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The ERP Selection Process
Survival Guide
MOSTAFA MAZEN
MOIS 549
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TOC
Introduction
What is an ERP System?
When to Consider an Enterprise-Wide Solution?
System Evaluation
Solution Selection
Key Points to Remember
Introduction
Overview of Steps an Organization Goes Through for
a Successful Evaluation Process
Not an Easy Task
All Steps are Important
Knowledge and Communication are Key
What is an ERP System?
Integrated Business System
Provides Decision Support Tools to Manage and
Grow
Provides Easy Access to Needed Data in a Timely
Manner
Notifies the Concerned Personnel of any Data
Change, Enabling Them to Act Accordingly
When to Consider an Enterprise-Wide Solution?
Fast,
Uncontrolled
Growth
Unknown Exact
Financial
Information
Inaccurate Job
Costs
Inconsistent
Inventory
Duplication of
Effort to Get
Vital Data
Setting
Inaccurate
Customer
Expectations
Missing
Promised
Delivery Dates
Unknown
Operations
Performance
Current System is
Hindering Growth
Inaccurate Production
Requirements
Forecasting
System Evaluation
Select the Best and Brightest Employees for a Cross-
Functional Evaluation Team.
Appoint One as a Leader to Report the Progress to
the CEO
1
2
3
4
5
6
System Evaluation
Team Members Must Learn Reasons and Conditions
for Needing the System
They Should Know What the Final Solution Should
Look Like
Each Member Needs to Inform the Rest About the
Functional Area they Represent
1
2
3
4
5
6
System Evaluation
Assessing the Company Resources:
Personnel
Technology
Workflow
Performance
1
2
3
Measurement
4
5
6
System Evaluation
Identify the Elements Required to Meet the
Company’s Goals:
Current
The
Business Approach’s Limitations or Problems
Business Core Competencies (Competitive Edge)
Requirements
for a Solutions Partner (Implementation,
Features, Functionality, Service, Tools, Customer
Service, and Support)
1
2
3
4
5
6
System Evaluation
When Evaluating and Selecting the ERP, Identify the
Most Important System Functionality
1
2
3
4
5
6
System Evaluation
Additional Items
Industry Specific vs. Generic?
Scalability?
Configurable?
Flexibility and Cross-Platform?
Functions and Features Availability?
1
2
3
4
5
6
Solution Selection
Review
Potential
Software
Products
Eliminate
“Unfit”
Packages
Final
Review
List of 3-5
Vendors
Schedule
Detailed
Product
Demos
Check
Vendor’s
References
Visit a
Similar
Customer
of the
Vendors
Top Management Key Points to Remember
More Information
Increase Productivity
Improved Business Processes and Organizational
Change
CEO Effective Involvement is Essential
CEO at Arm Length from Daily Details
Implementation Time is Underestimated
• Software
Hardware
Upgrade is Recommended
• Hardware
• Training
• Consulting
• Opportunity
Support
StaffCost
Needs Training
Internal Costs Close to External Costs
The End
Thank You for Listening.
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