ERP Implementation – Go-Live Metric Definition and Utilization

Posted on: December 18, 2014 | By: Tim Lovely | QAD Business Process

The cutover to a new ERP system, or Go-Live, is often a difficult and stressful event for those involved. As the typical cutover weekend approaches and passes, teams often neglect the definition of what constitutes early tactical success over the first several weeks using the new system. Teams are focused on the complexities of data conversion, final testing, coordination of activities across sites, and final end user training and preparation.

One item that is often overlooked is agreement among the project team (internal and external) and management on how to measure business success during those first few weeks prior to stability. One could argue that success can only be measured over time, which is accurate at a macro-level. However, key reports must be agreed to as measurement tools during the initial period after cutover. These reports should be monitored daily.

Although the exact details and calculation of a metric will differ for each company, two of the key reports that should be considered are Order Fill Reporting and Production Earned Hours Reporting. An Order Fill Report will allow a company to compare the pre-cutover on time shipment and order fill performance against the post-cutover performance. Typically companies have established a minimum standard order fill rate and/or performance metric which can be compared to performance under a new system. Production Earned Hours allows a company to view attainment to a schedule and production quantity produced compared to the pre-cutover performance. There are other metrics that can be put in place, but these two are critical to monitoring the success and business continuity after the conversion to a new ERP system.

About Logan Consulting
Logan Consulting is a leading consulting firm with strengths in strategy, project management, business process design, ERP and CRM implementation, recruitment and training. Since 1992, our business process-based delivery techniques and tools have helped our clients build a solid business process and information technology foundation to support their business. Our clients count on us for objective, unbiased analysis, recommendations and project work. To learn more and hear what our customers are saying about us, please visit our website (www.logan-consulting.com).
Logan Consulting is headquartered in Chicago, IL with global services reach.



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