Enterprise Resource Planning

 Enterprise resource planning

 Enterprise resource planning (ERP) systems helps improve enterprise efficiency and effectiveness in a number of ways. Just like it will help other companies and organizations, AFRITAM as an institute the ERP systems helps us to unify our financial reporting accordingly. This kind of service also helps to integrate order management, making order taking, manufacturing, inventory, accounting, and distribution a much simpler and less error-prone process. The ERPs also include customer relationship management (CRM) tools to track client’s interactions, they can also standardize and automate manufacturing and supporting processes, and unifying procurement across an organization’s different business units. An ERP system can also provide a standardized HR platform for time reporting, expense tracking, training, skills matching.

Types of ERP

 These ERP systems in the organizations can be categorized in different tiers that can help develop organizations they include the following: -

·       Tier I:    ERPs support large, global enterprises and handle all internationalization issues, including currency, language, alphabet, postal code, accounting rules. Tier I Government ERPs support large, mostly federal, government agencies. These vendors support the nuances of government accounting, HR, and procurement.

·       Tier II ERPs support large enterprises that may operate in multiple countries but lack global reach. Tier II customers can be standalone entities or business units of large global enterprises. This tier in the Government ERPs focus mostly on state and local governments with some federal installations.

·       Tier III ERPs are designed for small enterprises and often focus on accounting.

ERP implementation

 These implements, AFRITAM uses these implements to help its clients to develop their businesses from scratch to the top, to also give them good business skills that can them for the best.  During the implementation process it follows 5 major steps that can be followed they include;

1. Gain approval

The executive sponsor oversees the creation of any documentation required for approval. This document, usually called a business case, it typically includes the following:

·       Problem definition

·       Description of the program’s objectives and scope

·       Assumptions

·       Implementation costs

·       Implementation schedule

·       Development and operational risks

·       Projected benefits

Once the business case is complete, the executive sponsor presents the business case to the appropriate group of senior executives for formal approval to spend money and direct staff to implement the ERP.

2. Plan the program

The high-level timeline created for the business case is then refined into a work plan, which should include the following steps:

·       Finalize team members. Key internal individuals should be identified by name. Other required staff should be identified by role. External partners need to be selected. Typical partners include: ERP implementation specialists, organizational change management specialists and technical specialists.

·       Complete contracts. Contracts for new software, technology, and services should be finalized.

·       Plan infrastructure upgrades. On-premises ERP systems frequently require faster processors, additional storage, and improved communications. Some organizations can minimize infrastructure upgrades by using a cloud ERP. But even cloud ERPs can require infrastructure upgrades.

·       Create a work plan and timeline. Tasks, dependencies, resources, and timing need to be made as specific as possible.

3. Configure software

This is the largest, most difficult phase. Major steps include:

·       Analyze gaps. Understanding the gaps in current business processes and supporting applications helps the project team determine how to change business processes to conform to the software.

·       Configure parameters. Parameters in the ERP software are set to reflect the new business processes.

·       Complete required programming. Ideally, no changes are needed for the ERP software. However, some programming may be required for interfaces to other systems or for data migration.

·       Migrate data. The team standardizes data definitions and examines existing files for data completeness, quality, and redundancy. Finally, existing data is cleansed and migrated to the new ERP.

·       Test system. The system is tested to ensure it delivers the needed functionality and required responsiveness.

·       Document system. Required functional and technical documentation is created. Typically, the vendor has documentation that can be tailored to enterprise standards.

·       Upgrade infrastructure. Complete any required upgrades.

4. Deploy the system

Prior to the final cutover when the new system is in production, multiple activities have to be completed. These include:

·       Train staff. All staff need to be trained to operate the system and be given access rights. At AFRITAM we offer Training and consulting at our firm.  we also take Training of our staffs very important because it helps us to develop our employees’ skills in the working environment and also helps the organization to develop since we all do work at the same pace with one aim to develop the company. 

·       Plan support. A support team will be needed to answer questions and resolve problems after the ERP is operational.

·       Test the system. The new system must be thoroughly tested to ensure it is secure, responsive, and delivers the functionality described in the business case.

5. Stabilize the system

·       Following ERP deployment, most organizations experience a dip in business performance as staff learn new roles, tools, business processes, and metrics.