The evaluation/selection process is one of the most important phases of the ERP implementation, because the package that you select will decide the success or failure of the project. Since ERP systems involve huge investments, once a package is purchased, it is not an easy task to switch to another one. So it is do it right the first time' proposition. There is little room for error.
The most important factor that should be kept in mind when analyzing the different packages is that none of them are perfect. The idea that there is no perfect p(!ckage needs to be understood by everyone .1n the decision-making team. The 'objective of the selection process is not identify a package that covers each and every requirement (a perfect fit) he objective ise that is flexible enough to meet the comes, or in other words, software that could be customized to obtain a 'good fit'.
According to S Shankarnarayanan, Senior Consultant with Baan Infosystems India Pvt. Ltd. (ERP Systems - Using it to gain a competitive advantage), some important points to be kept in mind while evaluating ERP software include:
. Functional fit with the company's business processes
. Degree of integration between the various components of the ERP system . Flexibility and scalability
. Complexity
. User friendliness
. Quick implementation
Ability to support multi-'site planning and control
Technology - client/server capabilities, database independence, security Availability of regular upgrades
Amount of customization required
. Local structure infrastructure
. Availability of reference sites
. Total costs, of license, training, implementation, maintenance, customization
and hardware requirements.
It is always better to form a selection or evaluation committee that will do the evaluation process. This committee should comprise of people from the various departments (the functional experts), the top management (preferably the cia or COO) and consultants (package experts). The selection committee should be entrusted with the task of choosing a package for the company. Since all business functions are represented and the management is involved, the package that is selected will have company-wide acceptance. The package experts or the consultants can act as mediators, or play the role of explaining the pros and cons of each package. |