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Sales and distribution: Bidding, orders, shipping, merchandise returns, billing, customer service, price list management.
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Planning and operations: Production and materials planning, procurement, inventory management, bill of materials management
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Administration and finance: general ledger, budgets, financial statements, cash position, accounts receivable, accounts payable, payroll, capital assets
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How long does it typically take to implement an ERP system?
You need to allow on average between three and 12 months to put ERP software in place. The work is normally done in several phases, in line with the company’s priorities and the logical sequence of the modules to be integrated. The number of modules to be integrated and the availability of human resources for the implementation are also factors to consider.
What are the steps in the implementation?
The steps are more or less the same no matter what the scope and complexity of the enterprise resource planning system. Essentially they are: installation of the software and the database, analysis, configuration, importing master files (general ledger accounts, customer, supplier and product files), customization (reports and screens), testing, user training, documentation, migration of historical data, going live and post-implementation support. The entire implementation is overseen by rigorous project management.
What are the success and risk factors of an implementation?
A number of factors come into play with an implementation, including: objectivity, realistic expectations, availability of resources, shared vision, motivation and discipline, risk management, understanding business factors, needs and priorities, the quality of the relationship with the integrator, following specifications, defining roles and responsibilities, senior management support, the commitment of resources and the clarity of communications.
Do we have to work in parallel with the existing system?
With today’s proven software, it is no longer necessary to work in parallel with the new and old enterprise resource planning systems. In the past, given the lack of reliability and integrity of certain applications, particularly custom developments, it was necessary to ensure that all elements were functional and therefore to operate with the two systems simultaneously. Can you imagine duplicating your work today?
Some commonly used acronyms:
BI
BOM
B2B
B2C
CRM
EDI
ERP
MRP
MRPII
POS
WMS |
Business Intelligence
Bill of material
Business to Business
Business to Customer
Customer relationship management (also called XRM)
Electronic data interchange
Enterprise resource planning
Material resource planning
Manufacturing resource planning
Point of sale
Warehouse management system |
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