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1、Discussing about the successful factors of ERP projects implementation and the risk management.The primary functions of Enterprise Resource Planning (ERP) are to integrate the inter-departmental operation procedures and Management Information System (MIS) modules, and to reallocate the resources of
2、a company. How to successfully implement an ERP system in an organization is always a hot research topic for researchers as well as a pending problem for an organization that wants to implement it. A case study on the selection of system suppliers and contract negotiation during the ERP implementati
3、on of a local construction company in Taiwan, after reviewing the common key success factors discussed in the literature, discussed seven issues: coding system, working process reengineering, priority of ERP functionality implementation, customization, participant roles, consultant role and performa
4、nce level of subcontractor, which also affected the implementation.Lessons learned from the case study in discussed seven issues are valuable for a construction company in deciding to implement an ERP system. This study suggests that additional case studies are necessary for the successful applicati
5、on of ERP systems in the construction industry. ERP implementation is a Triple Play that combines people, technology, and processes. It embodies a complex implementation process, especially in developing countries like China, often taking several years, huge amount of fund and involving a major busi
6、ness process reengineering exercise. An attempt has been made to identify some Chinese-specific difficulties in the implementation process and provide solutions to implement ERP system successfully through questionnaire survey, interviews, and secondary data. On the basis of analysis of questionnair
7、e results, some common difficulties have been explored by authors, such as support of top management, costly and time-consuming, cultural differences, technical complexity, lack of professional personnel, and inner resistance. The difficulties are largely due to the nature of enterprises ownership a
8、nd size. Suggested solutions to overcome these difficulties: ERP software packages selection, ERP implementation team, BPR, Training, and Outsourcing-Application Service Provider. These solutions can effectively solve ERP difficulties.Actually, ERP is widely used in many fields, from public sectors
9、to individual business. Recently, service organizations have invested considerable resources in the implementation of Enterprise Resource Planning (ERP) systems, even using solutions initially targeted for manufacturing companies. To get an insight into how servicesapproach help ERP implementation,
10、a review of ERP projects, especially in services, completed by six case studies has been undertaken. We identify and discuss some characteristics of services, which are discriminatory regarding manufacturing. Main characteristics identified deal with complete or partial integration, product or custo
11、mer orientation, importance of labor, human factor. In conclusion, trends to standardization and integration seen in the industrial sector are also growing in services, but in different ways.Refers to the overseas some literature material, a successful ERP project, often needs to spend several year
12、times, number thousands of US dollars can complete.Again turns head looks at the home, along with ERP skepticisms gaining ground, price war starting, ERP took one kind of software suppliers product, has actually down the god world tendency. ERP leader SAP also promoted Business the One product, the
13、price has been lower than 100,000.Even if the ERP software can achieve free, or like the IBM esteem according to the boundary which must collect fees, implements the angle from the entire enterprise, considers the personnel, training, the maintenance, the service reorganization, the re-development,
14、three, n development, its expense should also in several 1,000,000 and even surely the scale. This speaking of the domestic enterprise, already was not the small number.But, some many enterprises harbor the beautiful dream, steps the ERP implementation the difficult travel. In which also has many pr
15、ojects to be defeated comes to an end. But regarding these final survivors, whether can the halberd be also put in storage, drinks wine to sing loudly? In fact, the enterprise implements the ERP project after the success will face implements a bigger risk. In future five to ten years in, some solid
16、ERP risk management mechanism had decided whether the enterprise can obtain benefits truly in the initial ERP investment.The project is for completes the disposable endeavor which some unique product or the service station do, the project the distinctive quality had decided the project not impossibl
17、e was by with the before identical way, simultaneously, the project which completed by and the before identical person must create the product or the service, as well as the project possibly involved the scope, the time and the cost not impossible started when the project completely to determine, th
18、erefore, carried on in the process in the project also corresponding to be able to appear the massive uncertainty, namely project risk. Below this article mentioned the risk is refers to the project disadvantageously the element of certainty. Exists to the projectdisadvantageous risk in any project,
19、 often and can give the project the advancement and the project success brings the negative influence. Once the risk occurs, its influence is various, like causes the project product/service the function to be unable to satisfy the customer the need, the project expense surpasses the budget, the pro
20、ject plan dragging or is compelled to cancel and so on, it finally manifests for customer degree of satisfaction depression. Therefore, the recognition risk, the appraisal risk and take the measure to be supposed to be the risk management have the extremely vital significance to the risk to the proj
21、ect management.Risk management concrete contentThe project risk management mainly divides into following several steps: The risk recognition, the qualitative/quota risk analysis, the risk should to plan the establishment and the risk monitoring.risk recognitionsThe risk recognition, is refers distin
22、guishes and records possibly has the adverse effect to the project the factor. Because the project is in develops in unceasingly the change process, therefore the risk recognition also passes through in the entire project implementation entire process, but is not merely the project initial stage. Th
23、e risk recognition is not the disposable work, but need more systems, crosswise thought.Possesses nearly about the project plan and the information all possibly takes the recognition the basis, like project progress and cost plan, work decomposition structure, project organizational structure, proje
24、ct scope, similar project historical information and so on.Needs to pay attention, all risks all may carry on the management by no means through the risk recognition. The risk recognition only discover the known risk (for example: In the known project organization some member ability cannot satisfy
25、the request completely) or the known unknown risk (known-unknown, namely event name known, like customer side personnel participates in dynamics being insufficient); Before but certain risks, as a result of the project distinctive quality, not impossible to occur in it know in advance (unknown-unkno
26、wn, namely unknown-unknown risk).qualitative/quota risk analysisThe latent risk quantity distinguishes which through the risk recognition process are very many, but these latent risks to the project the influence are various. The risk analysis namely through the analysis, the comparison, the apprais
27、al and so on each way, to determined various risks the importance, sorts to the risk and appraises it tothe project possible consequence, thus causes the project to implement the personnel to be possible to concentrate the main energy in the few in number main risk, thus enable the project the overa
28、ll risk to be under the effective control.The risk analysis mainly may use the method includes: Risk probability/influence appraisal matrix, sensitive analysis, simulation and so on. carries on the above analysis, mainly pays attention to following several risk factor:Risk probability: Namely the ri
29、sk event occurs possible percentage expression.This numeral is, like the expert who obtains through the subjective judgment appraises, the interview or the basis before similar project historical information.Risk influence: Namely the risk has possibly the influence size which creates to the project
30、. This kind of influence is possibly in the time, possibly is in the cost, also is possibly other various aspects.Risk value (required value EMV): The risk value = risk probability * risk influence, is to the risk the influence most direct appraisal which creates to the project, its overall evaluati
31、on probability with has affected two aspects the factors.risks should plan the establishmentThe risk should lie in to the plan goal through the formulation corresponding measure, comes to be supposed to the risk the threat which possibly creates to the project.Most often uses should to threat severa
32、l measures be: The circumvention, reduces, the shift, accepts.The circumvention, namely eliminates this risk through the elimination risk origin;Reduces, namely through takes the measure to reduce the risk probability or the risk influence, thus achieved reduces the risk value the result;The shift,
33、soon the risk shifts to another side, like purchase insurance, sub package and so on;Accepts, namely does not take the measure to this risk, accepts result which it creates, or occurs after this risk uses the contingency plan to carry on processing again. Selects what method to come specifically to
34、be supposed to some risk, is decided in this risk value (EMV), plans to adopt should to the measure possible cost, the project management personnel treat the risk the manner (utility function) the type and so on various aspects, cannot be generally spoken.The risk should be aims at the risk to the p
35、lan which distinguishes to carry on; Regarding the unknown risk, not impossible to choose in advance the formulationcorresponding to be supposed to plan or the contingency plan, therefore, may stockpile using the management should be right.ERP project implementation risk managementThe different type
36、 project has the different type risk. The ERP project implementation risk has its particularity similarly. The following gives a briefing to in the ERP project implementation process risk management measure, the single opinion, only supplies the reference.ERP project implementation main risk and sho
37、uld to the measure:As mentioned above, possesses nearly about the project plan and the information all possibly takes the risk recognition the basis, like project progress cost plan, work decomposition structure, project organizational structure, project scope, similar project historical information
38、 and so on. In the ERP project risk recognition process, may take the project plan as the clue, the recognition project in various aspects risk.In the implementation process, should pay attention to following several aspects specially the risk:project scope riskThe project purchase management usuall
39、y has three contract ways, namely: The solid fixed price or the total price contract, the cost reimburse (add reward) the contract, the unit price contract. The usual uncertainty is bigger, a risk bigger project, more tends to in using depends on after the contract way. This also is overseas and dom
40、estic part ERP supplier uses in the implementation service according to the human day provides serves and charges the fee the reason. But selects this method, the buyer (i.e. customer) has the big risk, therefore, the domestic very many customers favor in work out the implementation contract of serv
41、ice by the fixed price. But this contract way, then (i.e. consultant side) has the big risk regarding the seller.Under this premise, if the project scope definition is not clear, possibly causes the round turns to have the difference to the project scope cognition: The seller hoped reduces the imple
42、mentation scope as far as possible, by smallest cost closing performance; But the buyer hoped ERP system all function many implementations, obtains as far as possible by the fixed price the greatest income. If the bilateral difference is big, cannot achieve consistently, then can create the efficien
43、cy inevitably to be low, wrangles mutually.Therefore, in the ERP project contract, should make as far as possible the clear limits to the project implementation scope, cuts cannot pause in the implementationfinance module perhaps the implementation receivable, the manipulation, the general ledger ma
44、nagement and so on in stratification plane.Rather multi-flowered some time before in project implementation scope limits work, also do not have in the project implementation process, facing ERP many functions, the implementation side and the user side is unyielding, or the forced concessions, invest
45、s a bigger energy in the project, but causes the project not to be able to complete on ject progress riskAbout the ERP project implementation cycle, at present has emphasizes fast the tendency in the propaganda. But ERP project progress control certainly not easy matter, not only is decided
46、by consultant firms ability, simultaneously also to a great extent receives the customer side to the ERP expected value whether reasonable, to the scope controls whether effective, to project investment (including personnel time investment and fund and so on investment) whether enough and so on aspe
47、ct influences.Provides elder brother Shan Shitong by the divine land numerical code who the ERP system and is responsible to implement the metal, in a short time makes something a matter of political line successfully, one of reasons is easy to fly the ERP implementation group integrity mature to in
48、duct the mechanism and consultant personnels remarkable quality, smoothly has assisted the world effectively with the metal political line work. Starts from the political line then to have special consultant to be responsible to induct the implementation entire the plan, the long-term accumulation p
49、rofession knowledge and the managerial experience have also promoted the entire ERP operation level, has properly dealt with in the political line work issue. The user has the intense approval to the project minute stage implementation, only emphasizes in the first stage to the basic function realiz
50、ation, but the massive work will remain after the political line or improve in continually the process.But in the actual operation, by no means all users all have this kind of understanding and the approval to the ERP implementation, therefore, in project progress plan time, constantly when project
51、progress plan strives for quickly, even is pursues some to have the special significance date sedulously to take the project milestone, will create the very tremendous pressure to the project progress control.In fact, the very many project defeat, is precisely is attributed to the project progress t
52、o appear the dragging, but causes the project team despondency, the efficiency to be low. Therefore, the ERP project implementation time management, needs to consider each kind of latency fully, suitable conservative; The duty decomposes the detailed degree of fineness to be moderate, is advantageou
53、s for the inspection; In the implementation, should emphasize the project according to the progress execution importance, in considered when any question, all must take the maintenance progress the precondition; At the same time, reasonably and follows up fast using rushing a job and so on the metho
54、ds, uses the resources ject human resources riskThe human resources are in the ERP project implementation process the most essential resources. Guaranteed the appropriate person, participates in the project by the enough energy, is the project success implementation basic guarantee.In the E
55、RP project implementation has each kind of role, should have the quality to each kind of role, we no longer give unnecessary detail in this. Must reduce the project the human resources risk, must guarantee enters and undertakes role each kind of project to the project in to do is the human satisfies
56、 the project request. Therefore, implements both sides to be supposed to participate in the personnel carrying on the earnest appraisal, this kind of appraisal should be the bilateral surface, not only is the user to consults consultants appraisal, also should include the consultant firm to the user
57、 side member who participates in the project (in under the domestic present environment, mainly is refers to essential user) the appraisal. At the same time, guarantee the project personnel to the project investment degree. Should participation the ERP project personnels achievement to appraise and the ERP project implementation condition is connected, is clear about the ERP project is in this stage project correlation personnel most important labor of duty; Formulates the suitable rewards and punishment measure; Establishes the me
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