Selection Criteria of ERP Product and ERP Implementation Partner for Online Implementation Process
Keywords:
ERP, Implementation, ERP Product, ERP Implementation Partner, ISV Partner, DiscoveryAbstract
To successfully install Enterprise Resource Planning (ERP), choosing the correct solution and implementation partner is critical. Many things contribute to an ERP system’s success or failure. However, one of the most important is picking a solution that fits the company’s needs and wants. (Al‐Mashari, M., & Zairi, M. 2000) The client intends to use enterprise resource planning (ERP) software in their business. The ERP implementation partner might be the enterprise resource planning (ERP) business that created the product or another partner in charge of the installation. Channel partners or Independent Software Vendors (ISVs) are occasionally involved in ERP implementations.
The capacity to customize the underlying ERP software is a crucial competence of ISV partners, who also design extra modules or features for the ERP. Often, ISV partners collaborate with big ERP firms like SAP, Microsoft, and Acumatica. (Al‐Mashari, M., & Al‐Mudimigh, A. 2003) Conversely, channel partners are usually tasked with deploying the ERP product core exclusively without customization. If channel partners need customization, they can contact an ISV partner or the main ERP business.
Before making a substantial financial investment, clients must consider all their options before settling on enterprise resource planning (ERP) software. A poor decision can negatively impact the company’s financial health. During the pre-evaluation stage, companies often review demos from many ERP vendors to narrow down their choices, which is a complex process. Alaskari, O., (Ahmad, M. M., & Pinedo-Cuenca, R. 2014) Before entering the pre-evaluation phase, companies should prepare thoroughly, identifying their current strengths, weaknesses, and requirements.
A selection matrix should be created throughout the demo process to help with final decision-making. After reviewing all demos, companies can narrow their options to the top three to five vendors that best meet their requirements. Sometimes, each ERP product may have unique features, making it challenging for the customer to select the best fit. In these cases, the company should prioritize the product with features that best address their current needs and operational challenges. (Baki, B., & Cakar, K. 2005)
Outsourcing the selection process to a third-party consultant can be beneficial for companies lacking in-house expertise to manage these activities. These consultants assess the company’s needs and recommend the best product accordingly. Once the ERP product is finalized, the implementation partner is chosen. Suppose the ERP company itself is not handling the implementation. (Bakas, O., Romsdal, A., & Alfnes, E. 2007). In that case, the customer must select the most qualified partner for the job. Selecting the right implementation partner is critical; even a strong product may fail if the implementation partner lacks the necessary expertise.
Downloads
References
Al‐Mashari, M., & Zairi, M. (2000). The effective application of SAP R/3: a proposed model of best practice. Logistics Information Management, 13(3), 156-166.
Al‐Mashari, M., & Al‐Mudimigh, A. (2003). ERP implementation: lessons from a case study. Information Technology & People, 16(1), 21-33.
Alaskari, O., Ahmad, M. M., & Pinedo-Cuenca, R. (2014). Evaluation of frameworks developed which assist SMEs to adopt best practices.
Baki, B., & Çakar, K. (2005). Determining the ERP package‐selecting criteria: The case of Turkish manufacturing companies. Business Process Management Journal, 11(1), 75-86.
Bakås, O., Romsdal, A., & Alfnes, E. (2007). Holistic ERP selection methodology. In 14th International EurOMA Conference (pp. 1-11).
de Castro Silva, S. L. F., & de Oliveira, S. B. (2015). Planning and scope definition to implement ERP: The case study of Federal Rural University of Rio de Janeiro (UFRRJ). Procedia Computer Science, 64, 196-203.
Fourney, D. W. (2007). Using a common accessibility profile to improve accessibility (Doctoral dissertation).
Garg, P., & Khurana, R. (2013). ERP product selection criteria for Indian small and medium enterprises: an empirical study. International Journal of Business Information Systems, 14(4), 443-460.
Ganapathy, N., & Raju, J. (2008). A framework for enterprise resource planning system selection by small and medium enterprises. In 2nd European Conference on Information Management and Evaluation, ECIME (pp. 193-202).
Herzog, T. (2006). A comparison of open-source ERP system. na.
Hurbean, L. (2006). Factors influencing ERP projects success in the vendor selection process. Available at SSRN 946746.
Kowanda, D., Firdaus, M., & Pasaribu, R. (2015). Opportunity of free open source ERP system as a competitive advantage for small and medium enterprise. In 1st Unnes International Conference on Research Innovation & Commercialization for the Better Life 2015 (pp. 195-206).
Kulikov, I., Semin, A., Skvortsov, E., Ziablitckaia, N., & Skvortsova, E. (2020). Challenges of enterprise resource planning (ERP) implementation in agriculture.
Poddar, S. R. (2010). Sme's and their changing role in indian economy. Asia Pacific Journal of Research in Business Management, 1(3), 151-177.
Percin, S. (2008). Using the ANP approach in selecting and benchmarking ERP systems. Benchmarking: An International Journal, 15(5), 630-649.
Pareek, R. (2014). Analytical study of cloud ERP and ERP. International Journal of Engineering and Computer Science, 3(10), 8710-871.
Razmi, J., & Sangari, M. S. (2008, December). A hybrid multi-criteria decision-making model for ERP system selection. In 2008 4th International Conference on Information and Automation for Sustainability (pp. 489-495). IEEE.
Ratkevicius, D., Ratkevicius, C., & Skyrius, R. (2012). ERP selection criteria: theoretical and practical views. Ekonomika, 91(2), 97-116.
Saaty, T. L. (2006). The Analytic Network Process–Dependence and Feedback in Decision-Making: Theory and Validation Examples. In Business applications and computational intelligence (pp. 360-387). IGI global.
Vaidyanathan, G., & Fox, M. (2017). Enterprise Resource Planning Vendor Selection: A Case Study. Issues in Information Systems, 18(2).
Wielicki, T., & Arendt, L. (2010). A knowledge-driven shift in perception of ICT implementation barriers: Comparative study of US and European SMEs. Journal of Information Science, 36(2), 162-174.
Yu, C. S. (2005). Causes influencing the effectiveness of the post‐implementation ERP system. Industrial Management & Data Systems, 105(1), 115-132.
