ERP Implementation Failure: 6 Mistakes to Avoid

July 10, 2023
Visual representation of ERP software emphasizing the challenges of ERP implementation

What are the mistakes in implementing ERP that should you avoid?

  1. Not defining, understanding, and planning the exact ERP needs of your company
  2. Not using a comprehensive and accessible ERP system
  3. Not setting milestones for the implementation process
  4. Not planning for post-live maintenance
  5. Not training your employees
  6. Not selecting an experienced partner

Effective implementation of an Enterprise Resource Planning (ERP) system is paramount for the success of any organization. The seamless integration of an ERP system streamlines operations, enhances productivity, and fuels business growth. However, it is crucial to navigate the implementation process with caution to avoid potential pitfalls resulting from inadvertent mistakes. In this article, we will delve into the most ERP implementation mistakes to avoid, providing valuable insights on how to sidestep them. By gaining a comprehensive understanding of these pitfalls, your company can pave the way for a successful and fruitful ERP implementation journey.

Not Defining, Understanding, and Planning the Exact ERP Needs of Your Company

Implementing an ERP system is a strategic decision that requires careful consideration and planning. Without a clear understanding of what your company needs, it’s challenging to select the right ERP system. As we often stress, it is not a one-size-fits-all solution but rather a tailored approach that aligns with your specific company's needs. That’s why it’s important to choose a system with the functionalities you’re looking for. You may consider several factors, such as scalability, security, effectiveness, and system reliability since these are important in protecting your company’s resources and data. After you’ve figured out the exact ERP solution for your company, create a roadmap for your ERP implementation. This allows you to define your goals and expectations, and provide a clear direction for the process. It also ensures that you and your team are on the same page. This way, you can effectively communicate the requirements and track the progress throughout the process.

Not Using a Comprehensive and Accessible ERP System

Not Using a Comprehensive and Accessible ERP System

Selecting the right software is important to ensure that your business is getting the best out of it. If you selected the wrong one, it can lead to costly mistakes and inefficiencies, which is difficult for a company to resolve. However, there’s a comprehensive ERP system that covers a wide range of functions, such as financial management, inventory management, customer relationship management, e-commerce, and more: the NetSuite software. This ERP system is an all-in-one solution that eliminates the need for multiple disparate systems, providing businesses with a unified platform to improve their operations. The NetSuite is a cloud-based system, which offers plenty of benefits, including easy accessibility, scalability, and automatic updates. With NetSuite, businesses can access their data anytime, anywhere, and on any device with an internet connection. This flexibility suits remote work, collaboration across different locations, and real-time visibility. Furthermore, it provides the best features, functionalities, customization, and value for your business.

Download the Salary Guide to compare average salaries of top NetSuite ERP professionals.

Not Setting Milestones for the Implementation Process

Trust us, implementing an ERP system can’t be done overnight, or in a month or two. Typically, it takes from six months to two years to finish. That’s why you need to set milestones, which means planning the dates for the whole process. To give you an idea, here are the categories you need to put in setting milestones:

  • Discovering and planning
  • Designing
  • Developing
  • Testing
  • Go live
  • Continued support

By setting categorized milestones, it’ll be easier for you to select your team members, your leader, your timelines, assigning roles, and an experienced NetSuite support partner to help you keep on track and focused.

Not Planning for Post-Live Maintenance

Not Planning for Post-Live Maintenance

In the early stages of ERP implementation, it is crucial to not only create milestones but also develop a comprehensive plan for post-live maintenance and improvements of the system. Remember, ERP implementation is not a one-time event; it requires ongoing attention and enhancement to keep pace with your business’s evolving needs. For instance, when implementing NetSuite won’t guarantee immediate success, especially if your organization is doing it without the guidance of a NetSuite expert. They can help you create a plan to gather data about how your employees are using the software after it’s been implemented, what issues they are encountering, and how to improve and make it more effective. After all, there’s no point in giving all the effort to implement the system on your own. You need an expert to plan out the strategies for post-live maintenance even before the process for implementation begins. This will help you get an effective solution and ensure continued success.

Not Training Your Employees

Deploying an ERP system will definitely impact multiple departments within your organization. Without adequate training, employees may struggle to embrace the change, leading to a reluctance to adopt the new system and a potential fallback to old processes or manual workarounds. To prevent this scenario, it is crucial to provide comprehensive guidance and training to your employees regarding the upcoming ERP system. Engaging them throughout the process and equipping them with the necessary knowledge and skills will empower them to fully leverage the benefits of the new system.

Not Selecting an Experienced Partner

Not Selecting an Experienced Partner

Finally, when you don't partner with an expert during your ERP system implementation, several challenges can arise, such as inefficiencies, data inaccuracies, and a system that does not fully meet your requirements. Without an expert's oversight, you may face delays and budget overruns due to mismanaged timelines and unforeseen issues.At Atticus Solutions, we have NetSuite consultant professionals who have the expertise in helping companies during the implementation of the ERP system. They have the knowledge, experience, and ability to customize and configure the system to fit your unique business needs.Besides this, they also provide guidance and offer training and support, which maximizes the benefits of using the software for your business.

Key Takeaway

We’ve just discussed the common ERP implementation mistakes to avoid. By recognizing and addressing these potential pitfalls, businesses can enhance their chances of successful implementation.Atticus Solutions outsources a talented pool of Filipino NetSuite-licensed professionals. They undergo rigorous training and have certifications to prove they are qualified in helping businesses with the complexities of navigating the NetSuite software. For more information, contact us here.

Download the Salary Guide to compare average salaries of top NetSuite ERP professionals.

Compare NetSuite ERP talent salaries

Attracting top NetSuite talent with clear job descriptions is the first step. Understanding salaries is your next key move! Download this free salary guide to view talent costs, offshore hiring tips, and more

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