Explain various steps to be followed for successful implementation of ERP in a company.

Implementation of Enterprise Resource Planning (ERP) system is a challenging transition and a rewarding change, if implemented properly. Here is a 10 step framework that walks you through high-level steps that will take you from day 1 of planning to launch. Successful ERP implementation involves the following: Need Assessment The first step in any ERP implementation is to identify the company's needs. Start by finding and documenting the critical business processes, inflection points and key performance indicators (KPI). This will help in pinpoint the right ERP solution, as well as the appropriate specialists needed as we go through this important transition. Remember this is about business processes that support the enterprise. While information technology considerations are important, IT shouldn't be the driver of the analysis. Hire a Team of Specialists Many organizations lack the internal expertise and experience for ERP implementation. One needs to consider hiring or contracting with an experienced professional to guide you through the implementation process. This will prevent a lot of headaches and wasted time, as well as giving the time to focus on other tasks. ERP System Evaluation and Selection Selection of the right ERP solution is one of the most critical steps in the process. The right program depends on the industry, business needs and system preferences. One consideration is whether somebody needs a premise ERP system or a cloud computing ERP system. Many businesses have made the jump to the cloud. That may be the right solution, but understand it's not always the best option. It will depend on specific business requirements and organization's capacity to support the process. ERP consultant can also assist with this decision. Prepare for Change Implementing a new ERP system can be a major change for a company, especially if the company never use done in the past. It's important to stay transparent with the employees about the change and engage them when possible. ERP transitions are as much about changing culture as changing technology. Data Preparation Don't assume that all of the current data can be converted into the new system. Analyse the current data and decide which pieces need to be converted. After the data is all entered into the ERP database (most data bases allow data entry via spreadsheet) one needs to clean it up. Review the information database and weed out anything that you deem unnecessary, like old customers or those who are no longer in business. Data integrity is critical to a successful implementation. ERP Implementation After completing the first five steps, it's time to launch the new system. The ERP consultants have mapped out a specific plan of how to install, configure and optimize the system for working environment. Plans are bound to change (at least slightly) during this process so always keep your major needs and end goals in mind. Testing While the performance and integrity of ERP systems have come a long way since their introduction in the 90'sdo not assume everything will execute smooth. System and user acceptance testing is a key phase of the implementation process. Training & Education After your system is configured, you need to train the employees on how to use the new program. Try finding a group that specializes in on sight training to make sure everyone is up to speed. Ensure the IT team has an extra session of training to know how to handle any tech problems that may arise in the future. Go Live Once the system has been configured, tested and your employees have been trained, it's time to go live. One can now safely activate your ERP system. It wouldn't hurt to do another round of testing after launching, just in case. Ongoing Support Unfortunately, one can't just install the ERP system and never touch it again. Advanced ERP implementations require time and attention beyond the initial installation. This includes upgrades to your system and general maintenance.