Phases of ERP Implementation

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Offline Badshah Mamun

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Phases of ERP Implementation
« on: April 26, 2012, 01:51:24 PM »

Like any other project, ERP implementation goes through various interconnected phases. These phases may be sequential but at occasions overlap. Normally, every phase has entry criteria, which needs to be fulfilled before the commencement of the phase. A phase is deemed to have completed when pre-determined deliverables are achieved.

Various phases of ERP implementation, for a typical ERP project, are mentioned below:

    Project Establishment

    Project Establishment will comprise of the following activities:
        Project teams formation
        Project plan detailing and fine tuning

    For a successful implementation, several types of skills are required. To ensure that the requisite expertises are available to the project, different teams are formed, consisting of members from the organization and vendor.
        Project board
        Competence center team, mostly represented by IT personnel of the organization.
        Key users team.
        Consultants’ team.
        Project Implementation Committee.
    Entry Criteria
        Vendor Project Team on site.
        Organizations implementation team tentatively identified.
        Project Administration Plan.
        Project standards document.
        Project board formation.
        Project Implementation Committee formation.
        Competency Centre Team formation.
        Key Users Team formation.
        Delivery and Installation of vanilla ERP Application.
    Procedure Development

    In this phase, key users and competence center team map the existing functional processes with the functions available in the vanilla ERP application, in conjunction with the vendor team. The following activities will occur in an iterative manner.
        Process mapping
        Gap detection
        Work-around identification
        Organizational impact analysis
        Business Model through flow chart.
        Customization Design Specification document for identified modifications.
        Draft Procedure Manual
        Acceptance Test Plan and Data
    Application Software Customisation

    This phase includes program development for all modules using the Customization Design Specification Document, unit testing and system testing of all modules. The individual programs will be unit tested, based on test plans developed by the vendor. This phase may be carried out at offshore.

    Next, the developed and unit tested application software will be system tested during this phase. The system testing will be based on the acceptance test plan and test data provided by the organization. Thereafter it will be installed on the Designated Computed System.
    Entry Criteria
        Acceptance Test Plan and Test Data
        Customization Design Specification Document for identified modifications

    Customized unit and system tested application software.
    Acceptance Testing

    The focus of user acceptance testing is to exhibit that the system works. From the user’s point of view, acceptance testing is the final quality control procedure to determine whether the software product is performing as expected.
    Entry Criteria

    Availability of customized unit and system tested application.
        Tested Application Software
        Updated procedure manual
    End User Training

    All identified end users will be trained in the specific functions they are required to work. The training will be conducted by vendor.
    Entry Criteria
        Tested Application Software
        Updated procedure manual
        End users trained as per training plan
    Conference room trial

    This phase deals on the simulation of the actual business environment. The following activities will occur iteratively during this phase:
        Identification and entry of representative data
        Simulation of the business model
        Business Model enhancement
        Finalization of procedure manual

    As the team reviews the data model, the business model that is prepared in the Procedure Development stage may undergo some changes.
    Entry Criteria
        Tested Application Software
        Updated procedure manual
        Final Procedure Manual
        Final Business Model

    Data Loading

    This is the migration phase where data from existing manual/legacy operations are transferred to System’s database using interface programs or utilities available within the ERP package. The following activities will occur:
        Data conversion & loading
        Establishment of Access Rights and Passwords
    Entry Criteria
        Final Procedure Manual.
        Final Business Model
        Data Loading Completed
    Live trial

    Once the Final Business Model is ready and database is loaded, the system is ready to go live. This phase will allow users to work on the application software with real time data.
    Entry Criteria
        Data Loading Completed
        Trained End Users.
        Live Trial completed

Md. Abdullah-Al-Mamun (Badshah)
Assistant Director, Daffodil International University