ERP Methodologies, Strategies and Best Practices essay
The use of Enterprise Resource Planning (ERP) has been described by Davenport (1998 p. 121) as “…the seamless integration of all the information flowing through a company’s financial and accounting information, human resource information, supply chain information, and customer information.” This paper is dedicated to the comparison and the choice between ERP methodologies, strategies and tactics developed by four well-known consultant groups.
Firstly, it needs to be pointed out that the use of consultant is recommended because it allows managing an ERP more effectively. Secondly, the tactics of four consultant groups for ERP management/development presented in the case look very much the same at the first glance. This point is confirmed by Tawhid (2009, p.151). This researcher claims that ‘In spite of the diversity of ERP systems offered on the market, the architecture and the functioning of these software packages are similar.’ (Tawhid, 2009) The method of their organization is modules and each of them covering one of the major functions of the company. (Tawhid, 2009) Nevertheless, these consultant groups often focus the efforts on different elements of the Enterprise Resource Planning Systems and that is the key difference.
The majority of presented ERP methodologies are developed by world known professionals in this field, such as Ernst & Young, Deloitte & Touche Consulting Group and SAP. The most interesting approaches are Accelerated SAP (be SAP) and The Total Solution by Ernst & Young LLP. The Total Solution seems to be more creative and concentrated on staff and available opportunities, while the ASAP Roadmap deals with the technical area.
The Total Solution developed Ernst & Young LLP consists of five components: The Value Proposition, Reality Check, Aligned Approach, Success Dimension, and Delivering Value. It may be noticed that for instance the stages of Rapid Response approach developed by Gateway and Deloitte & Touche’s methodology are very similar to The Total Solution components (basically, the components are almost the same). The ASAP Roadmap also involves five stages: Project Preparation, Business Blueprint, Realization, Final Preparation, Go live and support continuous change. What is really good about the ASAP Roadmap is that it’s very practical because it includes the examples, checklists, or templates as samples (so called Accelerators). It means that the universal basis for all ERP activities has been already created within the frames of ASAP Roadmap. This makes ASAP Roadmap really useful methodology because it will definitely ease the implementation of the planned ERP activities.
What is valuable and unique about the Total Solution is that it includes ‘the reality check’ element that may be used for assessing an organization’s readiness for change. The change is not a simple process and therefore the developers of the Total Solution allow organizations to making such assessment, and avoiding a possibility that the change does not match the reality of this organization. In addition, this methodology includes the analysis of people involved. The right mix of people, skills, methods and management is clearly important factor for effective ERP implementation and the Total Solution by Ernst & Young is helpful in this context. Teamwork is a crucial element of ERP successful implementation.
ASAP Roadmap also provides obvious advantages, for example, its quick implementation. According to the information presented in the case, the ASAP methodology may be implemented only in 6 months.
Overall, a conclusion could be made that both the Total Solution and ASAP Roadmap seem to be effective approaches to ERP implementation, each in their own field: the Total Solution seems to concentrate on management issues and strategy, while ASAP Roadmap is deals with technical area of the project.
