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Know The Difference Between ERP And CRM Software

ERP and CRM software appear lot similar but both applications developed to fulfill different purposes, there is more difference between ERP and CRM than similarity. ERP is modular application which is designed for automating various departments of any organization like finance, production, purchase, sales and distribution, human resource, logistics etc and to integrate them with single software so that any department can see and access information across entire organization.

Implementation of ERP plays a very crucial role in its success and since ERP is huge software which requires coordinated effort and has many stakeholders is the reason why most ERP implementations take so long to complete. During ERP implementation functional consultants, technical consultants, Project managers, team members and client collectively carry out each step one after another to complete the entire process. Even in the case when entire process goes on smoothly without any obstructions, errors and omissions it is a lengthy process and takes lot of time to complete. Some problems which arise generally during implementation like insufficient budget, frequent changes in business plans, improper analysis of the project, lack of cooperation from the staff etc are common reasons why most implementations take so long to complete.

Before actual ERP implementation begins functional consultant or team of functional consultants need to study and analyze entire work flow and all the processes of the organization where ERP has to be implemented. Such organizations are mostly large organizations with many offices, work locations and huge staff, studying the entire working of such organizations requires time and effort. Also functional consultants discuss the present style of working with staff that is already stuffed with their daily tasks, this slows down the speed of gathering information and consumes lot of time. Once information gathering is over then functional consultants start analyzing the system and when there analysis is over actual implementation begins. Slowness in execution of the steps in which local staff needs to get involved is one of the major reasons why most ERP implementations take so long to complete.

Functional consultants Map the requirements, problem areas, inefficient processes and suggest new processes, automation of certain processes and other changes to improve functioning and increase profit margins. Management of the organization buying ERP has to accept or reject these changes. Since purchasing and implementing ERP involves lot of money and effort hence management takes lot of precautions before reaching a decision, also giving up old processes and making big changes in the working appears scary to the management. Most of the times delay in receiving green signal from the management delays the implementation process, this is another reason why most ERP implementation takes so long to complete.

Technical problem is another reason why most ERP implementation takes so long to complete. Mostly organizations have small software which their staff uses for their daily tasks like small accounting software or inventory/warehouse management software etc. These software contain crucial data in their database which cannot be ignored, in most of the cases linking the database of these software with large database of ERP or establishing links for reporting tools of ERP so that entries made through these software can be reflected in the reports becomes nightmare for technical consultants. Overcoming these problems can take more time than expected and is one of the important reasons why most ERP implementations take so long to complete.

Apart from these, ERP implementation can face delays due to innumerable reasonsFind Article, largely the volume and size of organizations and also of ERP application is the main reason why most ERP implementation take so long to complete.

Article Tags: Implementations Take, Functional Consultants, These Software

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