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Ten Tips for successful SAP Implementation
At Boss Consulting, we ensure that organisations are well-informed before embarking on SAP (Systems, Applications and Products) projects. Despite the potential for seamless SAP implementation, it comes with inherent business and technical risks. It’s imperative for an organisation to get its house in order, this involves a comprehensive analysis of the organisation’s identity, future aspirations, strengths, weaknesses, opportunities, threats, and core competencies.
Prioritise business requirements over technical possibilities: Business processes and requirements are important from the outset of SAP projects. Companies sometimes overlook how well a system aligns with their specific needs due to the excitement of technical features and capabilities. By precisely understanding the business operations and needs, more effective SAP evaluations can be conducted. It is important to define the business requirements first and then refine them through the implementation stage.
Maximise business benefits and ROI: Securing maximum business benefits extends beyond obtaining approval from Directors or a high-level business case. While this step is crucial, it’s equally important for companies to make business benefits tangible compared to project costs. Establishing key performance measures, setting baselines and targets, and tracking performance post go-live are integral to achieving a healthy ROI.
Robust Project Management and Resource Dedication: Emphasise robust project management and resource dedication. Optimal results stem from a well-managed and fully supported SAP project. Leading initiatives commonly exhibit strong project management, involve in-house subject matter experts, implement risk management plans with mitigation strategies, and conduct ongoing phase reviews. In cases where the implementation falters or fails to meet milestones, seeking the expertise of a third-party consultant with significant SAP experience is recommended.
Commitment from Company Executives: A successful project requires support from top management, including the entire C-level. This backing is essential to address challenges like conflicting business needs and implement effective solutions. Regular project reviews with executive or steering committee members prove beneficial, enabling swift issue resolution and maintaining project momentum.
Take Time to Plan Up Front: Before diving headfirst, companies must ensure that the deal aligns with their needs. Regardless of the vendor, be it SAP or another, validate the implementation plan and its understanding of your business requirements. Allocate resources for thorough testing of new processes, security roles, and customisations. Develop and enforce communication plans to keep employees and stakeholders informed of developments and motivations.
Ensure Adequate Training and Change Management: End-user training, organisational change management, and job design are crucial for a successful SAP implementation. ERP systems can cause disruptions among employees, and effective training is key to avoiding panic. Focus ERP functional training on business workflows and technical know-how, utilising the “train-the-trainer” approach to embed knowledge in the organisation.
Understand the Purpose of Implementing SAP: Understanding the purpose behind SAP implementation is crucial. While it’s tempting to follow the trend, executives should assess whether no ERP system, process reengineering, organisational redesign, or targeted best-of-breed technology might better meet business objectives at a lower cost and with less disruption. Clearly defining business objectives within a new SAP system helps make more appropriate decisions.
Streamline Data Migration: Focus on data early in the process. It’s a complex task influenced by the number of sites, legacy systems, and users involved. Ensure success with these techniques:
- Define a comprehensive data migration strategy upfront, covering master and transactional data.
- Communicate migration plans to employees.
- Start data scrubbing and mapping early.
- Verify migrated data meticulously during conference room pilots and testing.
- Address potential issues with “garbage data.”
- Plan for historical data, archival, and data access.
- Leverage Conference Room Pilots (CRPs): Before going live, conduct functional and integration testing, with CRPs ensuring accurate data flow. Non-technical success factors include:
- Well-defined business process and workflow definitions.
- Business process and workflow gap analysis.
- Organisational change and impact analyses with targeted internal communications.
Charting the Course: Launching an SAP implementation requires clear communication about the project’s purpose and benefits. A project charter defines objectives, emphasises initiative importance, and includes FAQs, upcoming changes, and relevant details. Ensure employees feel heard and valued by encouraging questions and opinions.
Now that you are well informed
By following these guidelines, organisations can navigate the complexities of SAP implementation, mitigating risks and ensuring that the ERP system aligns seamlessly with their unique business needs. Ultimately, organisations that adhere to these principles are better positioned to unlock the full potential of SAP, realising enhanced efficiency, improved business processes, and a positive return on investment.
At Boss Consulting, we have extensive experience in leading end to end SAP projects across organisations. Our teams take pride in delivering solutions, tailored to meet the unique requirements of your organisation.