Top 10 ERP Mistakes And How To Avoid Them
Many businesses accept the importance of ERP and strive to integrate the best possible ERP with their business operations. However, before installing any ERP solution, it is crucial to learn some of the important considerations in relation to this.
ERP helps an organization in streamlining the workflows. Still, it is important to be aware of errors businesses make. These mistakes can ruin the whole ERP installation process and will disappoint you. To prevent the occurrences of any disaster, you can go through the below given 10 common mistakes. Try and avoid them by all means to achieve the maximum productive output.
Here are the top 10 ERP mistakes and how to avoid them :
1. Indulge in unrealistic planning
Planning is crucial when it comes to conducting any ERP activity or installing ERP software. Businesses usually fail to consider the vitality of resources and time that are needed to implement any new solution into the business process.
Hence, it is recommended to run an internal audit of business processes to find out the areas that can be benefited from the new solution and assist an enterprise in achieving maximum impact. Such solutions have to work efficiently with third-party software.
2. Businesses fail to run active load testing
The enduring capacity and strength of your ERP solution will be evaluated with load testing inspired by real-world simulations. A small set of users cannot test it properly. If you are choosing an ERP in UAE without the proper evaluation and trial use, you might end up losing your time and money. In order to make sure the ERP software works perfectly as per your requirements, see as many ERP demos as possible and test it properly. This is why discovery phase is important to an ERP project.
3. Underestimate collaboration
Implementing a new ERP solution is a matter of concern for every business department. The organization must ensure that buy-in comes from every department from all levels. Many organizations fail at this stage as they focus on the decisions and comfort of key team members and executives. Evaluation of ERP software should be discussed within all departments of the organization. The opinions and suggestions of each department should be given importance while considering a new ERP since they are the end users of the product.
4. Fail to conduct pilot programs
A pilot program is also called a feasibility study or experimental trial. An enterprise must roll out a pilot program for every stage of ERP implementation, and not stay limited to the first level deployment stage. The pilot program will help gather valuable data for testing and allow users to give inputs in the design.
5. Stay ignorant to the workforce training
If you want to get everyone ready for the use of the new ERP solution, the easiest and effective way is to make training role-specific and situational. The training should allow your staff to conduct live simulations in order to understand the ERP solution better. Most ERP software providers give free training to the users. Make sure all your users are trained well enough to use the ERP properly. Also, training should cover all the features of the ERP solution.
6. Not considering compliance issues
An ERP solution, similar to any other business management software, should adhere to industry rules and other compliances. When you are considering an ERP system in Dubai, UAE, make sure it is an FTA-approved VAT-enabled ERP software.
7. Not paying attention to data sources
An ERP solution can run with accuracy and efficiency only when the data it is fed with is accurate and of quality. If you fail to review the data source, it will reveal data gaps and identify the data you have to run your organization. Better to consider an ERP vendor who can host your data either on cloud or on premise.
8. Fail to consider the legacy systems
Make sure you keep only those business management systems running that can be integrated with the existing or new ERP solution. This way, you can cut the cost related to the maintenance of legacy assets and save the spending on their upgrades and support.
9. Fail to come up with any maintenance strategy
An ERP implementation process will be incomplete if you fail to maintain and improve the solution regularly after installation. Preventative maintenance of ERP solutions helps leverage ERP solutions to maximize your ROI.
10. Choose the wrong ERP vendor
Sometimes, businesses fail to leverage ERP solutions merely because they lack the in-house expertise or manpower to scrutinize and create ERP solutions.
Partnering with a third-party ERP service provider having experience in deploying ERP solutions for businesses operating in your sector is suggested. Such service providers will be familiar with the market challenges that businesses like you face and can build solutions that suit your organization’s needs.
Conclusion
ERP helps to improve enterprise operations. With sophisticated and modern solutions, businesses can deal with several complex issues. Implementing a good ERP software is a big investment for any company and most of the company uses an ERP for minimum of 5 years; it is always better to choose an ERP that relevant to your business and fits all your requirements, rather than going for brand name and style.
