Erp Implementation Lifecycle

ERP Implementation lifecycle
Presented By:
Zahid Hussain
Nilambar Kr
Ranjan Kumar Singh
What is ERP?
 Enterprise resource planning (ERP) covers the
techniques and the methods employed for the
integrated management of businesses as a whole
from the viewpoint of the efficient use of the
management resources , to improve the
efficiency of an enterprise.
 ERP packages are integrated software packages

that support the above ERP concepts.
ERP Lifecycle
 ERP Lifecycle highlights the various stages in the
implementation of ERP .
 The ERP implementation project goes through

these different phases of the ERP lifecycle
implementation.
Different phases of the ERP implementation
1. Pre-evaluation Screening
2. Package Evaluation
3. Project Planning phase
4. GAP analysis
5. Reengineering
6. Configuration
7. Implementation Team Training
8. Testing
9. Going Live
10. End-User Training
11. Post Implementation
Company Management Pre-selection Process ERP Vendors
Package Evaluation
Project Planning
Gap Analysis Reengineering Configuration
Implementation Team Testing End- user Training

Training
Going Live
Post-Implementation Phase
ERP implementation Life Cycle

Pre-Evaluation Screening
 Search for the perfect package.
 Infinite number of ERP vendors.
 Screening eliminates those packages that are

not at all suitable for the business process .
 This screening is done on the basis of the product

literature of the vendors, external consultants
etc.
Package Evaluation
 This is one of the important phases of the Erp
implementation ,because the package that one
selects will decide the success or the failure of
the project.
 Implementation of ERP system involve a huge

investment ,so once a package is purchased, it is
not an easy task to switch to another one. So it is
a ‘do-it-right-the-first-time’ proposition.
 The objective is to find a package that is flexible

enough to meet the company’s needs, that is it
may be not a perfect fit but a ‘GOOD FIT’.
Cont…
 Once the packages to be evaluated are

identified , the company needs to develop a
selection criteria that will permit the evaluation of
all the available packages on the same scale.
 While evaluating the following points must be

kept in mind:
- Should be user friendly.
- Regular updates must be available.
- Complexity.
Project Planning
 In this phase the implementation process is
designed.
 In this phase the details of how to go about the

implementation are decided.
 Time schedules ,deadlines etc for the project are

decided.
 Roles are identified and the responsibilities are

assigned.
Cont…
 The implementation team members are selected
and the task allocation is done.
 This phase decides WHEN to begin the project,

HOW to do it, and WHEN it should be completed.
Gap Analysis
 This is the most crucial phase in the ERP
implementation.
 This is the process through which the companies

create a complete model of where they are now,
and in which direction will they opt in the future.
 The model helps the company to anticipate and

cover any functional gaps.
Cont…
 It has been estimated that even a best ERP
package, custom tailored to meet the company’s
needs, meets only 80 % of the company’s
functional requirements. The remaining 20 % of
these requirements present a problematic issue
for the company’s BPR.
Reengineering
 It is in this phase that human factors are taken
into consideration.
 While every implementation is going to involve a

significant change in number of employees and
their job responsibilities, as the process becomes
more automated and efficient, it is best to treat
ERP as an investment as well as cost cutting
measure rather than a downsizing tool.
Configuration
 This is the main functional area of the ERP
implementation.
 Here in this phase a simulation a PROTOTYPE-

that is a simulation of the actual business
processes of the company will be used , so that
the company can carry on with their work when
the mapping process is taking place. The
prototype allows for the thorough testing of the
“to be” model in a controlled environment.
 Through this the consultants configure and test

the prototype and attempt to solve any inherent
problem in the BPR before going live.
Cont…
 This also helps to reveal the strength and the
weakness of a company’s business process which
enables those who are configuring the system to
point out what fits into the package and where
the functional gaps occur.
Implementation Team Training
 Takes place along with the process of
implementation.
 Company trains its employees to implement and

later, run the system.
 Employee become self sufficient to implement the

software after the vendors and consultant have
left.
Testing
 In this phase ,we try to break the system.
 That is we try to find the weakest link so that it

can be rectified before going live.
Going Live
 The work is complete, data conversion is done,
databases are up and running, the configuration
is complete & testing is done.
 The system is officially proclaimed.
 Once the system is live the old system is

removed and the new system is used for doing
the business.
End-User Training
 In this phase the actual users of the system are
identified and trained on HOW to use the system.
 This training is very important because the

success of the ERP system lies in the hands of the
End-users.
 This makes this phase very crucial.

Post -Implementation
 Once the implementation is over, the vendor and
the hired consultants will go.
 To reap the fruit of the implementation it is very

important that the system has wide acceptance.
 There should be enough employees who are

trained to handle problems those crops up time
to time.
 The system must be updated with the change in

technology.
Cont…
 The post-ERP organisation will need a different
set of roles and skills than those with less
integrated kind of systems.
 However, an organization can only get the

maximum value of these inputs if it successfully
adopts and effectively uses the system.
Thank you….

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ERP Implementation lifecycle

 ERP packages are integrated software packages

 The ERP implementation project goes through

Gap Analysis Reengineering Configuration

Implementation Team Testing End- user Training

ERP implementation Life Cycle

 Infinite number of ERP vendors.

 Screening eliminates those packages that are

 This screening is done on the basis of the product

 Implementation of ERP system involve a huge

 The objective is to find a package that is flexible

 Once the packages to be evaluated are

 While evaluating the following points must be

 In this phase the details of how to go about the

 Time schedules ,deadlines etc for the project are

 Roles are identified and the responsibilities are

 This phase decides WHEN to begin the project,

 This is the process through which the companies

 The model helps the company to anticipate and

 While every implementation is going to involve a

 Here in this phase a simulation a PROTOTYPE-

 Through this the consultants configure and test

 Company trains its employees to implement and

 Employee become self sufficient to implement the

 In this phase ,we try to break the system.

 That is we try to find the weakest link so that it

 The system is officially proclaimed.

 Once the system is live the old system is

 This training is very important because the

 This makes this phase very crucial.

 To reap the fruit of the implementation it is very

 There should be enough employees who are

 The system must be updated with the change in

 However, an organization can only get the

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