The Trouble With Software (and what to do about it)


ERP

Posted in ERP by Ernie Schell on August 31, 2011

Please add your comments, insights, issues, and gripes about ERP Applications below.

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2 Responses to 'ERP'

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  1. Ernie Schell said,

    Keean Persaud, Managing Director, Eval-Source, has written in a commentary on SupplyChainBrain that “We have seen cases where companies buy a software application for one main feature that’s needed but which fails to meet many other requirements. Typically, in such a short-sighted buying process, the organization only uses a fraction of the functionality the system is capable of delivering, usually about 15 percent….Our research illustrates that 65 percent to 75 percent of companies do not use their ERP system to its maximum performance capabilities. In many cases, organizations are unaware of these feature/functions and are surprised that they have something that has already been paid for but not in use. The issue of not recognizing features or business requirements is fundamental in selecting the correct software for your company.” The conclusion: “An impartial software evaluation process must consider non-tangible and tangible aspects, strategic organizational fit, proper requirements gathering and prioritization, budget formulation, vendor viability, implementation/consulting cost, a documented, structured evaluation process and project scope…. A proper evaluation process can sometimes identify red flags with potential vendors and solutions and save the headache of implementing the wrong solution.”

    I have encountered the same syndrome, of course, in my consulting work with companies looking for an order management, ecommerce, and fulfillment solution. When I met with one company a few years ago it was the first time that all departments in the company had a chance to sit around a table and discuss their needs, requirements, goals, and objectives for an enabling solution. It soon became clear from helping them share their combined knowledge that most of the really important features and functions they sought were already in the system they had, but they were not all aware of them. They ended up staying with the “legacy” application and saved huge amounts of time, money, and aggravation!

  2. Ernie Schell said,

    Which is the dog and which is the tail?
    “Managing Change Effectively with ERP” – Epicor White Paper


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