Who Do You Need To Make Your ERP Migration A Success?
Migrating your company’s database is one of the best ways to further boost your organization’s efficiency. But who do you need to have it done right?
At the core of every organization is a reliable system and database that can enable employees to access a consistent set of information. This can then serve as their guide when accomplishing tasks, and hence, efficient performance and success of the company.
But every once in a while, a company might decide to upgrade its database to a newer and more efficient one, such as an Enterprise Resource Planning system (ERP).
What Is Enterprise Resource Planning?
In a nutshell, Enterprise Resource Planning (ERP) is a critical system an organization can adopt to help boost its efficiency and performance. An ERP system collects valuable information from the different teams within an organization and creates a centralized database. This can be advantageous not just in the operations aspect but also in the overall management and overseeing of the company.
For instance, coordination and collaboration among employees can be convenient since they can easily rely on the database. More so, managers can also be made aware of the performance of each team. This can help in innovating business processes to simplify daily tasks and responsibilities. For these reasons, many organizations today opt for migrating to ERP systems.
What Is ERP Migration?
ERP migration is a complex process of moving data from a primary database into a new system. As companies are looking for more ways to operate efficiently, shifting to a newer ERP database is proving to be a solution. However, ERP migration isn’t child’s play.
Should you underestimate the need to prepare for it and put in the time and effort from the entire team, you can risk ERP migration failure. One wrong move in the data migration process may result in dire consequences to your business. Therefore, you should execute an ERP migration after meticulous planning and with utmost accuracy.
With that said, the article will look into what you need to do to ensure success in ERP migration.
Who Do You Need for a Successful ERP Migration?
To start, let’s outline what kind of team your organization needs.
1. ERP Migration Consultant
You can migrate your business data using an in-house team or an ERP implementation consultant. Whichever way you choose, putting together a team of experts to work on your company’s ERP migration is the first step towards successful migration. So, how do you choose the right expert?
To start, you’ll have to identify and determine your company’s needs. Note that different industries require a different approach to data migration. That said, you have to study the market and choose an expert who understands your industry or is a close fit.
One of the ways to evaluate data migration gurus is by looking at their portfolios. For example, if you need ERP cloud migration, look at the cloud migration the professional has done before and the reviews on his work. Is the work up-to-date with the recent technology? If they satisfy your needs, you can pick them.
Lastly, always factor in your budget in terms of time and money. Identify how urgent your data migration needs, then communicate it to your consultant. You should both agree on the time frame for the data migration. It would help if you also had a contingency plan in case of any delays.
2. In-House Team Of Professionals
Another consideration to keep in mind is to have a team of professionals from within your company. It would be best if the group consisted of employees who understand your business model in and out. Preferably they should have been in the organization for a long time.
You might be wondering if it’s necessary to have an in-house team if you have already hired a third-party consultant. Well, yes. Experts recommend that instead of having a third party as the leader of the data migration project, you should consider assigning a team leader from among your employees.
Here’s what to look for when choosing your in-house team:
- Skill: As much as you’re advised to pick employees who have been in the company for a long time, you have also to consider their skills. Pick employees who are knowledgeable on ERP migration. They should also show interest in achieving the company’s goals with the migration. Other than that, beware that ranks in the organization don’t always equate to skills. Look for skills, not positions.
- Individual responsibility: The team member should be visionary. They should be able to express their ideas that will make the data migration efficient.
- Team player: A competitive leader should also be able to accommodate and listen to the ideas presented by their team members. Without teamwork, your ERP migration might stall, which may negatively impact your business operations.
Other Factors To Consider when Migrating your ERP
Aside from equipping your organization with competitive professionals, it’s also worth noting other considerations to keep in mind when planning your ERP migration process.
1. Scope Of Work
A well-defined scope of work involves setting clear goals for data migration and establishing the resources you’ll need in the process. As trivial as it looks, planning could mean the difference between a failed and a successful ERP migration project.
That said, here’re some of the things to consider:
- Type of Data
Not all data types may need to be migrated. Taking the data and migrating it without reviewing and analyzing it could be the beginning of migration chaos. Therefore, identify the type of data you wish to migrate, whether master, historical or current.
Master data is a set of characteristics that describe your company example, the products you deal in, your customers, suppliers, and accounts. Historical data is over two years old, while live data consists of recent transactions.
- Priority
Once you have identified the data to be migrated, it’s best to sort them according to their priority. Determine which data has to be migrated first and which can be last.
2. Early Change Management
Transferring the data to a new database doesn’t conclude the ERP migration process. This is because it should also the proper briefing and training of your entire time. After all, the system is meant to be used by your employees.
Therefore, you should plan comprehensive training on using the new ERP system. Preferably, it should happen before the migration as this will allow enough time for practice and making mistakes. So that when it comes to the actual delivery, the transition will be smooth. More so, during training, you’ll also get proper feedback on the new system. It’ll allow you and your ERP migration team time to perform any necessary changes.
To Sum It Up
Migrating your company’s database is one of the best ways to further boost your organization’s efficiency, thus, pushing your business forward to success. If you have been wondering where to start with your ERP migration, the insights detailed above can offer you a good start. All the best in your data migration.
FAQ
What Does ERP Stand For?
ERP stands for Enterprise Resource Planning.
What Is ERP Software?
ERP software is a centralized system that helps organizations manage and streamline various business processes and functions.
What Are Some Common Functions of ERP Systems?
ERP systems commonly handle functions like finance, human resources, inventory management, procurement, manufacturing, and more.
Why Do Organizations Use ERP Software?
Organizations use ERP software to improve efficiency, data accuracy, collaboration, and decision-making across different departments.
What Are the Benefits of Implementing ERP?
Benefits include increased productivity, cost reduction, better data visibility, improved customer service, and enhanced overall business performance.
Is ERP Suitable for Small Businesses?
Yes, ERP solutions are available for businesses of all sizes, with scaled-down versions designed specifically for small and medium-sized enterprises (SMEs).
Can ERP Be Customized to Fit Specific Business Needs?
Yes, ERP systems can often be customized to align with the unique requirements and processes of an organization.
What Challenges Are Associated with ERP Implementation?
Challenges may include high implementation costs, data migration complexities, employee training, and potential disruption during the transition.
Is Cloud-Based ERP Becoming More Popular?
Yes, cloud-based ERP solutions are gaining popularity due to their flexibility, scalability, and reduced IT infrastructure costs.
What Are Some Well-Known ERP Software Providers?
Well-known ERP software providers include SAP, Oracle, Microsoft Dynamics, NetSuite, and Infor, among others, offering various solutions tailored to different industries and needs.
What Are the Key Modules in an ERP System?
ERP systems typically include modules for finance, human resources, supply chain management, inventory, manufacturing, sales, and customer relationship management (CRM).
Is ERP Only Used in Manufacturing Companies?
No, ERP systems are used across various industries, including manufacturing, healthcare, retail, finance, education, and services.
How Does ERP Improve Decision-Making?
ERP provides real-time data and analytics, enabling better-informed decisions by offering insights into various aspects of the business.
Can ERP Integrate with Other Software and Systems?
Yes, ERP systems often offer integration capabilities to connect with other software and systems, ensuring data consistency and process efficiency.
What Is the Difference Between On-Premises and Cloud-Based ERP?
On-premises ERP is hosted on a company’s own servers, while cloud-based ERP is hosted on remote servers, accessed via the internet, offering different deployment options.
How Long Does It Typically Take to Implement an ERP System?
The implementation timeframe varies but can range from several months to a year or more, depending on the complexity of the system and the organization’s needs.
Is ERP Software Secure for Storing Sensitive Business Data?
ERP software prioritizes data security and often includes features like encryption, access controls, and data backup to protect sensitive information.
What Role Does Training Play in ERP Implementation?
Training is essential for ensuring that employees can effectively use the ERP system and adapt to new processes and workflows.
Can ERP Systems Be Accessed Remotely?
Yes, many ERP systems support remote access, allowing authorized users to work from different locations using secure connections.
What Is the Total Cost of Ownership (TCO) for ERP?
TCO includes initial implementation costs, software licensing, ongoing maintenance, support, and hardware expenses, making it important to consider the long-term financial commitment of an ERP system.
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