ERP RFP Preparation

When it comes to enterprise technology selection, the most common approach taken by manufacturing and distribution organizations is to issue a RFP (Request for Proposal) to ERP vendors.

But while this is a typical approach, is it the most effective?

As an independent consulting team, we approach ERP RFP Preparation  in a more strategic way. We see this activity is more effective when it is approached as a Request for Presentation.  A presentation is far more revealing than a written response. Also, presentations give you a chance to meet the ERP vendor and test the relationship between your team and their team.

The Steps to an Effective ERP RFP Preparation

1. Overview
   1. Company overview  highlighting the manufacturing or distribution company entering into an enterprise technology project
   2. Scope of new system
      1. Applications – business processes
      2. Users
      3. Locations
   3. Reason for change
   4. Description of current system
   5. ERP Implementation plan
2. Request for presentation
   1. Vendor overview to evaluate the considerations important to the organization
   2. Technology presentation
   3. Support presentation
   4. Price proposal, including licensing, user fees, support agreement  and upgrades
   5. Business process improvement presentation

The success of effective ERP RFP Preparation depends on the vendor having the needed background to understand your industry, business and processes.

We coach our clients to take the time up front, even before any meetings or discussions about technology, to educate the ERP vendors on your business.

The ERP RFP preparation phase needs enough time and advance planning to be effective.  That’s why we coach teams to start the process in advance to provide the tech vendor enough time to properly evaluate the ERP system. Advance planning will also help the internal team be more effective.

ERP RFP Preparation for Better Business Outcomes

When planned and executed by the best ERP consultants in the industry, ERP RFP Preparation serves as the foundation for success. The advanced planning leads to an effective ERP selection project.

This process will pay off in dividends when approached carefully.  The idea is to assemble the needed data for a shared understanding from both the manufacturing organization considering an enterprise technology project, as well as the technology vendor.  Based on this ERP RFP preparation, the next step is to create a relevant and effective presentation that addresses the specific needs the organization has for a new enterprise technology solution.

The Benefits of Effective ERP RFP Preparation

We see the power of an effective ERP RFP preparation when we look at the benefits the approach generates.

1. A faster process: Our clients achieve a significant payback for the manufacturing company since the response from vendors is more targeted to the specifics of the project, cutting the time it usually takes to generate an RFP.
2. The ability to leverage experience: Companies succeed with this approach when the use independent resources with extensive experience.
3. Improved information: Our efforts help the vendor team tightly focus on the manufacturer’s needs and desires from a new ERP system. This gives the vendor the ability to showcase their solutions as best serves the project.

ERP RFD Preparation for a Smarter Process

In all, the steps to an effective ERP RFP preparation make it a smarter process. You will understand which systems deserve review and be aware of each solution worthy of review.