For
the implementation of any project in the world, there can be very important
critical factors exist which ensure the successful development and
implementation of the project. In a similar context, the ERP system which is a very
large and complex system in the world also has some critical factors for its
successful implementation in the company. In this document, some very important
critical factors are discussed because the implementation of ERP is a very
complex and difficult task (Umble, Haft, & Umble, 2003). There are nine
different types of the critical factors identified in the research which are:
1.
The clear understanding of strategic goals
2.
Commitment by top management
3.
Excellent project management
4.
Organizational change management
5.
A great implementation team
6.
Data Accuracy
7.
Extensive education and Training
8.
Focused performance measures
9.
Multi-site issues
The list which is provided above is
the critical success factors of the successful implementation of ERP in the
company.
In
the very first point, the project manager must have a clear understanding of
the strategic goals of the company, its operations as well as a better
understanding of the criticality of the business operations. It is because the
understanding of goals will provide accurate data and direction that what the
system should do.
The
strong relationship, participation, and commitment are required by the
successful implementation through top management. Furthermore, the top
management team must be committed and responsive in every phase of development
and provide appropriate detail to developers because the commitment is the key
to success.
As
the project of implementation of ERP is very critical to handle, it requires an
effective and strong project management team and project management strategies
because every development phase and activity is connected.
In
the organizational change management, the company must have to consider to
bring change in the workplace and must have to educate the employees about the new
system. They must be encouraged to use implemented modules to educate them and
it will benefit to the testing team.
The
implementation team for this project must have the top-notch people who were
selected based on their skills, reputation, past achievements as well as their
excellent past experiences because they will have the knowledge to handle and
manage critical situations.
The
data which is entered or inserted in the system by employees must be relevant
to the business operations and must match with the field provided in the
system. The data accuracy is important because inaccurate data can generate
negative impacts on system operations.
The
implementation will be successful when the employees working in the company who
will be the operators of ERP, educated properly and trained to operate the system
and its functions. training is essential because of the complexity of the
system.
After
implementation and training, the project team must have to test all of the
components including integrated components of the system by applying testing
principles on the system to check the performance and accuracy of ERP.
Reference of the critical
success factors required for the successful implementation of ERP in a company
Umble, E. J., Haft, R. R., & Umble, M. M. (2003).
Enterprise resource planning: Implementation procedures and critical success
factors. European Journal of Operational Research, 241–257.