ERP Review, Strategy and Delivery – Global FTSE complex multi-site business

Situation

A rapidly growing global FTSE company, who had just reorganised to a new operating model and were feeling growing pains due to increased customer demand across the organisation and supply chain.

The organisation was complex:

  • Decentralised
  • 80 global sites managed by 3 regions
  • Each business was autonomous and profit focused
  • Operated  24 ERP / business systems from SAP to Sage
  • Each business had a different viewpoint to how its IT and systems should be run
  • There was no valid IT Strategy at group or in any division


Objective

To review the ERP landscape in the context of a rapidly growing business, supporting the group and regional strategies.

To deliver:

  • Build a consensus for the future of ERP across the Group
  • To significantly reduce the number of ERP platforms across the Group
  • Board Paper and business case for change with recommendations
  • A fully supported ERP strategy
  • Design of the ERP implementation change and improvement programme
  • Full RFP and contract negotiation of ERP Software vendors
  • Initiate and set up of the ERP change programme

Action taken*

  • Full ERP review across all global businesses
  • All global management teams interviewed
  • Full study of group and Business Unit Strategies
  • ERP software vendor market study
  • ERP software vendor and systems integrator due diligence
  • Series of consensus workshops leading to a shortlist of options and solutions
  • Preferred options agreed with Business Units, Group and Board
  • ERP Strategy defined – People, Process, Technology and support organisation
  • Full RFP, ERP selection, commercial and contract negotiation
  • Selection of Systems Integrator
  • ERP Programme initiated set-up and internal teams coached
  • Full design of ERP Centre of Excellence,- roles, process, structure, TOM…

Results achieved

  • Objectives, brief and further benefits delivered
  • ERP Strategy satisfying multiple internal and external stakeholders
  • Fully supports the 5 year business plan and strategy
  • 26% improvement in productivity
  • 31% reduction in IT operating costs
  • Greater collaboration and knowledge sharing across the organisation
  • Better view of customer and suppliers enabling growth and operational benefits
  • Greatly improved decision making through new sources of integrated information
  • ERP Centre of Excellence for continuous improvement of ERP investment

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* Important Case Study Note – ERP strategies and customer strategic support actions are not all the same. They vary by brief, strategy, organisation, operating model and culture they operate in. The case study above is an example of some highlighted strategic actions taken, based on a given customer scenario. Actions shown above should not be used in any way as a generic strategy for ERP without any professional consultation to the gain the best fit strategic direction and solution for your organisation.

Summary
Article Name
ERP Review, Strategy and Delivery
Description
A complex problem simplified and successfully delivered
Author