An ERP (Enterprise Resource Planning) is software that enables an organization to manage business processes where it enables several applications to be integrated to the system. This enables an organization to manage back office functions in an effective manner. One example ERP system is SAP (Systems, Applications and Products).
In NIBCON, there are essential principles that are required in order for SAP ERP to be effectively installed into the system. One principle is to have effective communication in all the branches of the company. NIBCON has expanded in business so that there are many branches that have been opened in different parts of the world. One principle is to have seamless connectivity between these branches. There is a need to have a connection where it will be hard to realize that the system serves many branches. Another principle is that there is a need to have security of information while this is being connected. As the company is connecting the different legacy systems to the SAP enterprise system, one principle is to have the company data safe. There is also a need to have compatibility of the systems. The legacy systems that have been developed and installed in NIBCON should be integrated well with the enterprise systems. Another principle is to have easy use of the new systems. The new modules should be used easily by the concerned staff members. This will enable the company handle any upcoming issues and change management. If ERP will be complex, the users will be alienated with the system. It will be hard to convince the management into adopting this system.
There are different phases of lifespan that will be experienced in implementing the SAP ERP at NIBCON. The implementation of ERP follows a modular approach. This means that different modules will be implemented at different times. One phase is installation. This is integrating the existing legacy systems to SAP system. It could also be a complete new installation of a SAP module. This is in cases where there have been no legacy system serving in that place. There is a need to ensure that there is an interface that will be used in the integration process of the system. The interface will help in compatibility issues between the two platforms. Since NIBCON has several offices in different locations, the SAP will be configured to have different instances. This is because the operations in different geographical locations and countries differ. Another phase would be the configuration phase. This is where the NIBCON’s business needs are met. SAP ERP was developed to serve generic business requirements. There is a need to develop these business needs to serve specific needs that fit NIBCON. In this case, there is a need to have configurations for the SAP so that it serves these purposes. Another phase is customization phase. This is where some parts of the SAP EROP might be customized to fit the needs of NIBCON. This is an important process because there are business processes that might not serve well with the company. The implementation team may decide to have a vanilla customization where NIBCON will use the default options. The team could also change the settings of the system to fit their needs. Another phase is testing. After a module has been installed, configured, maybe customized, it must undergo some testing before it has been deployed to the business. This will serve as an error-correction process for the company. The last phase is training of the staff. This is where the staff in the department where the modules has been installed will be trained.
There are key issues that are associated with this project. One of the key issues is the support from the management. This is an important issue because without the support of management, the project might not go through. Another issue is that SAP is more complex than the legacy systems that have been in existence in the company. This is because of the fact that there are new technologies that are being used in this development. ERP is still a new trend in information systems. It is important to have knowledge and enough training regarding the use of this system. The implementation of SAP in NIBCON will change many business processes in the company. This is changed to the better. There are many complexities that come with this system that should be addressed. Another issue is the consultants of SAP. It will be hard to get consultants who will understand the business requirements of NIBCON. Given the fact that the company has expanded the market to new countries, it will be hard to understand the business model of the company. It is important to understand that NIBCON has the aim of expanding the market and have effective communication and coordination between the different branches of the company.
There are different ways in which a project can be classified. It can be classified in terms of complexity or size. The project can be classified as a big and complex project. It is big because it spans a wide geographical area. The project will cover new branches and the ones that will be created in the future. In terms of complexity, the project can be said to be complex because of the different configurations that need to be undertaken.
One of the success factors is that the top management supports the project. One of the goals of the company is to have technology used in the business. The leadership of the company has supported technology and they are upbeat about this new technology. This success factor has affected the other factors because without the support of the senior management it will be hard to achieve the implementation of the project. They would sabotage the whole process. Another success factor is the availability of trained staff in information systems. The company has had staff who understand the business processes and the role that information systems play in the company. This has helped the company achieve successful implementation of the project. The staff have also enough knowledge about the systems that have been in existence in the company. They will have enough suggestions for all the configurations of the new systems in the company. This success factor affects the working of the consultants. This is because they helped the consultants get the right implementation and configuration settings for the project to be successful. The last success factor is having knowledge consultants who understand the business process of NIBCON. With the help of the ICT staff in NIBCON, the SAP consultants were able to implement the system successfully. This also affects the support from the top management because if the consultants were not that versed with this technology, the top management would not be ready to risk information being handled by the consultants.
