Optimising ERP
Many companies are now on their second or third generation of ERP software. Yet, surprisingly, surveys continue to indicate that only a small proportion actually gain much measurable benefit from the new system. Worse still, one in four experience a dip in business performance after implementation.
It's not “The System” that is the issue
Of course, ERP is only a tool. Like any complex tool, to be used well the users need more than training. Two points need to be considered:
- ERP is an information system. What really matters is how staff use that information, particularly in relation to the quality of the decisions they make;
- without an adequate understanding of how the information is generated, what it means or how it can be used companies often find that their expensive ERP system is not delivering the expected benefits.
“MML added knowledge and practical experience which added real value to our implementation process and enabled us to achieve our milestone dates.”
Alan Clark, Managing Director, Bespak Europe Ltd
Business Alignment
Achieving a worthwhile return on the investment in ERP is about aligning:
- the overall business goals;
- selected system functionality;
- design of the business processes;
- knowledge and capability of staff.
Return on Investment
We have a successful track record helping companies achieve measurable improvements. We have worked with companies like Caterpillar, Bespak, Selkirk and Lawson Mardon to develop ways of working that capitalise on the functionality of their ERP packages. The resulting improvements include:
- reducing lead times by an order of magnitude, from 15 days to less than 2;
- improving customer service levels from below 50% to above 95% OTIF;
- increasing profitability, by up to 300%;
- major reductions in inventory.
Case Studies
F G Wilson: Integrated Learning and Support
Selkirk: Building Capability and Ownership to Improve Profit
Lawson Mardon: Learning to Improve Performance
Relevant How To's
How to Manage Change Effectively