Enterprise resource planning or ERP is an integration of software modules to enhance the performance of resources in an organization. It is a key way to achieve business profit in global market field. Today, ERP is one of the commonly used software packages by small and medium sized companies. Implementation of ERP helps business owners in achieving a complete control over the infrastructure of company including inventory control, human capital management, order tracking and customer relationship management. Now, let's see in detail some of the common ERP troubles and their solution for overcoming the performance error in an organization.
Implementation process of ERP software package should be done after doing a well research. Before implementing the required ERP software, it is advised to have a good plan of business infrastructure, functions and strategies. Lack of proper infrastructure is one among the main ERP troubles faced by companies. Designing a project infrastructure is the best recommended solution for overcoming this problem. It helps in better utilization of available resources and enhanced production control at affordable cost. Failure of operation due to lack of proper infrastructure is a common trouble occurring in ERP implementation. Proper planning reduces failure rate of operation, arranges required resources needed for production and helps in successful sap pp course online functioning of ERP software.
Lack of proper communication between vendor and company is one among the main reported troubles of ERP. It may lead to unsatisfactory output with no profit. In order to known the real time needs of company, it is advised to have good communication between vendor and company. This helps in upgrading resource strategies as per the requirements of business. Improper support from vendor is another common ERP troubles faced by companies. Lagging of implementation process, delays in monitoring and improper access of real time data are some among the results due to lack of proper support from vendor. Choosing the right vendor according to business goal and strategies plays a vital role here. Improper selection of vendor is a commonly reported ERP trouble in business functions. Picking a reputed vendor after doing a well research is the best solution recommended for avoiding the occurrence of this problem.
Project design should be realistic so that company can easily reach its destination by performing assigned functions. Planning of unrealistic projects and waiting for return on investments is a major ERP trouble. In order to prevent this condition, it is advised to plan realistic projects so that company can easily reach targets in practical. Training is another important factor coming under the list of ERP troubles.
For knowing operational functions and benefits of a new ERP system, employees have to be properly trained. Training time and training fee of an ERP system depends on versatile factors like efficiency of employees, size of software package, vendor services and support. Choosing the resource system and software package according to needs is the best solution to solve this issue. Hidden costs, one among the main ERP problems have to be well evaluated before implementing the system. Proper planning and designing of business strategies is the perfect solution recommended for overcoming these ERP troubles.
In most offices and companies in the global arena, ERP training of their own people is extremely important if they want to progress and move forward. It is an important skill which is valued so much because after all the training, the person in charge of the enterprise resource planning system has a big responsibility of watching over the company's valuable information and making sure that it is being accessed by the right people. Right now, employees coming from the different departments of any given company, such as human resources, sales and marketing, supply chain management and production planning are ready and willing to undergo enterprise resource planning training, get certified for it and create for themselves better opportunities in their line of work in their existing company or in other ones.
But from the standpoint of the company, the ironic thing is that they spend so much money on purchasing software from ERP companies yet they fail to invest more time and effort in the training of their employees. Which is why experts say that most disasters in ERP integration is (and apparently, there seems to be quite a lot of them) usually attributed to the person in charge's lack of skill to handle more complex programs and problems, which is also the fault of a lack of more in depth training. Most experts say that if a company spends so much money on their enterprise resource planning software but does not allocate enough money for the training of their employees will end up with average skills that will end up failing to meet the implementations of the system, and they fall short of meeting the returns of investment that was expected in the first place.
And according to research, the companies that do have the budget for better enterprise resource planning training were able to meet their goals, thanks to the seventeen percent of their total budget (which also includes the software itself and its implementation in the system) on the training. Interestingly, the companies that end up spending less than thirteen percent of their total budget for enterprise resource planning training are actually three times bigger than the companies that do invest more. So one can see how it is necessary to provide employees with training - especially those coming from varied backgrounds and departments in the organization (from top management to the actually team of ERP handlers) to really have a good return of investment.
For training to be successful, the employees need to be certified by the skilled professionals coming from the enterprise resource planning companies themselves. There are internationally recognized courses which provide certificates after rigorous training to ensure that ERP handlers will be able to do so with confidence and will be able to meet and deal with any situation effortlessly.