Methods, approaches and problems of implementation of ERP systems in trade

How to select integrator?

One of the first in priorities and not the latest in importance in the context of implementation of the ERP system is the choice of integrator. As it is (sadly) known, even the good product can be implemented badly therefore failure projects are rather often devoted to implementation even of the most powerful ERP systems (not integrators, however, are guilty of all from them). In this context, of course, it is very desirable to cooperate with the company having qualified specialists and experience of projects implementation with industry specifics.

Generally speaking, the integrator is selected how the customer selected for himself the ERP system (or several alternatives) which he will implement. As a rule, the tender is announced after that and specific proposals of integrators are considered. It is possible to offer the following procedure. At the first stage offers based on other ERP systems are cut (actually, you should not discard them for ever, perhaps, they will be more profitable to the customer). At the second stage qualification of integrators is estimated (on number of the certified necessary ERP system, quantity specialists of the implemented projects, partnership level with the supplier of the software solution) and the participants who did not undergo selection are discarded. At the third stage offers of integrators (project cost, implementation terms, cost of a support and maintenance, completeness of accounting of works) are estimated and the most acceptable comes to light. After that, perhaps, it makes sense to compare the selected offer to excluded from consideration at the first stage and, if necessary, to estimate them the same as it was made with offers on selected in advance by the ERP system (ERP systems).

Configure or adapt?

The question of combination of business processes of the organization with the business processes which are already put in ERP-sistemy has considerable importance. Three options are essentially possible: "break" business under ERP-sistemy, "break" ERP-sistemy under business or make something. In this case an acceptance criterion of the solution is the impact of own business processes on competitive advantages of the company. As a rule, in trade organizations business processes by special uniqueness do not differ also "fine tuning" of business under the schemes put in ERP-sistemy just leads to increase in clearness and transparency of transactions and their ordering. If all business of the company is based on unique approach to trade and all business processes are built with its accounting, their replacement on offered by ERP-sistemy developers will lead to loss of competitive advantage. In that case, it is necessary to recustomize the software. As for intermediate option, it is implemented when during the work on the widespread scheme the company implements a part of the goods by means of unique techniques of own development. The similar situation results in need of partial reconfiguration of the business processes implemented in ERP-sistemy when preserving their main part. Thus, the double useful effect is reached: in the organization core business processes are arranged and the software begins to support the business processes, key for the company, providing it competitive advantage.

Blitz kreig or module-by-module implementation?

The question of approach to implementation also is interesting. One of options is implementation of all functionality of the ERP system, its alternative at once – gradual implementation from the module to the module. On the one hand, the specifics of the trade industry require to implement information systems as fast as possible. Otherwise it is possible just to be left without buyers. From other party, soft junction on a new solution causes the smaller resistance of personnel, allows to pay more attention to setup of each module, is "the movement from success to success" unlike "the movement in anywhere" at implementation of all system at once while it is not brought into trial operation.

Most likely, the decision on the choice of one of approaches will be influenced by the specific conditions unique for each project, a position of the supplier of ERP systems (who usually develops an implementation technique) and a position of integrator. If conditions allow, perhaps, it is worth implementing a system more smoothly. Otherwise it is necessary to take additional measures for work with personnel and ensuring quality of implementation.

Begin with outlets or with the central office?

In case of automation of retail network often there is a specified question. The beginning of automation from the central office will allow the management to receive a uniform picture of business, to consolidate accounting information, to prepare the reporting, to optimize activity within all network. However "front office" parts of a "trade" ERP system in outlets are not implemented yet, there is nothing to reduce, as well as to create and optimize unless to enter all necessary information in the ERP system manually.

At the same time, automation of outlets will allow to optimize work as each of them, but without a "back office" part of the ERP system it will be impossible to consolidate information accumulated in them in the central office, to prepare and hand over the corporate reporting and also to manage retail chain stores as the uniform company.

In this case it is necessary to make a start from the purposes facing the company. If the purpose is the organization of a centralized system of accounting, the reporting and optimization of transactions, most likely, need to begin the project with the central office. If the purpose of optimization of trade operations and increase in profitability of outlets due to use of IT is primary, it makes sense to begin implementation with outlets. However, if means of the customer and a possibility of integrator allow, parallel implementation of the ERP system at the central office and in outlets would be the best solution.