Ultra recently signed a project with an industrial supplier located on the East Coast. A few weeks ago, we were on site conducting our customary executive interviews and visioning sessions, whose content is directly used for launching the business case for change.
Determining the Need for Change
One of the first steps in beginning an ERP project and launching the business case for change is to determine why change is necessary. Through our on-site meetings with this client, we were able to identify a few key areas that would be improved upon by a modern enterprise application system:
- Customer Focus – The heightened ease-of-use of a new system would maintain, if not increase, customer focus and energy.
- Business Processes – Improving ERP would make way for increased and optimized business processes.
- Organizational Change Management Strategy (OCM) – With a new system, the client will have the bandwidth to focus on change management and increase the effort towards general internal communication and collaboration.
- Revenues – Improving efficiencies via a new ERP system has a direct impact on service revenue and margin.
- Data Cleansing and Storing – An updated system would have features for data management, allowing the client to cleanse and migrate their current data from paper into actionable items.
- Automation – Handoffs and exception management would be improved by newer technology.
Goals Achieved by Launching the Business Case for Change
After we defined a few key benefits of a new ERP system, the next step was to discuss a few goals for the business that would be within reach after updating their business processes:
- Scheduling – Up-to-date ERPs typically have modules specifically dedicated to scheduling. After acquiring such a solution, the company would be able to minimize production coordination meetings by easily defining schedules and milestones.
- Profitability – Defining project profitability and margin drivers at the time of OE would add visibility to basic project measures across the business.
- Waste – A new system would reduce waste from duplication of data.
- Customer Knowledge – An updated ERP system would reduce the time needed to generate a 360 degree view of customers, including sales, marketing and service data and case management.
- Customer Satisfaction – By heightening the knowledge of their clients, the company will be able to better serve them, increasing customer satisfaction.
- Data conversion – As soon as a new system is acquired, our client would be able to convert all data from paper systems into the new, automated ERP system.
- Utilization – Capacity and workloads will become clearer, allowing employee utilization to increase.
Thoughts on ERP
After determining the need for change and identifying business goals for launching the business case for change, we then identified a few specific features and functions that would be necessary in the client’s new ERP system:
- Multi-currency and possibly multi-language capabilities
- PLM integration
- ETO/CTO capabilities
- CRM for case management
- Shop Floor planning
- Role-based security
Our goal at Ultra Consultants is to do work that adds value to our clients. We say the same about new systems – it is imperative not only to assess the need for change and the goals of the business, but also the ways in an ERP system selection would directly add value to the company.
To learn more about how Ultra can add value to your company and assist in launching your business case for change, contact us today.