Top 10 ERP Mistakes

TOP 10 ERP MISTAKES
Learn about the pitfalls
ERP Selection and Application

What are the Top 10 ERP Mistakes made by business owners and key executives?

ERP software selection and ERP software application are technology topics that abound on the Internet.

What is ERP?

According to Wikipedia:

Enterprise Resource Planning (ERP) is an integrated computer-based system used to manage internal and external resources including tangible assets, financial resources, materials, and human resources. It is a software architecture whose purpose is to facilitate the flow of information between all business functions inside the boundaries of the organization and manage the connections to outside stakeholders. Built on a centralized database and normally utilizing a common computing platform, ERP systems consolidate all business operations into a uniform and enterprise wide system environment.

There are literally hundreds of different ERP systems available and knowing which one is best for your business – well, each of those many ERP systems will have a swarm of consultants available and happy to help with that decision!

It’s how they earn their living! Problem is that if they are selling System A and your business could best use System Z - the business ends up with System A. Unfortunately not all of these so-called consultants are worth the money they charge.

As a nationally recognized expert in ERP software application and ERP software selection, Mike Roman works with clients dealing with implementation issues. He also conducts onsite workshops for businesses that are starting to consider whether an ERP system is a worthwhile investment for their company.

Mike Roman has been working with ERP software selection and ERP software application for 25 years. During that time he has completed more than 60 ERP installations in the US and overseas.

A certified instructor for APICS, he has served as president of the APICS chapter in Atlanta.

Mike Roman Interview

When Mike starts a workshop, his famous quote is “We are here to learn about what ERP systems can do FOR YOUR BUSINESS - and - TO YOUR BUSINESS!”

Everyone has heard the ERP horror stories – the cost, the frustration of change, trying to stuff a square peg in a round hole, losing control of their business – and those business owners who became so angry with ERP that they “threw the damn thing out”!

The selling process for ERP systems is generally focused on the traditional selling techniques - features and benefits. Who hasn’t heard the phrase “We are not selling ERP systems, we are selling solutions”!

But the problems that can engulf a business AFTER the sale are never properly addressed. And the after sale costs can hit a business like a kick to the belly delivered by Bruce Lee.

If the problems associated with ERP implementation were duly noted as part of the selling process, it would sound like the TV commercials we hear about a new “wonder drug” that is the best thing since sliced bread. Then the announcers tell us about all the bad things that can happen to us – we can understand why they call it a “wonder drug” cause we are left “wondering” if the cure is worse than the disease!

“Mike Roman’s approach is different - and that is why he has been so successful” according to leading family business expert Don Schwerzler. “Mike is not connected to any particular ERP system – he helps business owners and senior level executives make decisions on what ERP system is best for their specific business.”

“Making his clients aware of the pitfalls, up front, is where Mike feels he can help a client make the best ERP decision – helping them to pick out the best ERP system for their business and their management team.”

“When our family business clients are considering ERP and their business, Mike Roman is who we recommend,” says Schwerzler. “There is not a better advisor for preparing a family business for ERP than Mike Roman.”

We all know that the 3 most important strategies that determine the success of a retail store are Location, Location, and Location!

Likewise with ERP, the 3 most important strategies are that determine success – Training, Training, and Training.

The first part of that training is HOW TO AVOID THE PITFALLS of ERP systems.

The second part of the training is HOW TO DEVELOP AND PERFECT COMPETENCY in a particular ERP system.

The third part of the training is MAXIMIZING THE POTENTIAL of the ERP system.

In his workshops, Mike addresses the 10 MAJOR ERP MISTAKES that businesses make.

Now these ERP MISTAKES and issues are available in an easy to read PDF format.

It is an e-guide when thinking about ERP - and you don’t have to be a “tech-type” to understand the management issues that need to be addressed before making the ERP decision!

The time to deal with these issues is BEFORE you decide on ERP, not afterwards!

Take advantage of this opportunity to have a map of the ERP minefield BEFORE you enter the minefield. When you are aware of where the mines are located, the minefield ceases to be a threat!


Top Ten ERP Mistakes 
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STATISTICS YOU SHOULD KNOW

90% of ERP projects are NOT completed on time and within budget

40% of ERP users claim they got the expected results

50% of ERP buyers DID NOT measure the results of the ERP project

30% of ERP projects DO NOT produce a significant ROI

85% of ERP projects NEVER actually reach full implementation

14% of ERP projects are cancelled BEFORE implementation

Manufacturing Practices, Inc.




Why not learn from the mistakes made by other companies?

Mike Roman has compiled 10 of the most common ERP mistakes made by business owners and senior executives – mistakes that had a negative impact on their ERP decision.

Why not make time to make sure you don’t fall into the same pitfalls that have ambushed so many ERP projects?

ERP is NOT brain surgery - the technology is straightforward and logical. Simply stated, it works!

Then why do so many executives complain that ERP fell far short of the promised results?

Mike Roman uses the quote from Abe Lincoln in his workshops to underscore the importance of proper preparation. “If I had six hours to chop down a tree, I’d spend the first four hours sharpening the axe!”

We all know the difference between working hard and working smart.

Successful managers prepare things in advance – that allows them to outperform those managers with little or no preparation. Working smart means getting the job done in less time and with less stress!

The same logic applies to ERP implementation – taking time to prepare the company and the management team BEFORE the ERP decision is made. In this case we are talking bout “sharpening the axe” of the ERP decision making process.


Top Ten ERP Mistakes 
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Unfortunately, many business owners and senior level executives buy the sales person who is selling the ERP system - and that system may not be the best choice for their business. This kind of problem gets further amplified when the sales person may be well informed about the ERP system they represent but do not have a strong background in business operations. They are only able to “see” the business as it is currently operated – not how the business “should” be running. So the proposed ERP system merely automates many of the poor business practices that have evolved over time.

“I have never been involved in an ERP project that did not include changing business processes,” notes Mike Roman. From a smart management perspective, the changes should be made prior to implementing the ERP system. Don’t expect the ERP system to make a silk purse out a pigs ear. Systemetize your business operations first and then lock in the changes with your ERP system.

Thinking about ERP for your business?

It is so much more than learning about ERP software applications and ERP software selections.

We recommend your first step should be learning about the mistakes that other executives have made when making the ERP decision. We recommend Mike Roman’s ERP guide, The Top 10 ERP Mistakes!



Don’t wait – download your copy now!

Top Ten ERP Mistakes 
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