ERP Systems: Implementation, Benefits, and Challenges Report

This report provides a comprehensive overview of Enterprise Resource Planning (ERP) systems, focusing on their implementation, benefits, and challenges. It begins with an introduction to ERP systems, explaining their function in facilitating information flow across different departments within a company. The report then delves into the crucial aspects of ERP maintenance and post-implementation tasks, emphasizing the need for continuous optimization, testing, and configuration. It highlights the benefits of ERP integration, such as globalized systems, enhanced control, and improved decision-making through updated information. Furthermore, the report addresses the obstacles encountered during ERP implementation, including fear of change, cultural shifts, and resource allocation issues. The reflection section emphasizes the importance of selecting the right ERP system for a company's specific business model. The conclusion stresses the need for user training and the selection of adaptable, scalable ERP solutions. Finally, the report includes references to relevant literature on ERP systems.

Running head: ERP SYSTEMS 1
ERP Implementation
Name:
Institution:
Date:

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INTRODUCTION
What is an ERP?
It is a software architecture that facilitates the flow of information between different
departments of a company. ERP maintenance and basic tasks to optimize it correctly after
the implementation of an ERP there is still much work to be done. ERP should have tests,
advanced configurations based on daily needs, error and success tests. Additionally, it is
necessary to organize all the maintenance and evolution that the business management
software will have to face throughout its useful life (Zach, Munkvold, & Olsen,2014).
The investment in a business management software such as an ERP or a CRM does not end at
the time of implementing the program in a company. This type of tools causes a 180º change
in any company since its operation makes the corporate culture evolve based on the new
software requirements. Therefore, it is essential that the managers of the companies are aware
that much of the investment in the ERP comes after its implementation: through the
maintenance and evolution of business management software (Shatat, 2015).
The maintenance of a business management software ERP
This type of tasks are linked to solving problems that may occur eventually in the normal
operation of the ERP. They are conditioned by some factors. The main ones are:
 the size of the management program itself.
 the number of users that make up the company
 The people who have the permission to manipulate the different modules of which the
ERP is composed; as well as
 the volume of operations that a business management software of this type should be
responsible for carrying out daily (Ali, & Miller,2017).

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Depending on all these characteristics, specialized consultants in ERP should invest more or
less time in software maintenance. Therefore, this time must be specified explicitly in the
maintenance contract that must be signed by both the investment company and the consulting
firm specializing in business management software.(Abdinnour, & Saeed 2015).
Benefits of ERP
ERP intergration can bring significant benefits if companies install the software correctly, in
addition to a wide range of other interests which are;
Globalizing the system.
More significant control of the company.
Minimizes the time of analysis of the information.
Have the information updated to make decisions.
Have configurable modules according to each of the areas of the company.
Avoid duplication of information.
Obstacles in Implementation
Of all the ERP systems that are executed, half are left due to lack of commitment from the
administration, or else they fail during its implementation phase. Of these systems, those that
are correctly implemented have a large number of them rated as low performers by users.
Why are failures in ERP projects so frequent?
Fear of change: People do not like change, and with the use of ERP, the least that can be
expected is that the work processes are done differently. They cause fear in people who

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foresee that they will be displaced. The most critical challenge is to get the staff to use the
software to improve the ways of working (Ptak&Schragenheim, 2016).
Cultural change: One of the common mistakes in the implementation of an ERP, is the
tendency to want to transfer the current way of doing it in an exact way to the new system.
Keep in mind that an ERP offers multiple ways to perform a process.
Allocation of resources: The most advisable thing is to allocate sufficient resources so that
the users can learn to use and exploit, with the highest possible yield, the potential of the
ERP, with the aim that all the organization increases the benefits.
Success depends on the skills and experience of the workforce, including education and how
to cause it to work correctly (Nwankpa, 2015). For a company, adequate implementation of
its management ERP can imply an improvement in its workflows by having a clearer vision
of all data, improving decision making and planning future strategies, and thus, offer better
customer service.
Reflection
In ERP system, a company can gain and improve on its systems both internally and
externally. Therefore, a company has to find which system is best suited to the business
model of the company.In summary, what every maintenance service should try to do with an
ERP business management software is the following:
Customize every processes of ERP solution to the specific needs of the company. Many of
these needs are not recognized until a company starts using the software. Hence it is
necessary to be careful during the first weeks to appropriately adjust the business
management program to each of the requirements that may arise (Leyh& Sander,2015).

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Over time, an ERP tool may fall short regarding configured functions. The advantage of this
type of business management software is that it is scalable, so it can be adapted to each of the
technical levels that a company may need over time. Hence, maintenance services should be
responsible for expanding the functions of the ERP based on what the company needs.
Over time, the ERP management software providers make changes to the programs to adapt
them to the new needs of the market and customers. The software consultancy should be
responsible for updating the plan to keep it competitive throughout its useful life (Kilic,
Zaim, &Delen, 2015).
In short, ERP business management software needs intensive care throughout its use. Also,
the budget assigned to the project must be aware of the need to establish an essential part of it
for ERP maintenance and post-implementation challenges.
Conclusion
Managing a newly implemented management ERP can be a complicated task at first. For this
reason, and to start obtaining positive results as soon as possible, it is convenient that the
software provider company offers a training service for users. These requirements are
fundamental when choosing a suitable ERP management software. It has management
solutions for any type of company fully adaptable to the needs of a particular sector, 100%
scalable and usable. It has powerful analysis tools for optimal strategy planning and decision
making. The technical services of the ERP should resolve any request in record time.
References

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Abdinnour, S., & Saeed, K. (2015). User perceptions towards an ERP system: Comparing the
post-implementation phase to the pre-implementation phase. Journal of Enterprise
Information Management, 28(2), 243-259.
Ali, M., & Miller, L. (2017). ERP system implementation in large enterprises–a systematic
literature review. Journal of Enterprise Information Management, 30(4), 666-692.
Kilic, H. S., Zaim, S., &Delen, D. (2015). Selecting “The Best” ERP system for SMEs using
a combination of ANP and PROMETHEE methods. Expert Systems with
Applications, 42(5), 2343-2352.
Leyh, C., & Sander, P. (2015). Critical success factors for ERP system implementation
projects: An update of literature reviews. In Enterprise Systems. Strategic,
Organizational, and Technological Dimensions (pp. 45-67). Springer, Cham.
Nwankpa, J. K. (2015). ERP system usage and benefit: A model of antecedents and
outcomes. Computers in Human Behavior, 45, 335-344.
Ptak, C. A., &Schragenheim, E. (2016). ERP: tools, techniques, and applications for
integrating the supply chain. Crc Press.
Shatat, A. S. (2015). Critical success factors in enterprise resource planning (ERP) system
implementation: An exploratory study in Oman. Electronic Journal of Information
Systems Evaluation, 18(1), 36-45.
Zach, O., Munkvold, B. E., & Olsen, D. H. (2014). ERP system implementation in SMEs:
exploring the influences of the SME context. Enterprise Information Systems, 8(2),
309-335.