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ERP Selection Criteria

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Postech Strategic Management of Information Systems Laboratory. Phases of ERP selection (1/2) ... Phase 1: Search for candidates and first filter. ... – PowerPoint PPT presentation

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Title: ERP Selection Criteria


1
ERP Selection Criteria
  • POSMIS

2
Contents
  • Phases of ERP selection
  • ERP selection criteria
  • Market share
  • ERP vendors with their pros cons

3
Phases of ERP selection (1/2)
Study strategy and business process and decide
to acquire an ERP.
Phase 0
Search for candidates and first filter.
Phase 1
Dig into the candidates and second filter.
Phase 2
Analysis and demonstration of candidates and
visits to the providers.
Phase 3
Final decision, negotiation and planning
Phase 4
4
Phases of ERP selection (2/2)
  • Phase 0 Study strategy and business process and
    decide to acquire an ERP.
  • Studies the business (mission, strategy, etc),
    business processes
  • Decide if the company has to acquire an ERP
  • Phase 1 Search for candidates and first filter.
  • Conduct a market research initiative looking for
    ERPs
  • Reduce the number of candidates
  • Phase 2 Dig into the candidates and second
    filter.
  • Obtain one or more interviews with the providers
  • Get as many fact sheets, catalogs, articles,
    etc., as possible
  • Select 2 or 3 ERP candidate solutions
  • Phase 3 Analysis and demonstration of candidates
    and visits to the providers
  • Phase 4 Final decision, negotiation and planning

5
ERP selection criteria (1/3)
  • Functionality criteria

6
ERP selection criteria (2/3)
  • Technical criteria

7
ERP selection criteria (3/3)
  • Others
  • Cost
  • Are the license costs justified given the
    functionality offering?
  • Are annual maintenance charges reasonable?
  • How quickly can payback be received?
  • Service Support
  • Can the supplier provide a complete turn-key
    solution?
  • How quick are non-critical software bugs fixed?
  • Does the vendor offer business process
    reengineering as part of the implementation
    process?
  • Does the supplier have industry experience?
  • Vendor longevity
  • How many years has the company been actively
    engaged?
  • When was the products first release? What is the
    current release version being quoted?

8
Market share
  • In 2000,
  • In 2005,
  • PeopleSoft merged J.D. Edwards in 2003,
  • Oracle merged PeopleSoft in 2005

9
ERP vendors with their pros cons (1/3)
  • Logistics Workflow
  • System Administration

10
ERP vendors with their pros cons (2/3)
  • Integration of Modules
  • Usability

11
ERP vendors with their pros cons (3/3)
  • Ease of implementation
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