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    A PROJECT REPORT ON ERP MANAGEMENT

    SUBMITTED BY

    CHANDRA SEKHAR SAHU

    REGD NO-10KANHLIPGDMFT013

    NEW HORIZON COLLEGE,BANGLORE

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    STUDENT DECLARATION

    I hereby, declare that this Report entitled, A PROJECT REPORT ON E-COMMERCE, submitted in partial

    fulfillment for the award of Post Graduate Diploma in Management is a record of independent research

    work carried out by me.

    I also declare that this project is a result of my own effort and has not been submitted earlier for the

    award of any degree/diploma/associate ship/prize by New Horizon Leadership Institute or any other

    University.

    DATE:18/08/2011

    PLACE: BANGALORE

    CHANDRA SEKHAR SAHU

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    EXECUTIVE SUMMARY

    This study is done to get a comprehensive picture of the implementation of Enterprise resource

    planning in business process. The objective of this study is also to focus on the area where theERP can be useful to implement. It also covers the functionality, use of ERP in strategic planning

    and the role of ERP in cost reduction. This study also discloses the reality of actual need of being

    implementing the ERP in business process. During this study one would get a fair idea about the

    brief of the implementation of ERP, what was the business scenario before the use of ERP and

    what is the present scenario of after use of ERP. It also gives a concrete idea of the major area of

    failure of not successful implementation of ERP. The whole process of the ERP and the

    technical details are not included here But it is enough to give an through idea of what is ERP ,

    the need of ERP, cost of implementation of ERP, pros and cons of ERP, the process of ERP and

    last but not the least it also covers the different modules of ERP.

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    INTRODUCTION

    In 1990 Gartner Group first employed the acronym ERP as an extension of material

    requirements planning (MRP), later manufacturing resource planning [5][6] and computer-

    integrated manufacturing. Without supplanting these terms, ERP came to represent a larger

    whole, reflecting the evolution of application integration beyond manufacturing.[7] Not all ERP

    packages were developed from a manufacturing core. Vendors variously began with accounting,

    maintenance and human resources. By the mid1990s ERP systems addressed all core functions

    of an enterprise. Beyond corporations, governments and nonprofit organizations also began to

    employ ERP systems.

    ERP systems experienced rapid growth in the 1990s because the year 2000 problem and

    introduction of the Euro disrupted legacy systems. Many companies took this opportunity to

    replace such systems with ERP. This rapid growth in sales was followed by a slump in 1999 after

    these issues had been addressed.

    ERP systems initially focused on automating back office functions that did not directly affect

    customers and the general public. Front office functions such as customer relationship

    management (CRM) dealt directly with customers, or ebusiness systems such as ecommerce,

    egovernment, etelecom, and efinance, or supplier relationship management (SRM) became

    integrated later, when the Internet simplified communicating with external parties.[citation

    needed]

    In 2008, the Tennessee Board of Regents completed implementation on all major modules Finance, HR/Payroll, and Student for all 19 institutions in the state. The implementationincludes the integration of the technology centers1 into the Finance module by host communitycolleges. As of fall 2008, all institutions were operational with only follow-up training remainingand some historical data conversion left to do.

    The cost overrun for Tennessee-specific modifications was less than one percent of the totalcontract costs of just over $50 million. This is a testament to the excellent project management ateach campus and the oversight provided by the executive leadership beginning with thechancellor, the presidents, and all levels below.

    Roane State Community College began its implementation of the Banner ERP system in July2005 with the Luminis portal and finished the Student module in March 2008. The project tookthree and a half years. While our experience clearly involved implementation of SunGardssystem, the project management techniques and processes shared in this article are universal andmay be adapted to any ERP implementation. The advice is grouped by stage.

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    Before Implementation

    Before beginning the actual implementation, its a good idea to set the stage properly with thepeople who will be involved or affected by the new system:

    y Secure executive supporty Create anticipation in the community

    Secure Executive Support

    One of the first elements of any major project, including ERP implementation, is to gain thesupport of executive management. If they do not see the value in the project, then at best yourjob will be very difficult and at worst you will fail. As mentioned, executive management,beginning with the chancellor and the presidents, engaged in the planning process. The need forchange was clearly articulated to the executive staff at both the Board of Regents and theinstitutional level. For the institutions the need was clear; our legacy systems were COBOL-

    based flat-file systems that did not provide the type of real-time business intelligence needed forhigher education institutions today.

    Without executive support, the project is doomed to failure. Users perceive the project assomething the IT staff want and not an enterprise project. Without executive support, users anddepartment heads will not buy in and therefore will not feel the need to invest the time necessaryto implement a large ERP system successfully.

    Create Anticipation

    One thing you as a project manager can do is create anticipation. Once the RFP was awarded, Ibegan creating anticipation for the project by placing posters on all campus bulletin boards thatstated: ERP is coming Are you ready? This created curiosity among the faculty and staff. Ithen made presentations to key groups on campus including the Faculty Senate, AdministrativeCouncil, and Executive Council to explain what ERP meant, the anticipated timetable, and howall groups would be affected.

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    Planning

    When planning before beginning the ERP implementation process, set up the proper structures tosupport your efforts:

    y Conduct business process improvementy Set data standardsy Plan for team building

    Conduct Business Process Improvement

    One of the first steps in planning your project is to understand how you do business now. To dothat, you need to use the business process improvement (BPI) model. (See also Diane Galloway,Mapping Work Processes.2) Most of the functional users at Roane State had no training in BPI.To address that shortcoming, we brought in an outside consultant to train them in how to use BPIfor process improvement.

    Because one of the first steps in BPI is to catalog how you currently conduct your business, weasked key staff to conduct a process inventory. Each functional team was asked to identify themajor processes in their area and then map those processes for future reference. These processeswere to be compared to best practice process under the new Banner system.

    An additional idea behind teaching the teams business process analysis methods was to makethem aware of the cross-departmental coordination required by a relational database. The BPItraining was one method used to begin the process of sharing data. I would add that theresistance to the concept of cross-departmental shared data was extremely difficult to overcome,and the transition from flat file silos to shared data proved to be tough for our teams. The

    primary impact of BPI training was in revealing the interdependence of the processes performedby each functional area.

    Set Data Standards

    Data standards were addressed fairly early in the planning process. A data standards committeewas formed at the Tennessee Board of Regents level, and a model document was provided foreach institution. At Roane State, we formed our own data standards committee and modified thedraft document to meet local requirements. After the document was approved and distributed, wescheduled and presented data standards training for everyone who was to perform data entry atthe college. While this did not prevent duplicate entries, I believe it lowered the number wewould have had without the training.

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    Plan for Team Building

    Another important aspect of beginning a major project is determining how people will work with

    one another. To prepare our functional teams to work together and with other teams, I enlistedthe support of our Continuing Education department. I planned a series of training sessions onteam building and team dynamics for all members of functional teams. This prepared everyonefor the interpersonal dynamics and stresses that always occur when teams work on a task overtime.

    Other skills include group problem solving and conflict management. Additionally, the projectmanager should be skilled in, or have access to, group facilitation.

    Most systems are modular to permit automating some functions but not others. Some common

    modules, such as finance and accounting, are adopted by nearly all users; others such as human

    resource management are not. For example, a service company probably has no need for a

    manufacturing module. Other companies already have a system that they believe to be adequate.

    Generally speaking, the greater the number of modules selected, the greater the integration

    benefits, but also the greater the costs, risks and changes involved.[citation needed]

    Connectivity to plant floor information

    ERP systems connect to realtime data and transaction data in a variety of ways. These systems

    are typically configured by systems integrators, who bring unique knowledge on process,equipment, and vendor solutions

    Direct integrationERP systems connectivity (communications to plant floor equipment) as part

    of their product offering. This requires the vendors to offer specific support for the plant floor

    equipment that their customers operate. ERP vendors must be expert in their own products, and

    connectivity to other vendor products, including competitors.

    Database integrationERP systems connect to plant floor data sources through staging tables in

    a database. Plant floor systems deposit the necessary information into the database. The ERP

    system reads the information in the table. The benefit of staging is that ERP vendors do not need

    to master the complexities of equipment integration. Connectivity becomes the responsibility of

    the systems integrator.

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    Project Management Skills and Tools

    What do you need to begin?

    y Project management skillsy Tools for successy A scheduler

    Skills Needed

    A project manager is responsible for managing resources, time, and the scope of a project toensure the project stays on schedule and within budget.

    y Resources include people, equipment, and other material.y Time managementincludes task duration, dependencies, and meeting milestones.y Scope includes the size and requirements of the project.

    All of these tasks must be managed simultaneously.

    I cannot discuss project management in any detail here that would require an entire article byitself. However, you should have a basic understanding of tasks, slack days, critical paths, anddependencies. You also need to understand how dependencies and meeting milestones affect theoverall project. If you do not, I recommend taking a basic project management course before theproject begins.

    Tools for Success

    To assist you in managing hundreds of tasks and thousands of subtasks, you need the right tools.The project management tool of choice for the Banner project was Microsoft Project. MS Projectis a widely used and should be mastered by anyone in the role of project management. MSProject allows you to enter all tasks, set start dates and end dates, and create dependencies andsubtasks. The software can then track actual versus planned dates and calculate whether you canmeet the target milestones. Use of MS Project was instrumental in tracking the hundreds of tasksin each functional area at Sloane State over the life of the ERP project.

    In addition to project plans, our vendor provided each functional team with detailed task lists tiedto the project plans and linked with the training that team members attended. The task lists were

    separate from the project plans and used by the functional consultant and the functional teamlead. These lists proved more useful to the teams than the project plans in MS Project.

    Appoint a Scheduler

    The scheduler is an important role in managing the large number of tasks that will need to betracked during implementation. In some projects the project manager can perform this function,

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    but for large projects it is best to have someone else fill the role, especially if you have three orfour modules under way at one time.

    The scheduler works with the project manager to prepare project management schedules forreview by collecting status reports on tasks for a reporting period. The scheduler maintains

    contact with the team leads to collect their status on tasks and then reports that status to theproject manager. For our project, the scheduler also sent reports to the Tennessee Board ofRegents.

    Organizing for Success

    The organizational structure set up to support the ERP implementation can make or break theproject. Plan your teams carefully:

    y Organize cross-functional teamsy Plan for collaboration

    Organizing Teams

    One issue to address early in the project is ensuring that everyone knows this is not an IT project.Functional managers must take ownership. To accomplish this, they must be intimately involvedin the process. They must be part of the team.

    Teams must be created for project implementation, as well as for functional, technical, and

    executive management. Roane States team plan included an executive Steering Committee, a

    project manager, a Banner implementation team, six functional teams, and one technical team.

    The functional teams consisted of the Communications Team, the Portal Team, the StudentTeam, the HR/Payroll Team, the Finance Team, and the Advancement Team. Finally, a

    Technical Team consisting of programmers, analysts, and networking staff completed the roster.

    The teams were organized as shown in Figure 1

    ERP's scope usually implies significant changes to staff work processes and practices. Generally,

    three types of services are available to help implement such changesconsulting, customization,

    and support. Implementation time depends on business size, number of modules, customization,

    the scope of process changes, and the readiness of the customer to take ownership for the project.

    Modular ERP systems can be implemented in stages. The typical project for a large enterprise

    consumes about 14 months and requires around 150 consultants. Small projects can requiremonths; multinational and other large implementations can take years.[citation needed]

    Customization can substantially increase implementation times.

    .

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    Figure 1. Team Organization for the Sloane State ERP Implementation

    The Steering Committee, at a minimum, should consist of the president, the chief financialofficer, the CIO, and the chief academic officer. Others may be included depending on the sizeof the institution. Your organization will vary depending on the system you are implementing.

    The Implementation Team was made up of the team leaders from each of the functional teamsplus additional members from subteams such as Recruiting, Admissions, Financial Aid, andTechnical. This organization allowed information to be shared quickly across all teams andfacilitated coordination between teams.

    Functional team leads were key functional users from the areas indicated, generally thedepartment heads for the functional areas addressed by the ERP modules. These individuals werecritical to the success of the implementation. I cannot emphasize how important it is to selectknowledgeable personnel to fill these positions.

    Teams included staff members from the functional areas as well as staff members from cross-functional areas. Many of the functions cross departmental boundaries and need to closelycoordinate during implementation.

    One of the most important things you will do as a project manager is to get the team leaders and

    members to take ownership of their process. That means you must take a back seat in theprocess. One technique I used was to praise the teams in public at every opportunity. I alsoencouraged them to present the status on their teams activities publicly when given theopportunity and featured them in the project newsletter (discussed later). This identified themwith the activities of their teams. At some point, it becomes their part of the project. As theproject manager, your role is to encourage and to provide the resources needed by the teams.Additionally, you must remove barriers to the teams success.

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    Another aspect worth mentioning is the Tennessee Board of Regents ERP Steering Committee, astate-wide committee that included institution presidents and chaired by the chancellor. They metmonthly to review the progress of implementing the ERP system and to make decisions onchanges and future directions for the project. I believe this leadership was instrumental inkeeping cost overruns to a minimum and to the project being named by CIOMagazine as one of

    the top 100 projects for 2008.

    Plan for Collaboration

    One thing I did at the very beginning was to create a collaboration space for centralized teamcoordination. The site, created on Microsoft SharePoint, was designed as a team collaborationsite with a place for announcements, incidental team assignments, a training calendar, adocument library, and links to electronic forms and other resources. Also on this site were theagenda and minutes for all Implementation Team meetings. Doing this made keeping up with allthe documents, training schedule, and meetings much easier.

    In addition to creating the collaboration site, I organized my e-mail using the tools inOutlook. Icreated folders for each topic, then rules to check e-mail and file messages based on Bannertopics. This allowed me to keep up with the flurry of messages that arrived each day.Additionally, the MS Exchange administrator created distribution lists for everyone involved inthe project and for each functional team. These were used in conjunction with Tennessee Boardof Regents distribution lists to ensure that all members of the teams were kept abreast of updates,training, meetings, and changes as the project progressed.

    In the broader collaboration, the Tennessee Board of Regents used a cohort approach for trainingand implementation. This arrangement provided for considerable cost savings. Institutions weregrouped into two cohorts, and training sites were established by geographic regions atcentrally located institutions in each major division of the state, west, middle, and east andused throughout the implementation. Using cohorts and regional training centers benefited allinstitutions by reducing travel, training costs, and one-on-one consulting hours.

    Implementing ERP typically requires changing existing business processes. Poor understanding

    of needed process changes prior to starting implementation is a main reason for project failure. It

    is therefore crucial that organizations thoroughly analyze business processes before

    implementation. This analysis can identify opportunities for process modernization. It also

    enables an assessment of the alignment of current processes with those provided by the ERP

    system. Research indicates that the risk of business process mismatch is decreased by:

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    Meetings and Reporting

    Frequent, effective communication with the various project teams and constituent groups keepsthe project moving and helps manage everyones expectations. You should:

    y Plan for frequent meetingsy Plan for reportingy Provide a war roomy Create a communications plany Consider brandingy Use creative information campaigns

    Plan for Frequent Meetings

    Meetings are the life-blood of project management. As such, they must be organized and to thepoint. Where you are in the process will determine how often the meetings should occur.

    The first meeting of any major project is the kickoff meeting, which the vendor should do.Attendance at this meeting includes Steering Committee members and other executive staff aswell as the Implementation Team leads. The scope of the project will be outlined along with thelevel of commitment needed for the project to succeed. The vendor project lead shouldemphasize the importance of executive support for the project. Without such support theimplementation will have a much more difficult time succeeding.

    Following the kickoff meeting, the Implementation Team should begin regularly scheduledmeetings. Our team began meeting monthly initially and continued that schedule until the firstmodule began conversion. After that, we met weekly until the last module went live. Since then,the Implementation Team has scaled back to monthly meetings. We will continue those asneeded.

    The functional teams have their own kickoff meetings. These much more technical meetings willbe conducted by the vendor consultants assigned to each team. Attendance by all team membersis mandatory. These kickoff meetings will lay the foundation for all activities and training for theteams. The schedule and all tasks that must be completed to go live are discussed. Thefunctional teams are where all of the action takes place converting the data from the oldsystem, learning the new system, and preparing to train the end users on the new system. Theseteams are the most important aspect of conversion. Make sure you appoint good people to them.

    In addition to the local meetings, a state-wide weekly teleconference of project managers washeld to discuss issues and share information.

    Plan for Reporting

    If meetings are the life-blood, reporting progress is the heartbeat of the project. As someone half-jokingly said, What you dont know willhurt you. This is certainly true in project

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    management. As a project manager, you must know the status of every task performed by theteams. For our project, we had several layers of reporting. Each team was required to reportweekly the status of all tasks from the previous week. That report was then consolidated and sentto the Board of Regents.

    As part of the contract, a third-party project management consultant consolidated all reports fromacross the state and produced a (weekly) dashboard on the overall status of the project. This wasshared with the presidents and the project managers. Statuses were reported as green for ontrack, yellow if behind schedule, or red for being in danger of not meeting go live targetdates. No project manager wanted his teams in the red.

    Provide a War Room

    To provide the teams with a place to meet where they could make notes on a whiteboard or flipchart, we created a Banner War Room. This room was equipped with microcomputers, projector,screen, tables, chairs, whiteboards, flip charts, and office supplies. The room was added as an

    asset to Outlook and managed by the scheduler. Teams could schedule team meetings, meet withconsultants, conduct conversion activities, and hold training sessions in this room. This was aninvaluable asset, and I highly recommend creating a workspace for your teams during theproject.

    Create a Communications Plan

    One of the biggest obstacles to overcome will be resistance to change. Therefore, as projectmanager, you will need to understand change management. For most of the project, only a smallpercentage of your organization will be engaged. Since most ERP projects take many months, orin our case over three years, you will need a way to introduce the change and keep everyone else

    informed of what is being done. You also have to deal with the why questions. Why do wehave to change? It is working just fine, why change? You need a way to address theselegitimate concerns.

    One thing you can do to facilitate change is to make public presentations. I presented statusreports at the faculty in-service meeting at the beginning of every semester. I also presentedupdates to key organizations such as the Faculty Senate, Executive Council, and AdministrativeCouncil.

    Another thing you can do is to publish a newsletter (see Figure 2). I asked the Public Relationsand Marketing Department to form a Communication Team to assist me with change

    management. The newsletter, published each semester, featured the team that was to go liveduring that semester. Additionally, it also included a status report on each of the other teams.

    Newsletter Reporting Progress on ERP Project

    Consider Branding

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    The first project we completed was the portal. The portal product, Luminis, functions as the frontend to all Banner modules. The first thing our Implementation Team did was to brand ourportal. Our athletic teams are known as the Raiders, so we chose RaiderNet as the portalname (see the logo in Figure 3). A tag line of Campus Without Walls was added to emphasizethe academic connections this portal represented. Branding helped with identification as an

    institutional project and not an IT project. Branding can be a powerful tool in assisting withchange management.

    Use Creative Information Campaigns

    In addition to presentations, newsletters, and branding, changes in processes will require specialattention. These changes affect major constituent groups in the institution and must be

    communicated carefully to prevent confusion. To aid in the transition from the old studentsystem to the new, the Communications Team was asked to create a campaign. They developedthe idea of a ticket and the campaign Your Ticket Inside. (See Figure 4.)

    Figure 4. RaiderNet Ticket for the Your Ticket Inside Campaign

    The Student module was scheduled to go live in April 2008. During the fall semester 2007, thePublic Relations and Marketing Department produced the small tickets and posters that lookedlike tickets that invited students to watch for more information on their Ticket insideRaiderNet.

    Continuing with the ticket inside theme, in January 2008 we began communicating withstudents on how to register for classes. E-mail, postcards, and a ticket icon on the main web pagedirected students to instructions on how to register for classes using Banner. To register forsummer classes, students had to use our legacy system, but registration for all fall 2008 classeshad to be on the Banner system. The campaign was very successful; we experienced the largestnumber of students ever registering on the first day of registration.

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    Additional Measures

    Outside the formal project implementation process are other issues to address:

    y Prepare for problemsy Plan for emergency fundingy Plan for staffing backfilly Always celebrate success

    Prepare for Problems

    I do not want to leave the impression that the implementation went without problems. Wecertainly had our share. One of the first issues was my failure to recognize the need for a

    scheduler. I thought I could perform that task as part of my project management duties. As itturned out, this was not practical because I still had all the responsibilities related to daily IToperations. After training someone for the tasks involved in the role of scheduler, things becamea little more manageable.

    Implementing an ERP system will cause anxiety, frustration, and tension. Anything that changesthe status quo generally does people do not like to change. You need to anticipate thatresistance. It willcome. We tried to anticipate this by conducting team training for all teammembers, but there were times when tempers flared and frustration arose at having to do itagain. One aid in addressing this frustration was the Implementation Team meetings. Teamsgoing through problems could share with the other teams how they dealt with the situation and

    move on.

    One team got behind schedule in the process, and we had to hire a consultant to help them getback on track. You need to anticipate that this will happen and plan for it.

    Another issue that presented problems was the concept of shared data. Our legacy system wasbased on flat files owned by each functional area, and we were moving to a relational databasewith shared data. We had many discussions about who owned the data and who was going to beallowed to change it. The data standards document was critical to solving this problem.

    Plan for Emergency Funds

    One thing in undertaking a project of this size is that unexpected things happen. Knowing this upfront, we planned contingency funds for consulting, additional equipment, software, travel, andtraining:

    y One of the teams needed additional consulting that fell outside the contract terms.y We found functional and technical users could benefit from have dual monitors.y The programmers needed new SQL development tools.

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    y Additionally, all schools had to purchase an ad hoc reporting tool.y The contingency funds also paid for unplanned travel and training that came up during

    implementation.

    None of this would have been possible had we not planned in advance.

    Plan for Staffing Backfill

    During implementation, the team leaders are expected to dedicate one hundred percent of theirtime to the project. While this never happens, they will spend a majority of their time managingthe project, attending training, and working on conversion. Team members will also require amajority of their time working on project tasks. This means they will not be able to do theirregular jobs. Here is where you will need to provide backfill full- and part-time personnelto assist with those tasks needed to run day-to-day operations.

    Roane State chose to budget for backfill in each department directly impacted by the

    implementation. Backfill began three months prior to the start date for each module andcontinued for six months after the go live date. While we did not always succeed in findingqualified individuals, the additional positions provided valuable support and relief for those onthe front line of implementation.

    Always Celebrate Success

    I cant stress the importance of this action enough always celebrate success. Team recognitionwith ice cream, lunch, or just a candy bar goes a long way in making team members feel goodabout the job they are doing. During the project there will be times when the stress ofimplementation will lead to hurt feelings, flaring tempers, and other stressors. Small celebrations

    are a way to ease some of those feelings, especially if the team does not feel appreciated.

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    HOW ERP SYSTEM WORKS

    A typical ERP system would use multiple component of computer software and hardwareto achieve integration

    ERP delivers a single database that contains all data for the software module

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    Post-Implementation

    What happens after the project has successfully implemented your new ERP system? Theresstill more to do:

    y Continue team meetingsy Perform an after-action reviewy Revisit your business processesy Appoint a reporting review teamy Reemphasize data standardsy Plan for retiring the legacy system

    Continue Team Meetings

    Just because you are live does not mean you are finished. Many further activities will keep youand your team busy for months, even years, to come. My first recommendation is that you keep

    your Implementation Team together. Our team cut back the weekly meetings to monthly, but westill meet. The Implementation Team has plenty of cross-departmental things to coordinate, suchas shared tables and security classes. You will need to begin a plan to clean up any dirty data,which will always creep in during conversion, and historical data will need conversion. Finally,you will have add-on and third-party software installation to work on.

    Perform an After-Action Review

    Another thing you will need to do is conduct an after-action review. The Implementation Teamcan do this task, or you can convene a new team. This group should review all the new processesand see if improvements can be made. One thing you can look for are you taking advantage ofall the tools the new software brings to the process? Many times, the functional teams areoverwhelmed with the implementation process; they do not have time to explore the fullpotential of the new system. They implement only the bare necessities needed to get the systemoperational. Now is the time to go back, review those processes, and take advantage of anythingthe software has to offer.

    Revisit Business Processes

    You should also revisit the BPI model. You will want the After-Action Review Team to look atyour cross-departmental processes and ensure that the functional users are not trying to make thenew system look like the old one but to improve the process. This should be done after thefunctional users have had an opportunity to work with the new system and become thoroughlyfamiliar with its processes.

    Appoint a Reporting Review Team

    You will probably find, as we did, that most of your old reports are no longer of any use. Irecommend you convene a group to review reporting needs. They should identify reporting

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    needs based on input from the functional and end-users. This list should be prioritized and then aplan developed to locate reports already created by other institutions or, if they are not available,devise a plan to create the necessary reports.

    Reemphasize Data Standards

    By this time in your project, you will find that data standards will need to be emphasized again.You will find some records have missing or incorrect information. You will find that some fieldscontain different information that means the same thing. All of this will need to be addressed. Inaddition to cleaning your data, you should plan to retrain all functional users on data standards.

    Plan for Retiring the Legacy System

    As your new system comes online, you need to plan for an orderly retirement of your old system.You should consider how long you need to operate the legacy system. Some departments willneed access to old data for audit purposes. If it is not feasible to operate the old system

    indefinitely, you will need to plan for a speedy conversion to the new one.

    What is SAP MM?

    SAP MM (Materials Management)

    SAP MM is a module is used for Procurement Handling and Inventory Management. The module has two important master data - material and vendor. Broadly, the various levels that can be defined for a SAP MM implementation are:

    Client, Company Code, Plant, Storage Location, Purchase Organization

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    CONCLUSION

    The past three and a half years have been exciting and challenging because of Sloane Statesimplementation of a new ERP system. Most IT personnel will not go through more than one ofthese implementation processes in their careers unless they are consultants due to the costs.

    More than likely i will go through a major version upgrade;.

    Endnotes

    1. Tennessee Technology Centers are the states providers of workforce developmenttraining.

    2. Diane Galloway, Mapping Work Processes, American Society for Quality, Milwaukee,1994.

    Reduced overheads and inventory.

    Timely responsiveness.

    Market share and image enhancement.

    Keep up with technology changes.

    Only way for integrated systems for client with multiple locations.