ERP Implementation: Managing the Final Preparation and Go-Live Stages.

• Author: Boyer, David
• Position: State of the Art

Implementation of an enterprise resource planning (ERP) system is a long and arduous process. The final phases of implementation, typically known as "final preparation" and "go-live," can be among the most stressful periods of the project. This is where the proverbial rubber-meets-the road, where months of hard work are put to the ultimate test-production use of the software. This article provides insight into the final phases of ERP implementation and highlights the major considerations at this critical juncture of the project.

Background

In 1998, Multnomah County, Oregon, began the process of selecting an enterprise resource planning (ERP) system to replace its outdated legacy financial and payroll systems. After issuing a request for proposals (RFP) and evaluating the responses, the county selected both a software vendor and an implementation partner. With the help of these two firms, the county elected to implement the system (dubbed the Multnomah Enterprise Linked Information Network, or "MERLIN") over a 10-month period. This accelerated implementation schedule was facilitated by the fact that the county decided to tailor its own processes to the system's functionality. The following modules or processes were included in the scope of the project: (1) develop and manage budgets; (2) manage accounting and financial data; (3) manage payroll and benefits; (4) manage human resources; (5) collect revenue and manage receivables; and (6) procure goods and services.

For an ERP implementation to be successful, it must be well-organized and planned. A well-defined organization chart and clear roles and responsibilities are particularly critical. The project sponsor should communicate project organization, roles, and responsibilities to the project team from the beginning of the project. Obtaining agreement on individual roles and responsibilities helps to set expectations up-front so as to avoid confusion later in the process. In Multnomah County, the project team consisted of 43 county employees and 17 employees from the implementation partner. Exhibits 1 and 2 illustrate how the county organized its implementation project and divided responsibilities among the various project participants.

Another important element in ERP implementation is the development of a project plan. Implementing new technology is a monumental undertaking involving hundreds, if not thousands, of individual tasks and decisions. All of these tasks and decisions should be incorporated into a detailed project plan. A high-level summary of the project plan can be helpful in monitoring major activities and milestones. The timeline below (Exhibit 3) is a high-level outline of the major phases of Multnomah County's implementation project.

Largely because of careful planning and organization, the county was able to stay on schedule, going live with MERLIN on July 1,2000.

Managing Final Preparation and Go-Live

Final preparation and go-live entail a number of issues requiring the careful attention of the project team. The following paragraphs highlight these issues and illustrate how Multnomah County dealt with them.

Communication and Change Management. The county assigned one full-time employee to change management and communication efforts. This individual was responsible for a multifaceted effort to keep employees abreast of the project's...