Generally it is considered that Enterprise Resource Planning
(ERP) systems are suited for larger enterprises. This believes is due to
several reasons like high cost of ownership, the complexity of implementation
and the continuous maintenance costs. Regular maintenance of ERP System is necessary since it works
on huge amount of data & regular maintenance of the software makes it
faster & reliable. However in last decades erp has made possible for large
sized organization as well as small sized business. Both types of organizations
avail benefits from erp software.
Though ERP is beneficial for SMBs (small and medium-sized businesses) but still
there are several obstacles especially during implementation & it create perception
that ERPs is suitable for large sized organization. There are several challenges
that arise during ERP implementation.
1.
ERP
Customization: The most common concern that arises during erp
implementation is customization. Since customization is done according to need
of the specific organization hence several problems arises during
implementation & after implementation. Every company has different way
hence it is necessary to do some adjustment while implementing enterprise
resource planning software. Sometimes customization need costly up gradation.
2.
The
users: Users are one of the important factors for successful implementation
of erp system. If the user does not know more about this software & does
not know how to operate it, the software may not be useful for the
organization. We are human & easily get confused. Hence an ERP user should
be trained & professional.
Investment in
Internal Hardware: Slow & heavy hardware are incredibly unproductive. Since
erp connects several departments of an organization hence it stores huge amount
of data & there is a need of significant amounts of storage so that the
software may give high work performance. A properly manager erp system with
proper hardware has the ability to bring more customers toward business &
increase customer satisfaction. Selection of a software package is necessary
but technical issues are also important & should be resolved. The work
station need to be revised for new system new hardware items may need to be
ordered, purchased, and replaced. The entire internal
network also need to be analyzed and modernized if required, and the speed and
bandwidth of the existing Internet access should be taken into consideration
along with possible technical concerns about the mobile devices being used.
Communication:
Communication is also a big factor for success of any enterprise resource
planning software. At every stage of erp implementation, communication between
employees is necessary.
These are some top challenges that arise during erp
implementation.
I do agree with all the ideas you have presented in your post. They’re really convincing and will certainly work. Still, the posts are very short for newbies.
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Implementation of ERP is not always simple, it can potentially create a lot of challenges depending on the way its managed.
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