An ERP is a system software system that integrates day-to-day activities such as accounting, customer service, inventory management, human resource, and order management. Its most important feature is a centralized database shared among all departments. It increases productivity and reduces the chances of errors.’
Cloud ERP implementation is a huge step for an entire organization and marks a new beginning. The process of working changes completely after the installation of the system, and the employer needs to arrange training programs for the employees to understand the system. Therefore, an organization needs to use the best practices to ensure smooth and hassle-free installation. Some best practices are:
- Recognize your business needs: You need to know exactly what you want to make sure you make the most of the Oracle ERP Cloud system. You have to work on the needs and requirements of every department and create a comprehensive list of the requirements. Get to know about the challenges employees face and the ones that need to be resolved. Knowing the final goal and expectations from the system software will help you ensure that you get all those programs. Implementing ERP software will change the organization’s work; hence, it is the best time to decide how you want to run the company.
- Select an implementation partner: Choosing the implementation partner is of vital importance as the implementation process of the system software largely depends on the partner. Choose a partner who understands your business well, has industry-specific expertise, and understands how things function. It will smoothen the process and provide the best results.
- List the implementation tasks: After getting to know the organization’s requirements and choosing an implementation partner, the next step is to hand over the list of requirements to the departments and make them understand their role in the implementation process. For instance, the IT team needs to know about the software so that they know how to maintain the system afterward and fix minor faults if they occur. The finance department needs to know how to use the financials module of the system. The project team needs to know all about the software to customize the processes according to the requirements and so on.
- Create a realistic timeline: Next, create a realistic timeline and do not rush through the process. Implementing ERP modules takes time, so you need to be patient. It is best to divide the entire installation process into phases so that it doesn’t feel that it’s taking too long or you know if it is delayed. Further, you can also divide each phase into the timeframe required for each process. It could be a daunting task, but it will keep you updated throughout the process, and you will know if additional help is required. Just ensure that your expectations are realistic.
- Start with the most important: Now that the plan is ready, it’s time to start the installation process. Start with what’s the most important for your organization. As every organization has varied requirements, its priorities will also vary based on those requirements. Ensure that you prioritize based on your organization’s needs and provide ample time for the installation process.
- Mitigate risks: Like all projects involve some risk, ERP implementation also involves risk. However, you can reduce this risk by taking care of a few things. The most important is selecting the right implementation partner, software applications, and a team of knowledgeable people to work on the project. Additionally, ensure to get rid of outdated technology and old systems. They won’t improve performance and could become a hindrance to the smooth working of Oracle ERP software. Moreover, provide all the resources required for successful implementation and do not rush.
- Testing and training: After the installation, test the software system multiple times before launching. Keep making changes and make it more compatible and smooth working. Also, to expect that the employees will be proficient in using the system right after the implementation is unrealistic. You need to arrange the training and support sessions for the employee to understand the operations and give the hands-on experience with the system. Additionally, an easy-to-understanding user guide and video tutorials with
- Keep everyone informed: All the teams need to be in the loop about what’s going on and what needs to be done. Not just the teams involved in the implementation process but also everyone who will use the software and all the stakeholders. ERP system’s success depends on the people who will use it daily. Therefore their acceptance and involvement in the process are vital. The stakeholders need to be regularly updated about how things are going, whether the news is good or bad. The surprises could lead to commotion and confusion.
- Maintain budget: Keep track of the total cost of ownership (TOC). An organization deploys lots of resources and time for an ERP implementation and hopes to get maximum returns. However, they must calculate not just the cost of the software but also the cost of deploying external resources such as consultation fees or the salary of temporary employees hired to smoothen the process. Moreover, the company must decide what and where to make customizations in advance to avoid unexpected expenses or going over budget.
- Envision the future: ERP cloud is flexible and scalable. Therefore, keep it in mind when choosing the software. It is a long-term investment and will show impact after some time by integrating the day-to-day processes, speeding up the working, and increasing efficiency.
To sum up, implementing ERP cloud software is a big decision and requires healthy investment but gives a new life to your business, thus is a great decision. However, to simplify the journey, it is recommended to follow the best practices and choose the right implementation partner. Moreover, gathering insights and feedback from the end-users is vital as they are the most important aspect of the successful implementation. Your organization will experience added benefits if you integrate the ERP Cloud with Oracle EPM Cloud and Cloud HCM.