Pitfalls in ERP Projects: 4 common Mistakes
that you should
definitely avoid
that you
definitely
If you want to achieve a certain result, you also need to know how to prevent failure. It’s not as much fun to deal with the pitfalls of an ERP project, but it’s necessary. Why do new implementations and cloud migrations still fail today? We present four problems that occur again and again in practice - and tell you how you can prevent them from jeopardizing the success of your project. ⚠️
1. Insufficiently defined Goals
When selecting your ERP system, you need to align your goals and initiatives from the start - this is one of the most important steps! An ERP system is not a magic solution to all your problems. But it can help you unlock new efficiencies, automate routine processes and relieve employees to be able to focus on business-critical tasks.
To take advantage of these benefits, you need to know where your pain points are. And how to solve them. Re-engineering business processes is often the first step. Once you find out what’s not working, you can consider what needs to change. And how you can achieve this. Then decide on a strategy and document the target state so that you reach your goal with a reliable roadmap.
Solution: identify weaknesses, develop your strategy and focus concrete goals.
2. Misaligned Solutions
In the demo phase, it is all too easy to be distracted by tempting additional functions that the system offers. Many companies invest in ERP systems that either have far too many functions or are not tailored to their needs. Even the best project manager can lose track of a multitude of technical solutions.
Cleaning out for Migration to the Cloud How to get rid of
old Customizations and
ensure your Ability to innovate
old
ensure
While it’s important to keep abreast of competitor activity, always remember that your business is unique. Make your decision based on the specific needs of your business, your business goals and your current operational requirements.
Solution: focus on the needs, goals and requirements of your own business.
3. Lack of Acceptance by Management
An ERP implementation requires a lot of time, attention and commitment from your employees, especially if they have to reconcile these additional tasks with their day-to-day business. However, they should not be the only ones working on the new project. Your leadership team should also be involved and proactive from the start. If the managers don’t get involved, there’s a good chance that the project will stall. Or not get off the ground at all.
Your project team needs strong support from the management team. The more actively management gets involved, the more likely it is that the other employees will also join in. And vice versa. This helps you in change management to overcome resistance and gain the acceptance of the user.
Solution: the management team is involved and proactive right from the start.
4. Inadequate Change Management
It is human nature to be suspicious or even resistant to change. You are likely to encounter some resistance every time you implement a new technology or change a process. If you develop a plan early on how to deal with resistance to the status quo, you can address these issues early and solve them before they spread.
Make sure your communication channels are open, clear and coherent. That way you can answer questions as soon as they arise. And you and your project will remain transparent and credible. In addition, you should publish regular updates on your project, develop training and do everything necessary to support your team members in the transition to the new technology.
Solution: there is open and clear communication, training and early support for the team.