After you've decided on an ERP system, you must choose an ERP implementation strategy. In other words, you must decide whether you will roll out the software in stages, all at once, or some combination of the two.
Today, we'll discuss SAP implementation strategies to consider from Chris Salis. Big Bang Implementation A big bang implementation strategy involves transitioning the entire organization to the new ERP system in a single step. The main advantage of this strategy is that you can quickly start reaping the benefits of automation and efficiency that an ERP system can provide. To ensure the success of a big bang implementation, you must have completed all screening and provided all training before the transition date. A big bang implementation strategy is high-risk, high-reward. There is always the possibility of a system crash, so we recommend creating a backup plan to minimize the impact on your workflows. Finally, this approach is ideal for companies that only intend to use an ERP system for a few functional areas. Phased Rollout A phased rollout is a safer but more expensive method of ERP implementation that typically takes several weeks or months. Several factors, such as business department or location, can determine phases. The risks of failure are much lower because the average ERP implementation duration of the phased rollout is longer. The extra time allows you to iron out kinks so that everything works perfectly when the project is finished. It also means you'll have more time to focus on improving usability and adoption. Your users will appreciate the extra time they have to learn how to use your new ERP software. Parallel Adoption The organization uses its new ERP and legacy systems in a parallel adoption strategy. An organization can revert to its legacy systems if something goes wrong with the new ERP platform. Parallel adoption is frequently regarded as the lowest-risk strategy, but it is also one of the most expensive. Data must be entered into two systems simultaneously, increasing the risk of duplication. Hybrid Approach The hybrid approach combines the three approaches described above. You could use a big bang strategy to roll out some ERP modules quickly and then use a phased approach for the rest of the rollout. A parallel adoption for mission-critical processes on which your business depends could be added. Bottom Line Organizations have different requirements, and there is no one-size-fits-all approach to ERP implementation. When deciding between these SAP strategies, Chris Salis advises considering the following questions: What is the scope of our implementation? What is our risk tolerance? When can we expect a return on investment? What is our financial situation?
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Chris Salis
Chris Salis is a renowned name in the field of the tech industry. He has spent over a decade in providing technology solutions to businesses worldwide, and still prospering ahead to set up benchmarks through his effective leadership and management skills. Archives
August 2023
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