ERP Benefits Documentation
Identification and (where possible) quantification of benefits prior to selecting a new ERP solution is essential for two reasons:
- To support a solid business case that will secure funding
- To inform priorities and decision-making during the selection and implementation of any new ERP solution.
We will work with the senior managers in your organisation to identify the improvement opportunities enabled by ERP and, where possible, quantify these in financial terms. All quantified benefits will be realistic and achievable and will be signed off by the business as part of the process.
We will capture the benefits identified in a sophisticated benefits model that allows us to calculate multi-year return, linked to planned organisational growth.
How we add value
- We deliver an expert, independent and realistic view of the potential benefits to your organisation of implementing a new ERP solution.
- We quantify those benefits in financial terms, providing a key input to your business case.
- We ensure business engagement with the proposed ERP project before it even starts through having managers sign-off on their expected benefits
- We provide a ready-made starting point for the requirements analysis and definition phase of the software selection project based on the benefits that have been identified.
- A detailed statement of business benefits (quantifiable and intangible) that will result from the implementation of the proposed solution
- All financially quantified benefits will be realistically achievable and approved by the business manager responsible.
- A business process change document summarising what will need to change in the current business processes to realise the benefits that have been quantified. This will form the starting point for the functional requirements documentation that will be developed during any future software selection process.
Budgeting for ERP
It’s easy to underestimate the cost of business systems change. Business cases are often based on indicative figures provided by ERP vendors at the early stages of selection processes. Such costs are almost always understated and, in any case, form only part of the cost of change.
Lumenia takes a much more holistic and realistic view of project costs. Using the extensive experience of our consultants and our knowledge base of hundreds of ERP projects, we can generate a realistic indicative estimate of ERP costs which considers internal and external costs broken into operational and capital spend, so that multi-year financial analysis can be undertaken.
How we add value
- Get a realistic and detailed estimate of likely ERP, CRM or other business application project costs.
- Understand both internal and external costs, and how the costs break down between recurring and capital expense.
- Working with Lumenia means you won’t need to engage with software vendors too early and you can avoid the prospect of software vendor sales calls each month about your potential project.
- A document containing a structured breakdown of projected project costs, both internal and external.
- Comparative analysis of projected costs versus other similar projects that have been undertaken by Lumenia (client confidentiality is respected at all times).
- A clear list of assumptions underlying the cost projections and of the risks associated with the project.