In most cases, ERP system software may take years to complete their implementation process. Activities done during ERP implementation process may vary according to the company size and specified project of businesses. According to studies, it is found that the time required for the implementation of ERP system software increases with increase in complexity of project. Approximately, it may take six months to one year duration for implementing ERP system software in a company. Today, almost all sizes of company are introducing ERP for their business management.

Choosing ERP consultant plays a great role indetermining its timeframe. To reduce the time consumption during implementation, it is advised to employ ERP consultant with good knowledge. Business process of company is a main factor determining the timeframe of implementation process. Today, implementation of enterprise resource planning software is done with customization option to meet the demands of customers. How many of you know coding work of ERP system software? Generally, coding work of implementation is done by technical consultants. Anyway, this process may take some time to complete.

Documentation process is one of the main tasks performed by ERP consultants. It is the role of functional ERP consultants to go through paper works of each module. In case of large companies, ERP implementation may take so long to complete. In this case, company workers may employ a team of ERP consultants to do task. It can reduce the timeframe required for implementation. Hence there is no accurate timeframe for ERP implementation process. Completion of project without proper analysis can lead way to failure. This is one of the common problems reported by many company owners.

Typical implementation timeframe for ERP system is described on the basis of company size. Studies say that a small sized company may take nearly six months duration to complete ERP implementation. Whereas, a large sized company may take up to one and a half years duration to complete ERP implementation. Have you ever checked how efficient your team members are? Efficiency of team members is a vital factor influencing the timeframe of ERP implementation. To prevent this problem, it is recommended to employ professional functional and technical ERP consultants with good experience. Also, it is advised to have realistic expectations rather than an unrealistic one. This can reduce the delay in timeframe for ERP implementation.

Read about Implementation Timeframe for ERP System. Also know Cost of ERP Implementation.

ERP also has immense potential in bringing down cost of production and keep prices of services or products to minimum. The companies who are able to achieve this remain safely placed in the market and withstand threats of competition and new entrants in a sound manner. Companies using ERP get benefits like keeping their inventory under control and better production planning. With better planning over-purchase of inventory and dead stocks get reduced to increase cash flow. Availability of funds gives lot of freedom to the management in taking decisions. This advantage increases effect of an ERP system on the competitive strategy of the company immensely.

Today’s market is customer-centric, with ERP, any organization can improve its responsiveness and providing better services to the customer. Management can get response and feedback from their customers and can plan new products or can add or enhance certain features to launch better product or services in the market. The accurate and timely information made available to the management is extremely beneficial for making correct decisions to get an edge over the competition.

The flawless management of all the units and departments of the organization is major effect of an ERP system on the competitive strategy of the company. It does not matter if company is working at distant geographical locations in different countries with separate systems of accounting, currency and language. Multi-lingual, multi-accounting and multi-currency features of ERP allow large or medium organizations to expand their business beyond geographical boundaries and still manage entire operations with efficiency and ease. ERP enhances business process efficiency, enables speedier actions between units, allows operational staff to access real time information from anywhere and merges entire supply chain network seamlessly. This advantage too makes effect of an ERP system on the competitive strategy of the company immense.

It’s not that ERP only integrates and enhances functioning of primary and support activities which comprise the value chain model it also harmonizes functioning of modules like HR, administration, procurement processes with primary activities like sales, marketing, production and logistics etc to provide an edge to the company over its competitors.

Read about SAP R/3 Architecture. Also know SAP B1, SAP Business One Implementation.