Advantages No visible changes in Functionality Users find it more acceptable Can be completed within time frame. Cost can be with in your control Impact on Organization will be moderate Disadvantages Best Business practices would have been ignored Stability of the system is known only in long run May not achieve Corporate wide systems integration New technologies have to be studied your self Some functionality may be lost M0254 Enterprise Resources Planning ©2004 Re-Engineering Study the current system & Processes Design and develop new systems Define Process, organization structure, procedures Develop/Customize the software Train people Implement new system M0254 Enterprise Resources Planning ©2004 Business Process Re-Engineering (BPR) In-depth study of existing systems/processes is required before ERP is considered. This study brings out deficiencies of the existing system/process. This study is called BPR. BPR attempts to re-structure and re-organize the human resources, functional areas, ManMachine interfaces in the organization. Hence BPR attempts to maximize productivity. M0254 Enterprise Resources Planning ©2004