Contemporary Living is a large furniture retailer which operates 80 stores acros

Question

Contemporary Living is a large furniture retailer which operates 80 stores across the nation with their strategic focus shifting towards developing a strong operational and marketing plan. They want to reduce administrative costs, increase customer relations, improve supplier relationships and provide superior customer service through stock availability and consistent pricing across stores. The products sold are made to order. You have been chosen by management to lead a team of five from your organization to select and implement an ERP system and have been asked to; write a report about the implementation process. The report must include the following: What criteria would you use to choose your team mates? Describe your process in selecting the right ERP system which will meet the needs of the company elaborating on your consideration. Describe your implementation process. How would you address the change issues due to ERP implementation and how would you manage the resistance at your organization? How would you evaluate the success of the implementation?

Explanation / Answer

Enterprise Resource System(ERP) is the software that is used to integrate all the business functions. Organizations want to implement ERP system as they can have all the functional and techical aspects under one software. ERP software can be customized according to the business requirements.

A company chooses ERP system based upon its scope. If business function requires customer related functionalities they go with CRM, if it requires all the business components such as financing, controlling, material manging they go with ERP ECC which is Enterprise Core Component. Based upon the business conditions and requirements company choses vendors which provides ERP software. Around 60% of the ERP market is held with SAP followed by microsoft Dynamics, Oracle, Peoplesoft etc.

Implementing ERP software requires converting the legacy data into into ERP data. It requires understanding of the business functions. Here I discuss the five step methodolgy that organisation follows in implementing ERP software.

The first phase is Project Preparation. In this phase both the functional and technical consultants are choosen from the organisation. This selection is based upon the business function of the client. If client wants reports to analysis the data, Business Warehouse consultants are added to the project. In thia phase all the teammates are grouped for the project.

The second phase is business blueprint where it analysis the roadway to implement the ERP software. Next phase is realization where the entire plan is revaluated and then go for next phase final preparation and finally the system is placed for Go-Live.

After implementation to address the changes Support team has to bes setup to address the issues from the end users. Based upon the priority the tickets from the users are to be handled.

Evaluation is done based upon the end users response. After having end user training, they have to be satisfied. Apart from this legacy data has to be completely changed in to ERP data so that there would be no issues with the business functionality.

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