Successful
Integration is a very significant part of ERP systems. The purpose of an ERP system is to integrate data from all aspects
and areas of an organization and unify it for easy access to all internal employees. ERP systems create integration by forming
a single database that works off of several software modules that in turn provide all the various departments of the organization
with business functions. The most typical cause
of failure in ERP systems is usually not technological. The most common errors are on the management side of the spectrum.
The need for change management is often underestimated until it is too late to fix the problem.
Maintaining Successful Integration
In
most cases employees are comfortable with their jobs the way they are in their current situation. Long time senior employees
are typically very resistant to change in the organization. However in order for successful integration of the new ERP system
it is important that there is much change with regards to the technological software the company uses. With this being said
it is evident how essential it is to make sure that all staff is on board for the new software updates. ERP systems are considered
company solutions and is not supposed to hinder the company is any way. To reduce the rate of failure and incorporate successful
integration, it is essential that management maintains a balance between stability and change such that the change is welcomed
by all and not considered to be someone else’s duty.
Strong Channel of Communication
It
is very important that through the implementation process and onward into the future that all divisions and levels of the
company are in contact with each other and that they devote time to maintaining the system. Communication is essential in
the maintenance and well being of the systems useful life. It has proven to be very beneficial to educate and train all employees
on the ERP system and not just the end users. ERP implementation consists of working with colleagues, upper management, employees,
and outside consultants. The system can eliminate any barriers from country to country, or organization to organization so
it is essential that a strong channel of communication is built and maintained throughout the entire life or the system. In order for the change to be accepted among the entire organization, there has to
be a common plan throughout the industry. To get the assurance from every staff member, everyone has to think their
requirements and objectives are addressed by the plan. Organizations also have to expand a common idea, a new way of working
mutually.
Technology
As
stated earlier technology is growing exponentially and at this rate it is important that any firm adopting an ERP system has
its staff up to date with the latest technology that is used with the new system. Commonly individuals in the workplace have
not been able to get a grasp on programs before they evolve again which creates a constant confusion gap. This is why it is
essential to have staff properly trained prior to using the new ERP system.
Source:
http://www.hec.unige.ch/recherches_publications/cahiers/2002/2002.07.pdf
Adopting
the Change Effectively
Any
organization can effectively implement change management to allow ERP software to be successful. Staff training is essential,
and can illustrate the impact of employee measures in other areas. All staff must become accustom to a new focus. They should
no longer focus on their own job, but focus on the whole organization. What they do in their area has impacts in places they
may never have considered. Employees also need to be kept up to date of how the change will be completed, and the expectations
of them during this change. If the staff is aware that the implementation will be complicated and time consuming, they will
be less likely to reject the system when something goes incorrect.
Source:
http://ftp.informatik.rwth-aachen.de/Publications/CEUR-WS/Vol-72/007%20Appuswamy%20ERP.pdf
