ERP (Enterprise Resource Planning) software has become very popular these days. This popularity indicates the success ERP has brought to them as ERP saves your work, time, and capital. But is it so easy to be successful using ERP? Besides the success rate, there are also statistics on how the system has failed in many cases.
It has now become more important than ever to investigate how the system seldom fails. ERP is not anymore bounded in a smaller area and used in huge companies these days. This is a new system to implement to your business. It is logical to face difficulties for new users. For those who are scared and confused about how to use ERP, we have come up with a proposition on how to use ERP to be successful in your business.
Functions of ERP
We know, ERP is an all-in-one system management software that helps you in your business. ERP is well liked for its ability to reduce expenses and increasing profits. It has six significant sectors where it works. The sectors are supply chain management, business intelligence, customer relationship management, financial management, human resource sector and manufacturing resource planning. They provide you with certain information that helps you in your business.
These sectors are not new in business but automating the manual system is a totally new concept. This is why you need intensive care in implementing ERP in your business to become successful. Let’s see how you can successfully use an ERP software.
Pre-Implementation Steps to ERP
We should run through a few steps before implementing ERP. Here are a few steps you can follow to have a successful implementation of the system:
Take Time to Understand the System
First of all, take your time to understand the new system that is to be implemented. If your company has just decided to use an ERP solution then take time to study and understand every little detail of your company as well as the process. This will help you to understand exactly in which sector your company needs the help of ERP the most.
Fix the Strategy
Once you are well aware of your company and the system it is time for you to plan or in other words fix the strategy. You just don’t wake up one day and start using ERP. The success of ERP needs proper planning. You have to decide if you want ERP in a simple, standard or advanced stage. Selection of projects, creating a task, setting a time and deadlines a plan for probable damage control all these should have a proper planning. You must have a backup plan too.
Taking Care of Budget
The purpose of using ERP is to maximize your profit with minimum investment. So budget is an important part here. You have to be careful in investment and in setting a goal for that investment. If the solution does not work as expected it can bring greater downfall than an expected interest. This is why you should never forget about the collateral damage when you are fixing a budget.
Groom Your Employees
You have to groom your employees in this new system. This is a common knowledge that your employees should undergo a training session every time a new system is introduced. You have to select the right group of people for appropriate works. A good team with proper training can take the system forward.
Supervise the Changes
After all those steps you will run the system. Then comes the most important part. When you have already started the new system, you have to supervise how the new system is going on. You have to observe both the positive and negative changes it brings in your business.
Of course, the automated system can help you keep your hands from system loss but it also needs regular software and customizations to bring out the best result. If you supervise closely then you will be able to see the shortcomings and work on those.
Don’t Rush into Anything
There is a phrase for this stage -“lead evolution not revolution”. You cannot bring great changes all at once. You have to move slowly to the change. Moving from manual process to auto or digital process will take such times. You will need regular meetings, teamwork, identify loopholes, mending them, suggesting improvements and then gradually adopt the system.
This is why there is a suggestion not to rush into anything rather go spontaneously and let the process come smoothly to your mastery.
Keep Spaces for Objection
You will always have to be open about objections. It is better to have a listening organization for that. As ERP is a new system for your company your staff, employees, vendors even customers will have something to tell. They will have their objections. Let them suggest, let them tell. This way you will find out where you should improve.
Adapt and Adopt
In the end, you will get used to the system. This will happen gradually. In order to do that you can have regular sessions after a project is done and discuss how much you have learned so far. This sharing will help everyone to add something to their boxes. With co-operation and sharing you will finally adapt and adopt the ERP system.
How the steps lead to success
These steps are suggestions on how you can start from scratch with something new. Adopting a new system does not always come smoothly. So we should always have a map on how we will walk through that road. The steps not only constitute a map of that but can also be said the safety measures. They can show you the way how damage can be minimum and profit can be maximum and become successful.
ERP saves you so many troubles at the same time it can give you troubles too. It is totally rational if a newcomer finds the system complex with its multiple functionalities. You look for suggestions to walk on the road. So here are some tips you can follow to avoid troubles. Say goodbye to all those troubles and start business with ERP in a fresh mood!