Why Odoo ERP Implementation Fails?
In this blog post, we are going to discuss 10 reasons why ERP implementation fails.
ew people in an organization ever understand how tough an Odoo ERP implementation is, and how a number of key elements can be the difference between ERP success and ERP failure. Listed below are a few of the widespread mistakes that, if avoided, can tremendously enhance your probability of success.
The causes of Odoo ERP failure include
1. Poor software match /inaccurate requirements
Your requirements are the one most vital element of a profitable ERP implementation. Meet with managers and users from each discipline and with senior executives as properly. Aggressively pursue any factors where they’ve pain today that may be resolved. Examine future plans and forecasts and anticipate where similar pains may happen. Now pare that checklist until all concur you’ve settled on a complete list of each requirement and features not required but would be valuable.
Have a highly detailed and accurate inventory of system requirements in hand before you begin buying for an ERP system. Be relentless with questions; ERP vendors can be overly optimistic about their product’s match to your problems. Nuts and bolts are always more important than bells and whistles. If any potential ERP system can’t meet all of your requirements, keep looking, there’s a system that may fulfill your requirements.
2. Business management just isn’t dedicated to the implementation
Without this dedication, nobody else within the group can be committed both. Recommend postponement of the ERP project rather than gamble management attitudes will somehow “come around”.
Executive management has the ability to allocate resources to the ERP project. And they’ve the power to re-allocate them as conditions change. Money is one resource and if they won’t pay for ERP, the challenge is on hold. People are an important resource too. Valuable people can be needed to work on ERP implementation and their earlier jobs still need to be done. Backfilling these roles requires momentary replacements or a recognition that some duties can’t be accomplished in the identical method they had been.
ERP implementation is an enterprise extensive task. It can’t be seen as data services or manufacturing only so executives from all departments should commit to using every needed resource.
3. Insufficient IT team
This can be the number of resources, but it’s much more important to get the best resources into your ERP team in terms of talent and experience. Your Odoo ERP implementation will fail if the enterprise fails to devote the resources required for success. You can hire extra people from outside as contractors or employees or you can devote some or all the time available from folks already within the enterprise but someway, important amounts of time can be necessary. If you select to use present resources, their current “day jobs” still need to be accomplished and the Odoo ERP implementation needs to be their major job to full. Those sources required additionally might outside help for specific purposes similar to programming distinctive to data conversion. One resource not to be skipped is a staff manager who will coordinate all of the efforts and report to government management and a steering team on the progress of the project.
4. Lack of accountability to make timely, prime quality decisions
Establish early on who’s accountable for what level of decision making. Late, ambiguous, or poor high quality selections can doom your project to ERP failure. Most of the selections to be made throughout your Odoo ERP implementation needs to be made on the staff level. Waiting for government management will needlessly delay the Odoo implementation process and the perfect choice will come from people on the staff who’re already users of the techniques and conversant in the processes and what modifications will improve the situation.
5. Lack of investment in ERP change management
No matter what the enterprise case says, the rank and file won’t be wanting forward to ERP. The only clever course is to over communicate and over put together. Your good communications will keep the reasons for the ERP implementation and the anticipated enhancements in everybody’s consideration. Making the idea that folks will settle for your plans and offer their support can quickly lead to an ERP implementation failure.
Change is a psychological factor. Some quickly will see the future possibilities. Some others can’t think about different processes that can be better than these already familiar and mostly satisfactory. Consider using ERP change management specialists as a part of your implementation team. Those specialists will recognize different personalities and know how to work with all to help your employees accept and embrace the future.
6. Insufficient ERP training /support
An Odoo ERP implementation requires skilled users. Any users not skilled upfront can be siphoning off resources from the implementation support team. As the available support resources diminish, the flexibility to resolve go-live issues decreases, and the implementation implodes.
7. Insufficient funding
Odoo ERP implementations are expensive, and you must always be conscientious about not wasting money. However, the price of an ERP failure makes the implementation price looks like pocket change. Make your best estimate of price and enhance that estimate by 25% whenever you ask for a budget. The price of the new ERP software is barely the beginning factor. As the Odoo implementation moves alongside, you’ll have incremental payroll prices and you’ll need to pay for contractors and specialists in numerous disciplines. Likely there can be prices to enhance your hardware, networks, and different infrastructures to ensure the new ERP works as needed. Your Odoo ERP developer will proceed making enhancements within the system and working to fix bugs and different issues found over time. There can be ongoing support and maintenance costs with Odoo ERP as you must count on from any important enterprise system. Yes, you must expect savings over time but a lot of the cost will come ahead of the savings and those costs have to be funded or the implementation can fail.
8. Insufficient data cleaning
Data cleaning and preparation is an enormous Catch-22, and requires endurance and persistence. The Catch-22 is that the right format and decisions for data can’t happen without understanding how the system works, but the system won’t work without appropriately formatted data. The system construct and data cleaning should happen in tandem. This can easily be the cause of your failed Odoo ERP implementation.
The first step is to separate your data into two classes, static and dynamic. Static information are elements like addresses of suppliers that only need to be entered one time. Dynamic data are transactions.
Your new ERP will store static data in tables composed of data fields. Some of these fields shall be necessary however others can be optional relying on the unique needs for your enterprise. Now map the fields you’ll use again to your legacy software and decide how to copy data from several legacy sources into data in your new ERP.
Unlike static data transfers, dynamic data transfers differ in one significant way. Your legacy systems most likely have years or decades of data. Decide now how much needs to move to the brand new system. Most of the time solely probably the most current records are needed. There is no benefit to loading your new ERP with data that gives no value. Keep your legacy systems alive on a read-only basis if there’s a need to have a look at historical data sooner or later.
Before loading the new ERP, carefully review all the data.. There are always misspellings and different issues you’ve lived with that may now be cleaned up.
9. Insistence on making ERP seem like legacy
Over-customization increases each different price and risk, it makes upgrading and testing more difficult, and it reduces ERP functionality. While all of your customers are comfortable with the layout of your legacy systems, there are alternatives which are nearly as good and even better. The developers of your new ERP put effort into using the best practices and your customers will adapt rapidly. It’s more important to meet your requirements than to look good. Customization prices money and will only be wanted when there’s not one other solution and most ERP systems include easy configuration instruments that decrease a lot of the necessity for customization.
10. Lack of testing
Without serious and repeated testing, constructing from a single check of each enterprise important process and progressing although quantity checks and a mock go-live requiring practice at synching up the previous techniques to the brand new, the shock and surprise of problem quantity at ERP go-live will collapse the implementation effort.
Testing may also reveal information migration issues. A test can fail only because some information aspect is in an incorrect format, for instance. Data migration can also be part of testing. You will migrate information over a number of iterations as you solve problems present in testing after which reset for additional testing. Plan the flow of migrations so that all the required data is loaded in the shortest amount of time. At go-live, you’ll be prepared for the quickest and best data migration that will get your organization back in enterprise quickly.
Much testing can now be achieved with automated robotics today. This type of check will run many more times than any variety of people can check and due to the massive sample measurement, more potential issues could be found and glued preventing some Odoo implementation failures.
There are other pitfalls, clearly, but if you are able to do job of avoiding these ten, your odds of avoiding an ERP failure will enhance dramatically.