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ERO system: implementation, audit and control risks

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par Borhen KHATIB
INSEEC - MSc Program in Audit and Control Management 2010
  

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3.2. ERP System implementation phases

These phases make the project progress by providing visible landmarks and give a general layout of the project.

3.2.1. launch phase

Anticipating all necessary resources for an immediate departure of the project is the key of success in this phase. This phase requires a strong involvement of senior managers and economic objectives must be known and shared.

The failure factors are due to a too fast start of the project caused by a long decisional cycle and the consultants desire to gain the lost time.

Key activities are:

3.2.1.1. Build the project and release means

This will require mobilizing the project team which is a difficult step because after identifying the potential partners we must, negotiate with those concerned their participation in the project, and convince their superiors.

In this step difficulty is that for many operational users, it is not obvious to leave their own structure and join the project team for one to two years.

3.2.1.2. Confirm the objectives and identify the open questions

Formalization of objectives and definition of exact needs are the challenge for the project team. Indeed they can make concrete and visible the project's contribution to the company goals by allowing needed resources.

The objectives are first expressed in general terms and therefore must be listed by the project management in more details:

- Organizational scope, which specifies the entities involved: Business units,

services, profiles and number of users.

- Functional scope, which identifies functions / processes used by prospective users and the modules and sub modules in the ERP.

- Integration scope, which details other applications with which ERP data exchange.

By performing this exercise, we will detect "open questions" that should be clarified during the design phase.

Key questions that a business should ask are: Who will lead our implementation effort?

- Do we have the in house resources, skills and experience to implement ERP?

- Should we build effective strategic partnerships?

- Have we considered how the implementation will differentiate our business?

- Have we developed a business case for the ERP implementation project?

- Do the features and functions meet our needs?

- Is the ERP package compatible with our business?

- Should we buy an integrated package from a single vendor or best-of-breed

solutions from several vendors?

- How do we get started with the implementation?

- What steps do we take to ensure that the implementation is on track? - How do we ensure that our people are accepting change?

- How do we integrate the ERP with our other legacy systems?

The Project team has to detect those under the responsibility of the direction team.

Open questions will be resolved during the next phase. However, if the questions are important, it will be advisable, before starting the design phase, to take time and clarify the key points by a pre-focused study.

3.2.1.3. Initiate information systems mapping

During this phase, the concern is to establish, or at least to initiate the establishment of a mapping.

Mapping is related to existing applications, interfaces, platforms and technologies that support the information flows around the databases and allows in the next phase project team to assess the functional context of integration between the ERP and other applications.

This will be made with computer services technical study, and using functional to clarify the functions which are handled by existing applications.

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