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Module 1: ERP Implementation: Change Management & Post-

Implementation Phases
1.1 Introduction to ERP Implementation & Change Management
Implementing an Enterprise Resource Planning (ERP) system is not just a
technology project; it's a profound organizational change. Effective
Change Management is crucial to ensure user adoption, mitigate
resistance, and achieve the desired business benefits.
Key Phases of ERP Implementation (Simplified):

Phase Description Key Activities

Define scope, objectives, Requirements gathering,

1. Planning &
budget, timeline. Analyze vendor selection, team
Analysis
current processes. formation.

Customize ERP to fit

System design, module
2. Design & business needs. Define
configuration, prototype
Configuration processes, data migration
development.
strategy.

Develop custom code (if Data migration,

3. Development
any), integrate systems. integration testing, user
& Testing
Rigorous testing. acceptance testing (UAT).

Data cutover, user

4. Deployment Launch the new system.
training, system
(Go-Live) Transition from old to new.
activation.

Ongoing activities to ensure

5. Post- Support, maintenance,
system health and optimize
Implementation review, security.
usage.

1.2 Post-Implementation Review

The "Go-Live" is just the beginning. A structured Post-Implementation
Review is vital to assess the project's success and identify areas for
continuous improvement.
Purpose:
 To evaluate if the ERP system is delivering the expected value and
benefits.
  To identify any gaps, issues, or unfulfilled requirements.
 To capture lessons learned for future projects.
 To ensure user satisfaction and adoption.
Key Activities & Metrics:
 Performance Evaluation:
o System Uptime & Response Times
o Data Accuracy & Integrity
o Throughput of Key Processes (e.g., order processing time,
financial closing time)
 User Feedback & Adoption:
o Surveys, interviews, focus groups with end-users.
o Tracking system usage rates.
o Identification of training needs or areas of resistance.
 Financial & ROI Assessment:
o Comparison of actual costs vs. budget.
o Quantification of achieved cost savings or revenue
improvements.
o Review of ROI projections.
 Process Efficiency:
o Measurement of process cycle times before and after ERP.
o Identification of streamlined workflows.
 Lessons Learned:
o Documenting what went well, what could be improved for
future projects.
o Updating best practices.
Post-Implementation Review Process
START
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Define Review Scope & Objectives
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Gather Data (Performance Metrics, User Feedback, Financials)
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Analyze Data & Identify Gaps/Successes
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Prepare Review Report (Findings, Recommendations)
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Present Findings to Stakeholders
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Develop Action Plan for Improvements
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Implement Action Plan
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Monitor & Evaluate Improvements
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END

1.3 Support, Maintenance, and Security of ERP

These are ongoing, critical activities that ensure the ERP system remains
effective, efficient, and secure throughout its lifecycle.
1.3.1 ERP Support
Definition: Providing assistance to end-users and resolving operational
issues to ensure business continuity.
Types of Support:
  Help Desk/Tier 1 Support: First point of contact for user queries,
basic troubleshooting, password resets.
 Functional Support (Tier 2): Addresses issues related to specific
ERP modules (e.g., "Why isn't this invoice posting?"). Requires
functional knowledge of the ERP and business processes.
 Technical Support (Tier 3): Handles complex technical problems,
system errors, database issues, integrations. Often involves internal
IT or vendor specialists.
Key Activities:
 Problem Resolution (bug fixes)
 User Training & Documentation updates
 Performance Monitoring & Optimization
 Incident Management (tracking and resolving issues)
1.3.2 ERP Maintenance
Definition: Proactive activities to keep the ERP system healthy, updated,
and performing optimally.
Types of Maintenance:
 Preventive Maintenance: Scheduled tasks to prevent issues (e.g.,
database backups, log file cleanup).
 Corrective Maintenance: Addressing known bugs or performance
bottlenecks.
 Adaptive Maintenance: Modifying the system to accommodate
changes in business requirements, regulations, or interfaces with
other systems.
 Perfective Maintenance: Enhancing system functionality or
performance (e.g., optimizing queries, adding new reports).
 Upgrades & Patches: Applying vendor-released updates to fix
bugs, improve security, or add new features.
Importance:
 Ensures system stability and reliability.
 Keeps the system secure and compliant.
 Leverages new features and performance improvements from the
vendor.
1.3.3 ERP Security
Definition: Protecting the ERP system, its data, and associated
infrastructure from unauthorized access, use, disclosure, disruption,
modification, or destruction. Given the critical and sensitive nature of data
in ERPs, security is paramount.
Key Security Measures:

Category Description Examples

Restricting who can Role-Based Access Control (RBAC),

Access
access what data and Multi-Factor Authentication (MFA),
Control
functionalities. Strong Passwords.

Encryption (at database level, for

Data Protecting data at rest
communication), Data Masking,
Security and in transit.
Data Loss Prevention (DLP).

Firewalls, Intrusion
Protecting the underlying
System Detection/Prevention Systems
infrastructure and
Security (IDS/IPS), Regular Patching,
software.
Antivirus.

Tracking activities within Audit Trails, Security Information &

Audit &
the ERP for accountability Event Management (SIEM)
Monitoring
and anomaly detection. systems, Regular Log Reviews.

Ensuring business Regular Backups, Offsite Storage,

Disaster
continuity in case of Disaster Recovery Plan (DRP),
Recovery
system failure or disaster. Business Continuity Plan (BCP).

Adhering to relevant laws GDPR, SOX, HIPAA (depending on

Compliance
and regulations. industry).

Educating users on
User Phishing awareness, secure
security best practices
Training password habits.
and policies.

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Module 2: Different Business Modules of an ERP Package

An ERP package is a collection of integrated modules, each designed to
manage specific business functions. The integration across modules is
what provides the "single source of truth" and enterprise-wide visibility.
Common ERP Modules & Their Core Functions:

ERP Module Primary Functions Key Benefits

1. Financial General Ledger, Accounts Centralized financial

 Payable, Accounts Receivable,
data, accurate
Budgeting, Fixed Asset
reporting, improved
Management Management, Cash
cash flow management,
Management, Financial
regulatory compliance.
Reporting, Tax Management.

Payroll, Time & Attendance,

Streamlined HR
2. Human Employee Records,
processes, accurate
Capital Recruitment, Onboarding,
payroll, better talent
Management Benefits Administration,
management, improved
(HCM) Performance Management,
employee satisfaction.
Training & Development.

Procurement (Purchasing),
Optimized inventory
3. Supply Inventory Management,
levels, reduced costs,
Chain Warehouse Management, Order
improved delivery
Management Management, Logistics,
times, better supplier
(SCM) Demand Planning, Supplier
relationships.
Relationship Management.

Production Planning, Material

Efficient production,
Requirements Planning (MRP),
reduced waste,
4. Shop Floor Control, Quality
improved product
Manufacturing Control, Bill of Materials (BOM)
quality, better resource
Management, Capacity
utilization.
Planning.

Sales Automation (Lead,

Enhanced customer
Opportunity, Quote Mgmt),
5. Customer satisfaction, improved
Marketing Automation,
Relationship sales efficiency, better
Customer Service, Contact
Mgmt (CRM) understanding of
Management, Sales
customer needs.
Forecasting.

Better project
Project Planning, Resource
oversight, on-time and
6. Project Allocation, Time Tracking,
on-budget project
Management Expense Tracking, Budgeting,
delivery, optimized
Project Costing, Reporting.
resource utilization.

Data-driven decision
Data Warehousing, Reporting,
7. Business making, identification of
Dashboards, Data Analytics,
Intelligence trends, performance
Predictive Analytics, Data
(BI) monitoring, strategic
Visualization.
insights.

8. Sales & Order Entry, Pricing, Shipping, Faster order processing,

Distribution Billing, Credit Management, accurate billing,
 improved customer
(SD) Sales Information System. service, optimized sales
operations.

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Note: The specific names and exact functionalities of modules can vary
slightly between different ERP vendors (e.g., SAP, Oracle, Microsoft
Dynamics, NetSuite).

Module 3: ERP Marketplace and Marketplace Dynamics

The ERP marketplace is a dynamic and competitive environment
influenced by technological advancements, changing business needs, and
evolving deployment models.
3.1 The ERP Marketplace
Definition: The global landscape of ERP software vendors, consulting
firms, system integrators, and related service providers.
Key Players:
 Tier 1 (Large Enterprises): SAP, Oracle, Microsoft Dynamics 365.
These offer comprehensive, highly customizable solutions for large,
complex organizations.
 Tier 2 (Mid-Market): Infor, Sage, Epicor, IFS, Acumatica. Solutions
for medium-sized businesses with significant growth potential.
 Tier 3 (Small Business/Niche): Many specialized vendors catering
to specific industries or smaller companies.
Deployment Models:
 On-Premise: Software installed and run on servers located within
the company's own data center.
o Pros: Full control, higher customization potential.
o Cons: High upfront costs, significant IT overhead, slower
updates.
 Cloud-Based (SaaS - Software as a Service): Software hosted
by the vendor and accessed via the internet (web browser).
o Pros: Lower upfront costs (subscription model), scalability,
automatic updates, reduced IT overhead, remote accessibility.
o Cons: Less control over infrastructure, potential customization
limitations, reliance on vendor for security.
  Hybrid: A combination of on-premise and cloud components. Often
used during transition phases or for specific data requirements.
3.2 Marketplace Dynamics
The ERP market is constantly evolving. Several key trends are shaping its
future:
1. Dominance of Cloud (SaaS) ERP: * Shift: Strong and continuous
migration from on-premise to cloud solutions. * Drivers: Agility, reduced
capital expenditure, automatic updates, easier scaling, remote work
support. * Impact: Vendors are heavily investing in cloud-native platforms
and migrating existing customers to cloud versions.
2. Artificial Intelligence (AI) & Machine Learning (ML) Integration:
* Trend: Embedding AI/ML capabilities directly into ERP modules. *
Applications: * Predictive Analytics: Demand forecasting, equipment
maintenance, customer churn prediction. * Process Automation: Robotic
Process Automation (RPA) for repetitive tasks (e.g., invoice processing). *
Intelligent Insights: Anomaly detection, personalized recommendations.
* Benefit: Smarter operations, improved decision-making, increased
efficiency.
3. Industry Specialization & Verticalization: * Trend: ERP vendors
developing industry-specific solutions (verticals) rather than generic ones.
* Reason: Industries have unique processes, compliance requirements
(e.g., healthcare, retail, manufacturing). * Benefit: Faster
implementation, better fit for industry-specific needs, reduced
customization.
4. Enhanced User Experience (UX) & Mobile Accessibility: * Trend:
Focus on intuitive interfaces, personalized dashboards, and mobile app
accessibility. * Reason: Improve user adoption, reduce training costs,
increase productivity. * Impact: Modern ERPs look and feel more like
consumer applications.
5. Data Analytics & Business Intelligence (BI) as Core: * Trend:
ERPs are becoming powerful data hubs, with robust built-in BI and
analytical tools. * Benefit: Enables organizations to extract actionable
insights from their operational data for strategic decision-making.
6. Cybersecurity as a Top Priority: * Trend: Increased focus on robust
security features, compliance certifications, and data privacy. * Reason:
High-profile data breaches, regulatory pressures (GDPR, CCPA), and the
critical nature of ERP data. * Impact: Vendors are investing heavily in
security infrastructure and services.
7. Hyperautomation & Robotic Process Automation (RPA): * Trend:
Automating more complex business processes end-to-end, often
leveraging RPA tools integrated with ERP. * Benefit: Significant efficiency
gains, reduced human error, freeing up employees for higher-value tasks.
8. Consolidation & Ecosystem Growth: * Consolidation: Larger ERP
vendors acquiring smaller, specialized players to expand their offerings. *
Ecosystem: Growth of independent software vendors (ISVs) developing
complementary solutions that integrate with major ERP platforms.