ERP Lifecycle
Different Phase of ERP implementation are•
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Pre-implementation Activities
Project Preparation
Business blueprinting
Realization
Final preparation and go live
Support
ERP Life Cycle
Pre implementation
Activities
Project
Preparation
Business
blueprinting
Realization
Final
preparation
and go live
Support
Company
Management
Go ahead
Pre-Evaluation Screening
ERP Vendors
Package Evaluation
Project Planning
Gap Analysis
Implementation Team Training
Reengineering
Testing
Going Live
Post Implementation Phase
ERP implementation Lifecycle
Configuration
End-User Training
Pre-implementation Activities
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Have crack team in place
Feasibility/ROI study
Getting budget for ERP implementation.
High level requirement definition .
High level scope definition.
RFP for implementation partner selection.
Evaluation and selection partner for imp.
RFP for package selection.
Evaluation and selection ERP package.
Project Evaluation
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Project team selection,organisation str.
Project methods,stds formulation.
Finalizing the strategy.
Detailed project scoping.
Technical preparation.
Training
Business Blueprinting
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Modelling high level AS IS process
Detailed req definition.
BPR and process redesign
Detailed
TO
BE
modelling,TO
documentation.
Identify gaps
Define roles
Blueprint audit.
Blueprint sign off.
• Give core team configuration training.
BE
process
Realization
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Configuration/customization.
Unit testing.
Integration testing.
Developments for gaps.
End user training.
Final Preparation and go live
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Stress and volume testing.
End user acceptance testing and signoff.
Conducting end user training.
Data migration.
Cutover planning and go live checklist.
Help desk support finalization.
Closing open project finalization.
Pre go live audit.
Go live audit.
Support
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Knowledge transfer to support team.
Transition-documents,open issues.
Regular support ,monitoring SLAs
Measuring performance improvement.
Upgrading
PROJECT PLANNING PHASE
Project schedule
DESIGN IMPLEMENTATION PROCESS
TIME SCHEDULES, DEADLINES, ETC
RESOURCES ARE NEEDED AND IMPLEMENTATION IDENTIFIED
Decision of phase
CONTINGENCIES, MONITOR THE PROGRAM, CONTROL
MEASURES , CORRECTIVE ACTIONS
Team leader
PLANNING IS DONE BY TEAM LEADERS
COMMITTEE WILL BE HEADED BY INCHARGE
GAP ANALYSIS
Importance of Gap Analysis
• Gap analysis is a phase in the ERP implementation,
where the organization tries to find out the gaps
between the company’s existing business practices &
those supported by the ERP package.
• This is the process through which companies create a
complete model of where they are now & where they
want to head in the future.
• Main objective
• The main objective is to design a model, which both
anticipates & covers any function gap.
• It has been estimated that even the best ERP package
meets only 80% of the company’s functional gaps.
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Different ways of finding gaps
a. One of the most affordable, but most difficult,
solutions entails altering the business to ‘fit’ the ERP
package.
b. Another solution is that the company can simply
agree to live without a particular function.
c. Other solutions include:
• Pinning your hopes on an upgrade or updating of
software.
• Identifying a third-party product that might fill the
gap.
• Designing a custom program.
• Altering the ERP source code.
GAP ANALYSIS
Importance
FIND OUT THE
GAPS BETWEEN
BUSINESS AND
ERP PACKAGE
COMPANY CREATES
A MODEL
Main objective
Different ways of finding
DESIGN A MODEL
COVERS ANY
FUNCTIONAL GAP
ALTERING THE BUSINESS
TO FIT THE PACKAGE
LIVE W/O A FUNCTION
UPDATING SOFTWARE
IDENTIFYING A PRODUCT
DESIGNING A PROGRAM
ALTERING SOURCE CODE
RE-ENGINEERING:
It is in this phase that the human factors are taken into account.
Two different connotations
1. 1st one is the controversial, involving the use of ERP to aid in downsizing
efforts.
2. There have been occasions where high level executives have invoked
the reengineering slogan & purchased an ERP package with the aim of
reducing number of employees.
3. While every implementation is going to involve some change in job
responsibilities, so it is the best to treat ERP as an investment as well as
cost-cutting measure, rather than a downsizing tool.
4. ‘Downsizing’ is a business practice that may have its place, but it should
not be cloaked within the glossier slogan of ‘reengineering’.
5. The 2nd use of the word re-engineering in the ERP field refers to an ERP
implementation model initially designed & used.
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The BPR approach to an ERP implementation implies
two separate, but closely linked implementations
involved on an ERP site i.e. a technical implementation
& a business process implementation.
The BPR approach emphasis the human element of
necessary changes within the organization, which is
generally more Time consuming & has received its
share of criticism for creating bloated budgets &
extended projects.
The ERP market shifts to a mid-market focus & as all
implementation are becoming more cost sensitive; the
BPR approach has come under some real scrutiny.
RE-ENGINEERING
BPR APPROACH
Human factor
taken into account
Downsizing effort
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CONFIGURATION
1. IMPORTANCE OF CONFIGURATION
1. This is the main functional area of the ERP implementation.
2. Business processes have to be understood & mapped in such a way
that the arrived solution matches with the overall goals of the
company.
2. THE PROTOTYPE
1. A prototype- a simulation of the actual business processes of the
company- will be used.
2. The prototype allows for thorough testing of the ‘to be’ model in a
controlled environment.
CONFIGURATION
Main functional area
Solution match with goals
Prototype-allows for thorough testing
Attempt to solve logistical problem
Configuring reveals strengths & weaknesses
Important for success of ERP implementation
1. As the ERP consultants configure & test the prototype they
attempt to solve any logistical problems inherited in the BPR
before the actual go-live implementation.
2. STRENGTHS & WEAKNESSES
1. Configuring a company’s system reveals not only the
strengths of a company’s business process but also- &
perhaps more importantly- its weakness.
2. It is vital to the health of the company & to the success of the
ERP implementation that those configuring the system are
able to explain what won’t fit into the package & where the
gaps in functionality occur.
TESTING:
1. This is the phase where you try to break the system.
2. Here we reach a point where we are testing real case scenarios.
3. The system is configured & now we must come up with extreme
case scenarios- system overloads, multiple users logging on at
the same time with the same query, users entering invalid data,
hackers trying to access restricted areas & so on.
4. The test case must be designed specifically to find the weak
links in the system & these bugs should be fixed before going
live.