In today's rapidly evolving business landscape, companies need to leverage technology to stay ahead of the competition. The implementation of an Enterprise Resource Planning (ERP) system is one such technological advancement that can revolutionise the way businesses operate. ERP software integrates various functions within an organization, ranging from finance and human resources to supply chain management and production control.
Despite the numerous benefits these systems bring to modern-day manufacturing the failure rate is still very high. Here at MIE Solutions we have years of successful implementations under our belt and have used this experience to compile a list of the 4 most common issues that can occur.
System Functionality
There are so many different systems to choose from that all offer a different perspective when it comes to ERP. Choosing a system to suit your exact needs is a must considering if you get this wrong, you may be stuck with a system that instead of enhancing your operations, ties you down with extensive and expensive rewrites and customisations. Different packages offer different core features and are driven by different values and theories. For example, some are very good at handling financials and the accounting side of things, whereas others prosper when it comes to the front end of the system such as CRM
(Customer relationship management). Here at MIE, we are production, reporting, and costing driven and so that's why we stick to what we know and declare ourselves a production control-specific package.
Another important thing to consider is whether an ERP system has been built specifically for the manufacturing industry, this ensures you are dealing with a piece of software written specifically for your sector and by people who understand your needs without effectively trying to make a square peg fit a round hole. MIETrak Pro is written by manufacturing professionals for manufacturing professionals with over 25 years of experience in the industry.
Be Sure Of The Cost
The amount of times our sales team has walked into a manufacturing company to find out they have spent tens of thousands on an ERP system that is still ‘sat in the box’ is staggering. According to a Panorama ERP study, 74.1% of ERP projects exceed budget, so make sure you are clear of the financial implications from the offset. Be sure to question things such as the structure of the software (modular or complete), and potential charges for report changes,
and find out if the company has a tiered-based support contract.
Speaking on behalf of MIE and the way we do business. Report changes are covered by your annual support contract and we do not have a tiered system. Once on support, our support team is at your disposal to whatever extent you require. The system itself comes as a complete package so there are no bolt-ons, and once you have purchased the software it's yours. We are often complemented by our customers for our transparency and fair pricing. This is something we pride ourselves on and have built into our business strategy.
Speak To People In Your Shoes
So you have just had a demonstration by a potential ERP supplier that went well and they answered ‘yes’ to every question you threw their way. First things first, get them to show you there and then that it can do what they say it can do. Also, be sure to cross-reference their claims with people who actually use the system on a daily basis. Next, ask for a list of references that you can contact directly for an unbiased opinion and try to speak with companies who work within the same industry. Generally, if it works for them, there is a high chance it will work for you. According to Mint Jutras, a staggering 67% of companies reported that they needed a solution with more industry-specific functionality than their current ERP system. As I'm sure you will agree, this statistic alone makes the point I have just highlighted a major priority.
Make The Head Space Within The Business
Arguably the hardest part of the implementation process is balancing the day-to-day operations of your business with the training of your team on the new system. The companies we work with who invest in change management initiatives to ensure buy-in and involvement from all stakeholders are always the most successful in the implementation process. Training employees and getting their 'buy-in' will ultimately be the deciding factor on the success of implementation, a big part of achieving this is making sure your ERP provider offers robust training initiatives and are able to motivate your team in the belief that once up and running the system will enhance working operations.
At MIE Solutions we invest heavily in our world-class support experts and training providers making sure they are professional and knowledgable, not only in our ERP system but in the whole manufacturing process. Our training can be offered in the form of onsite, at our offices, or remotley to suit your needs and with unrestricted access to our help desk. Visit www.mie-solutions.co.uk/testimonials to hear what our customers say about us.
Conclusion
The general rule of thumb when looking at such an investment is to take your time. Make sure you have all of your questions answered and never just take the sales rep's word for it. Be sure to understand the implementation process as well as the ERP package itself as this is crucial in ensuring success.
At MIE Solutions we follow our proven 7-step implementation plan. If you would like any more information or would like to discuss your requirements in further detail then please either;
Email us: [email protected]
Call us: 01527 576444
Visit Our Website: www.mie-solutions.co.uk
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