Successful Implementation of Global ERP

Implementing ERP can be difficult for both small and medium-sized businesses and large companies. It can be even more difficult if the organization is global. 

However, with the right strategy, you can avoid using the ERP rating service. Today, we’ll take a closer look at how to properly manage your global ERP implementation. 

There are several  strategies that can help you run your global ERP implementation  as smoothly as possible. Let’s check out some of the best. 

1. Understand if you need a global ERP system 

The decision to implement a centralized ERP system in a global enterprise is not an easy decision. For one thing, the decision to globalize or localize is not black and white. Each organization has different operational, organizational, cultural, regulatory, and financial considerations. Here are some signs that you need a global ERP platform: 

You are running multiple ERP systems in different locations, and  data duplication is a problem. Local office manually adjusts financial and accounting data. At the same time, you may have a hard time keeping up with different tax schedules, regulatory requirements and exchange rates. So is the global ERP system not suitable for you? Definitely. Centralized data solutions can overcome the localization challenges faced by multi-enterprise organizations. 

 2. Implement business process reengineering 

International organizations, especially those that acquire other companies, often have non-standard business processes. Standardization allows these organizations to grow as they grow by integrating business processes. Consistent processes improve operational efficiency and provide global operational visibility. 

At the same time, global organizations also need the flexibility to serve a diverse range of customers, employees, economies and regulators. 

Before automating your process with your new ERP system, make sure you find the right balance between standardization and flexibility. This often requires business process reengineering (or at least process improvement). 

We encourage you to work with stakeholders in each location to understand what is currently working and what is not. In these conversations, you  also need to consider which processes need to be localized  and which processes need to be standardized for the benefit of the individual office. 

3. Prioritize good communication 

For decentralized operations,  ERP project updates and details cannot be over-promoted. Local entities may be extremely resistant to globalized processes. They need to understand the reasons for transformation and how it will personally benefit them.  

It’s important to create a communication plan that addresses how, when, and where you`ll communicate key updates. This includes adjusting your messages as required to accommodate different languages, cultures, and time zones. 

Communication is just one part of organizational change management (OCM). As a whole, change management encompasses a variety of activities that focus on the people’s side of change, which is especially important in a global ERP implementation.

4. Plan your deployment strategy 

Determining the ideal time to run with new ERP software can be difficult for any business. If you plan to deploy to multiple global locations at the same time, that can be very difficult. 

Most companies find it much easier to deploy the system in one place at a time. This allows you to address issues that occur in small batches and prevent them from affecting subsequent stages. 

5. Create a template 

While flexibility is important, it can be helpful to create a global ERP template that standardizes on the following elements: 

•  constitution 
•  fields 
•  data 

You don’t have to reinvent the wheel every time, even if your business processes and requirements can vary from region to region. With these basic elements in place, you don’t have to start from scratch, as you have the foundation to change as needed. 

 6. Carefully research global ERP vendors 

Vendor analysis is an important part of  ERP implementation. You need to make sure that the software solution you choose helps you achieve your short-term and long-term business goals. 

It’s easy to get caught up in a gimmick during an early presentation, but resist the urge to choose a vendor based on a demo.  

You need an ERP vendor with extensive experience implementing ERP across your global enterprise, but not all vendors are eligible. The solutions they provide must also be agile enough to handle differences between sites, such as currency and regulatory differences. 

References work here. Feel free to contact each vendor for a list of references. Ideally, you should hire a team that has worked with global organizations in the same industry. 

 7. Allocate the appropriate resources 

A right specialist is required to implement a global ERP. Projects are a top priority for your company and should not be subordinate to your day-to-day operations. If you treat it that way, you may not be able to allocate enough resources to properly support it. 

People at the forefront of the project need to play an influential leadership role within the organization. This not only secures funding and provides support for that effort, but also increases trust in the department. This makes change management easier and easier for everyone to migrate. 

Successful implementation of global ERP

The implementation of global ERP may seem daunting, but it is feasible. You may want to rush  to maintain your competitive advantage and meet changing customer demands, but it’s important for your organization to be prepared for this effort. The key is to standardize where possible, prioritize communications, and strategically plan deployments. 

By considering the unique characteristics of each site, you can prepare for the success of your project.  

Our independent ERP consultants can help you overcome any challenges you may encounter along the way. If you would like a free consultation, please contact us at the following.