Define your critical product requirements.

Develop a focused list of solutions. Analyze vendors strengths and weaknesses.

Determine which solution is best for you.

Contract Negotiations.

Not knowing what you really need in an ERP package

Not recognizing the uniqueness of the business

Not choosing the most qualified ERP software vendor

Not giving the attention it needs Not investing for long term

Hershey Foods--A 19 percent drop in earnings was caused by an incompetent ERP implementation that wreaked distribution havoc during one of its most profitable seasons in the US: Halloween.

FoxMeyer Drugs--This pharmaceutical distribution company was forced to declare bankruptcy after an unsuccessful ERP implementation.

Whirlpool--ERP implementation crippled its shipping system, leaving appliances stacked on loading docks and not delivered to paying customers for a full eight weeks.

Volkswagen--Significant delays in parts shipments caused product inventories to build up to costly levels.

People who have developed the ERP packages

People who have invested huge amounts of time & effort in R&D, to create the packaged solutions

People who come up with innovations that make the packages more efficient, flexible and easy to implement and use

Practical DemonstrationsCompetitive EdgeOn the basis of StudyVendors credibilityFlexibility of the vendor

Source: AMR Research,2007

Responsible for fixing any problems that the implementation team encounters in the software

Provide initial training for the co’s key users Demonstrates the product as it exists and

highlights the available options Explains how system works, not to show how it

should be implemented Plays an important role in project support

functions and must exercise the quality control w.r.t. to how the product is implemented.

Fills gaps between the package and the actual business processes.

Functional fit with the organization's business practices Degree of integration among components of the ERP system Flexibility and scalability User friendliness Quick implementation Ability to support multisite planning and control Technology--Client-server capabilities, database independence,

security Availability of regular upgrades Amount of customization required Local support infrastructure Costs -License, training, implementation, maintenance,

customization, hardware requirements

Are professionals Specializes in developing techniques and

methodologies dealing with implementation

Are experts in administration, management and control.

Can be at project manager, team leader, team member, service representative and end user position

Management-focus primarily on function of management as it relates to the organization of resources and business process flows

Application-focus on the process of communicating, teaching, demonstrating, and configuring software for the business process flows.

Technical-deal with technical issues such as database conversions, source code modifications , operating systems, software installations.

Administer each of the phases of the implementation

Bring the know-how of the package and implementation

Responsible for analyzing and understanding the customization issues

Alerts the co’s management about actions and decisions to be taken

Creates knowledge base and train sufficient people so that the knowledge of the project doesn’t depart with them when they leave

Contract is an agreement between two or more people to do something, especially one formally set forth in writing and enforceable by law

Company should contract with all those parties who are important for the success of the ERP project

SAP (Systems, Applications and Products in Data Processing) is the global market leader in ERPs; it has approximately 30 to 60 percent of the world market. The company spends a large percentage of its revenues in research and development.

Oracle is the second-largest software company in the world. Its ERP product, Oracle Applications, includes the popular Oracle Financials module. It has the reputation for developing a product that can be interfaced with others to create a best-of-breed ERP package.

Microsoft is well known in IT industry but cater only to larger companies with products like1) Microsoft ERP Navision Software 2) Great Plains 3) Solomon 4) Axapta

PeopleSoft has its origins in human resource management software that evolved to a full feature product with the addition of other modules. However, its strength still remains its human resource management systems. PeopleSoft has a major presence in the US federal government.

Baan has developed a number of componentized products. Recently, it has struggled financially because of questionable financial reporting practices and changes in leadership. However, it is still a relatively dominant player in the ERP market.

JD Edwards has a product called OneWorld with origins in the AS/400 environment. Its target customers are primarily smaller organizations wiht less than 2,000 users.

SD: Sales and Distribution MM: Materials Management PP: Production Planning QM: Quality Management PM: Plant Maintenance HR: Human Resources FI: Financial Accounting CO: Controlling AM: Asset Management PS: Project System WF: Workflows IS: Industry Solutions

SAP ERP Solutions in TISCO (Tata Iron and steel company Limited)

Eiffel ERP software's implementation in U.S. based chemical company

Siemens AG of Germany wants to upgrade approx. 200 SAP R/3 installations in 36 countries to mySAP ERP between 2005 to 2009