In my opinion, company should adopt ERP system, whether it can cover whole company’s process flow or not. ERP system can definitely reduce inefficient cost and increase income.
The most important consideration to keep in mind when adopting an ERP is the analysis of the effect to bring profit. Through the analysis, company must be able to make a benefit-cost plan and decide the scale of ERP.
I have two experiences in developing ERP as a member of task force team.
In my first experience, the method of adopting was not buying already made programs such as Oracle & Duzon but developing ERP system entirely for my company.
It was an awesome system. After the development, I was able to convert information to required formats.
Even after developing a customized system, there were some problems. The first problem was the cost to develop. Company invested 30 million USD for the development of ERP and had to spend millions more to maintain the system.
The second was period taken for developing ERP. From the decision to adopt ERP to the finish, the project took 2 years to understand the process flow of every department in the company, develop program for each flow and, emerge the whole process into a single program. It took additional 2 years to monitor and to bring about stable operation of system.
Lastly, we had a trouble with the developing company. In order to operate and to maintain the system, employees of the developing company stayed in my company. Different interests and opinions between two companies caused a lot of problems.
My second experience was buying of already made program. We bought Duzon, which is a program developed by Samsung SDI. This also had problems. It was not developed for a specific company. So the program was not customized. Even after receiving the data I wanted, I had to work one more step to make it into a required data.
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