Microsoft Dynamics GP: Corporate ERP Evolution

Jul 17
19:17

2007

Andrew Karasev

Andrew Karasev

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This small article on Microsoft Great Plains is written for corporate IT departments and technology strategists, rather than for end-programmer (who mostly deals with tactical goals realization). If you work or consult large public corporation, the dilemma of MRP evolution versus ERP “revolution” is common and you are not the first and not the last one to deal with this

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 If your company is currently selecting new ERP for implementation from scratch,Microsoft Dynamics GP: Corporate ERP Evolution Articles then this is different situation – in this article we consult you on options available, when your company has historical investment into Great Plains Dynamics/eEnterprise (current product name is Microsoft Dynamics GP).  Let’s begin

  • Evolution philosophy.  It is typically safer (and less expensive) to do one step at the time (with the option to roll back if something will turn bad with new piece).  In the case of your ERP system, it means that it is good strategy to look at your newly acquired subsidiaries and their current ERP legacy, and try to integrate them into your corporate ERP (try to avoid aggressive approach, when you replace them immediately with your ERP template solution – it is always good idea to respect the acquired business model and try to achieve synergy versus suppressing the synergistic potential)
  • Consolidation.  If you will keep subsidiaries ERP running in production, then your strategy is consolidation.  There are multiple pros to keep overseas international ERP: compliance to local countries legislation, localization (local language support, sophisticated payroll taxes, monetary control compliance to name a few international ERP peculiarities – if you disrespect one of these “international business rules” – you may expose your overseas subsidiary to extensive and non-desirable government audit).  Consolidation, or GL transactions migration from local ERP to GP GL allows you to respect international rules and at the same time place tight managerial control.  You should understand what GL consolidation is – you will see General Journal transactions only, not original Sales or Purchasing records – but this is already a very robust control.  When you have GL consolidation, you should design advanced FRx report with reporting tree, this will allow you to build consolidated Balance Sheet and P&L reports for the whole corporation (where you will eliminate intercompany transactions)
  • Customization.  You should familiarize yourself with GP customization technologies – it is important to understand the pluses and minuses of each one and the longevity potential.  Our recommendation is customization technologies balance – do not stake on one technology (VBA/Modifier, for example), instead try various technologies and give them the opportunity to compete for the best solution: Microsoft Dexterity, eConnect, Crystal Reports, ReportWriter, FRx, Business Portal, GP Integration Manager
  • Shift to Integration paradigm.  Nowadays you expect to see unique business processes to be automated in either inhouse made custom applications, or in peripheral ERP extensions form proven industry specific software vendors.  This should mean that you don’t have to replicate your unique business logic in GP custom module, but instead you should integrate existing system with GP backoffice.  We will try to give you your industry specific case in our future publications, so please check our website