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Optimization of Business Applications
Even though ERP
software has been around for a long time, most companies are still
under-utilizing these systems. They remain as giant repositories
where transactional data languishes until some crisis requires the
company to look at this accumulation of historical data.
Key reasons for
stagnation in Enterprise application value:
- Applications
deployed to get over Y2K in a rushed manner without enough analysis
- ERP/Enterprise application strategy never revisited due to the daunting size of
such projects
- Organizational silos prevent the cross-functional collaboration required for improving processes driven by Enterprise applications.
- Manual
work-arounds or in house software proliferates because no one is
willing to take the time to deploy the ERP based pre-existing
functionality.
- Poor
data-structuring has resulted in process paralysis
- Time and money has
been sunk into developing solutions that are mistakenly deemed
mission critical. Even when no one has actually considered a better
alternative
- People are
presumed too dull to grasp ERP complexities. These systems are
really quite simple but they have been awarded a complex aura
- Multiple
non-integrated solutions are deployed and any improvement is put on
hold due to the cost of integration
- The project is
considered closed and there is no budget available for evolving the
implementation to drive business value.
Why Optimize?
- Over time as
companies evolve, business needs may have changed along with the
capabilities. If the backbone ERP does not adapt, it will become an
impediment for business. Optimization is a cost effective way of
bringing the enterprise application suite on-par with the business
needs.
- The software
infrastructure has already been paid for and certainly is capable of
handling a lot of the business functions. If combined with process
improvement, the system can be designed to achieve amazing
efficiencies.
- Optimizing the
deployment may be a lot easer than rip-and-replace. The ROI
lead-time with existing software/data architecture will be a lot
shorter. ECM on top of ERP can be an effective alternative of
information disbursement.
- Typically ERP
based business process have absorbed investments on several
ancillary processes and systems. Replacing a system may very well
require that investment to be duplicated, which can be a rather
expensive route to take. Optimization can achieve a lot bigger bang
for a fraction of the buck.
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