How to Reduce the Risks of ERP Implementation  

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Reduce the risks of erp implementation with Kwixand Solutions

 

 

 

 

 

 

 

 

An ERP implementation is typically perceived as a challenging or risky time for most organizations. We’ve all heard the horror stories of ERP projects that have gone wrong and how a failed implementation can set your business back. It’s not all wrong – an ERP implementation is one of the highest risk projects because it can impact all business processes across your company.  

When things go wrong during an ERP implementation, the associated risk your organization will likely face include significant cost overruns, project delays, and lack of ROI and effectiveness of your selected software.  

This makes it difficult for companies who are financially constrained to greenlight an ERP project because they are afraid that it might end up costing them more than they anticipated or that it exceeds their initial timeline, causing resource strains within the company.  

However, not investing in ERP software or not making upgrades to an outdated ERP system is also risky – as they miss out on the value and many business benefits of ERP software

This is why Kwixand Solutions decided to develop a 2-phase implementation methodology that mitigates the risks of ERP implementation, such as going over budget and over schedule for all our clients. Here’s what you need to know:  

 

Introducing our 2 Phase ERP Implementation Methodology for Dynamics 365  

Our 2 phase ERP implementation methodology is ideal for businesses of any size and industry interested in a Microsoft Dynamics 365 ERP solution and looking to mitigate the risks of their ERP project going over budget or schedule. 

What Happens in Phase 1? 

Phase 1 is a fixed-fee project that typically takes between 4 to 8 weeks to complete, depending on the complexity of the organization.  

In this phase, the Kwixand Solutions team does a deep dive into the client’s business processes. This begins with meeting key individuals in the organization, and everything is recorded in detail. Then we generate more questions internally to ask the client, which is an iterative process until we have no more questions left.  

Once the functional requirements are documented, the team starts assessing the Dynamics 365 solution the client wants to adopt, identifying gaps, and designing solutions to bridge them. A lot of effort is dedicated to identifying what the business is like, what makes them successful, what internal processes they have learned over time that deliver value to their business – and how we can support those processes in the software. Then we assess how much effort it would take to implement the solution.  

At the end of this phase, the client receives the following: 

  • A functional requirements document 
  • A project plan and timeline 
  • A proposal document (which includes a fixed fee price for the next phase.) 

What Happens in Phase 2?  

Phase 2 is when the ERP software is implemented for the client. It is a fixed fee project and typically takes between 3 to 6 months, depending on the complexity of the client’s business.  

There is low financial risk now for the organization because they have already received a project timeline and a fixed fee price for their implementation, so they know exactly what the costs and schedule look like. Training and support are also provided after go-live. 

We work with the client as partners and ensure that at the end of the day, we are not simply implementing a solution for the business but rather partnering with the client to help them achieve their end goals through a blend of software and processes. We fit the solution to the client’s business so it can support long-term growth and ROI.  

How Does This Methodology Mitigate Risks of ERP Implementation? 

  • As you’re paying a fixed fee price for both phases, the financial risks are low as you know how exactly much the costs are beforehand.  
  • You have a clear understanding of the schedule and timeline of the project from the get-go.  
  • You know precisely what kind of solution you will get and how it will fit within your business.  

Not to mention, clients are not obligated to proceed after phase 1 and they are free to use those documents as a buying toolkit should they want to compare and shop around.  

Ready to Get Started? Book a Free Consultation  

If you have questions about our 2 phase ERP implementations or have an ERP project in mind, discover how we can help your business mitigate the risks of ERP implementation by getting in touch with the Kwixand Solutions team. You can contact us directly or book a free consultation here

 

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