ERP System Installation at XYZ InfoTech

This document discusses the background and current practice of ERP system installation at XYZ InfoTech. It highlights the aims and objectives of the project, the stakeholders involved, the benefits of implementing ERP systems, the project team, and the expected outcomes. The document also provides initial estimates of costs and identifies potential risks.

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ERP System Installation at Xyz InfoTech
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1ERP SYSTEM INSTALLATION AT XYZ INFOTECH
PROJECT TITLE
ERP System Installation at XYZ InfoTech
BACKGROUND AND CURRENT PRACTICE
The unprecedented growth in the Information Technology Systems in the modern
times with the innovation in technologies in the area of software systems as well as hardware
systems had put an enhanced growth over all organizations. This technology has put an
effective increase in the innovation of the ICT sector. However, the functional units in the
business are getting more complex day by day. For this reason the inter-functional data flow
is required more for making decisions as well as executing those decisions in a real time basis
for the product parts, the management of inventory, and the management of the human
resources, the distribution of the products and the services as well as accountability. The
management team of XYZ Info Tech thus needs systems that are much efficient than the
existing systems in ICT sector (Nwankpa 2015). The implementation of the new systems will
help the ICT sector of the organization to cope with the industrial competitiveness in the
technological aspect, better logistics and cost reduction. All the small to medium sized as
well as large enterprises can critically identify the great achievements if the organizations
provides correct solutions to the specific vulnerabilities in areal time basis.
In lieu of the current situation present at the XYZ Info Tech, the industry is planning
for the implementation of the ERP Systems in their technology sector (Harwood 2017). The
Enterprise Resource Planning Systems or ERP Systems is said to be an important
management planning regarding the success of the business. With the implementation of the
ERP Systems the management can assess the whole software in a real time basis and can be
enhance them with the new technological advancement in software. The planning software
helps the organization in collection of data, storing the data as well as management and
interpretation of data for all the activities of business. This system provides a continuous as

2ERP SYSTEM INSTALLATION AT XYZ INFOTECH
well as integrated analysis of all the business processes with the innovation in the system of
database management. The ERP Systems maintains a track of all the business resources likely
raw materials, production capacity as well as the cash. The main role of this System is to
facilitate the information flow across all the business functionalities and also manages the
business connections among all the stakeholders present in the business (Jagoda and
Samaranayake 2017). The installation of the ERP Systems will prove to be very effective for
the XYZ Info Tech.
PROJECT AIMS/OBJECTIVES
The main aim of this ERP installation is to increase the growth of XYZ Info Tech.
The main objectives of the project are stated as follows:
 To innovate an integrated system at XYZ Info Tech
 Performing the operational jobs at XYZ Info Tech in real time
 To maintain a common server for the database which will help the information flow to
be very easy.
 To broaden the integrity of data at the XYZ Info Tech
 To enhance the deployment of data services which includes cloud hosting in the
server systems of the XYZ Info Tech
START DATE & COMPLETION DATE
The implementation of these Systems may require approximately 6 months to 2 years
at the ICT sector of XYZ Info Tech.

3ERP SYSTEM INSTALLATION AT XYZ INFOTECH
STAKEHOLDERS
The stakeholders regarding the installation of the ERP systems may be divided into
external stakeholders as well as internal stakeholders (Yang 2016). This is represented in the
structure below.

4ERP SYSTEM INSTALLATION AT XYZ INFOTECH
PROJECT BENEFITS
The installation of the ERP Systems at XYZ Info Tech will provide many benefits to
the organisation. Firstly the implementation will help the organisation to focus in the IT costs.
Although the implementation can cost the business in the initial phase, it will improve the
business in the near future (Ağaoğlu, Yurtkoru and Ekmekçi 2015). The ERP Systems will
enhance the business organisation to keep a detailed analysis of all the business management
processes that includes reports or plans in a real time basis. This will enhance to keep a report
of the detailed analysis of the business capabilities regarding the business structure of XYZ
Info Tech.
These systems will help the XYZ Info Tech to improve their efficiency in the business
management sector. As these systems can be customized in accordance to the business
requirements, this systems are effective for smooth running of the business. By the
implementation of these systems the company can achieve a better range of benefit rather the
current systems that are into business (O'Sullivan and Caiola 2016). Lastly, with the
implementation of ERP Systems the data security of the business is secured. The ERP System
ensures to provide a high level of security to the organization’s business which is said to be
very helpful for the organization.

5ERP SYSTEM INSTALLATION AT XYZ INFOTECH
PROJECT TEAM
The project team details is explained in the figure below.
INITIAL RISK IDENTIFICATION
The identified risk factors with the identification of ERP Systems are as follows:
 A critical analysis is to be carried out while selection the softwares in ERP installation
 The management team should maintain a constant check in the changes regarding the
strategies of marketing of business as the business stability is not sure (Chatzoglou et
al. 2016).
 There might be some compatibility issues regarding the installation of the ERP
Systems as there are constant changes in the business environment.
 The updates of the ERP Systems should be continued and maintained regularly.
 It is very necessary to keep the stability of these Systems.

6ERP SYSTEM INSTALLATION AT XYZ INFOTECH
EXPECTED OUTCOMES
The successful implementation of the ERP Systems will enhance the business
structure in an effective manner in accordance to the cost as well ad time (Carutasu and
Carutasu 2016).
INITIAL ESTIMATES OF COSTS
The implementation of the ERP Systems at XYZ Info Tech will cost around $150000
to $5000000. This cost is due to the size of the organization. The detailed analysis of cost is
provided in the table below:
Database management system costs 7% to 11%
Infrastructure costs 12% to 19%
Software costs 13% to 28%
Human resources costs 42% to 57%
SIGNATURE OF PROJECT MANAGER:
DATE:

7ERP SYSTEM INSTALLATION AT XYZ INFOTECH
References
Ağaoğlu, M., Yurtkoru, E.S. and Ekmekçi, A.K., 2015. The effect of ERP implementation
CSFs on business performance: an empirical study on users’ perception. Procedia-Social and
Behavioral Sciences, 210, pp.35-42.
Carutasu, N. and Carutasu, G., 2016. Cloud ERP implementation. FAIMA Business &
Management Journal, 4(1), p.31.
Chatzoglou, P., Fragidis, L., Chatzoudes, D. and Symeonidis, S., 2016, September. Critical
success factors for ERP implementation in SMEs. In 2016 Federated Conference on
Computer Science and Information Systems (FedCSIS) (pp. 1243-1252). IEEE.
Harwood, S., 2017. ERP: The implementation cycle. Routledge.
Jagoda, K. and Samaranayake, P., 2017. An integrated framework for ERP system
implementation. International Journal of Accounting & Information Management, 25(1),
pp.91-109.
Nwankpa, J.K., 2015. ERP system usage and benefit: A model of antecedents and outcomes.
Computers in Human Behavior, 45, pp.335-344.
O'Sullivan, J.A. and Caiola, G., 2016. Enterprise Resource Planning Concepts:
Understanding the Power of ERP for Today's Businesses. DMMSI, Associates.
Yang, H., 2016. Project team right-sizing for the successful ERP implementation. Procedia
Computer Science, 91, pp.672-676.