How to Avoid ERP Implementation Failure in Your Organization

ERP applications are well equipped of delivering industry specific solutions but still large number of entrepreneurs fails to implement them. There are some simple and basic rules to follow, to avoid failures.

The most common reason of entrepreneurs failing to utilize ERP for benefits is the wrong selection of ERP software. Basically every organization has its typical work process and business flow and one has to first identify the process and the business flow and they need to choose their ERP, but in most cases the functional requirements are not being checked properly. Also there is a need of detailed study of the product and its characteristics else lack of the study will lead to a bad selection of the ERP system and which in turn makes most of the entrepreneurs fail in implementing ERP. There is one simple way of avoid this, before implementing any ERP system every one from top management to the end users of the company should be involved in detailed research of the product. If needed always take expert advices and services to plan the functional requirements of the company and an exclusive cross checking of the product need be done with the requirements, for an appropriate selection of the ERP.

Another reason of failing is the shortage of time and manpower required for implementation. Most of the time the employees are over burden with their regular work and when they give an additional responsibilities of implementation, they could not do it properly as they are already exhausted with their regular work. This leads to the failure of the implementation of the ERP. In order to get maximum out put from the existing staffs, proper time schedule shall be worked out for the implementation process and working hours of the employees.

One most important factor for the failure of the ERP systems is the misleading information given by the ERP vendors about the system. Some times budgeting becomes a factor of failure when ERP vendors could not give proper information about the installation charges and also investing on other third party tools. Lack of training to the employees leads to confusions and slow working which also causes failures.

In short one has to have proper knowledge about the product, should have a proper budget planning and appropriate training to the staffs to avoid the failure of implementation of the ERP for each and every entrepreneurs.

Read more information on the Causes of ERP Failure. Find a list of reputed ERP Vendors in India.