Finding the right enterprise software

One of the main struggles that many companies go through is finding the right software for their business. Often, the owner simply picks one because he knows a vendor, or met someone at a trade show. This is simply not the way to choose software.

More often than not, the manager responsible does not know where to even begin to look for the right software, be it Enterprise Resource Planning (ERP), Customer Relationship Management (CRM), or even Warehouse Management Systems (WMS). Sure you can Google it, but there are simply too many options and they are not focused.

ERPandMore.com has released their Enterprise Software Directory to help people begin the search for a software provider. Organized by category of system, such as ERP or CRM, someone seeking a starting point for their business software search can begin looking for the ideal solution to meet the needs of their business.

Additionally, people can read the reviews of different software. And, if a software is not listed, readers can submit their favorite business software.

We hope that this directory will continue to grow and become an essential tool for anyone doing research into the varying software systems on the market today. You can find it at:

http://www.erpandmore.com/directory/

AMR Research Bullish on ERP Software Market

Published: July 23, 2007

by Alex Woodie

Worldwide ERP software sales grew by 14 percent in 2006 to $28.8 billion, according to a recent report from IT analyst firm AMR Research. While 2006 was “spectacular,” according to AMR, the good times should continue to roll for the next five years, with an average annual growth rate of 11 percent, a percentage point more than the group predicted nine months ago.

At least once a year, and sometimes more, AMR publishes a report analyzing the past, the present, and the future of the market for ERP and related software, and ranking the top enterprise software vendors by revenues. Because ERP and related products are at the core of most organizations’ IT investments, the relative health of the ERP market can function as a barometer for the overall business IT market.

Read the entire Article Here…

Software Implementation Projects And Six Sigma

Software Implementation Projects And Six Sigma
Tony Jacowski

Six Sigma concepts were originally developed for use in the manufacturing sector, but are now increasingly being used in the services sector as well. Use of Six Sigma concepts in the software industry has become quite common, but what many people do not know is that Six Sigma concepts can also be used in software implementation. People who have experience in software implementation projects know that such projects often do not take off as planned and may be subjected to schedule overruns and recurring problems. This is why many software companies opt for employing Six Sigma concepts during the process of software implementation at a clients site.

Common Implementation Problems

The two most common problems faced during software implementation projects include customer requirement problems and schedule estimation problems. By employing Six Sigma concepts in software implementation projects, professionals can better understand the needs and business objectives of the client. This way, they can make sure that the software implementation project is successfully completed within the stipulated timeframe. Employing Six Sigma will also ensure that no additional costs are incurred during the implementation process.

Understanding Client Requirements

Software products are normally designed for increasing the efficiency of a business process in accordance with the goals and objectives of the client. Most of the problems related to the software arise during the implementation stage when the client finds out that the software is unable to achieve desired objectives. This situation arises when the client passes vague information about requirements to software developers or when developers are unable to clearly comprehend client requirements.

Six Sigma helps in avoiding problems during the software implementation stage by bridging the gap between actual requirements of the client and what is eventually understood by software developers. Many people believe that Six Sigma is only limited to the use of statistical methods. What they do not know is that Six Sigma follows a disciplined approach that can solve any type of problem, whether it is quantitative or qualitative. This is evident from software companies that have successfully employed Six Sigma concepts in solving qualitative problems that arise during software implementation projects.

Generating Schedule Estimates

Schedule estimation is another common problem faced during software implementation. Mistakes in schedule estimation can affect the outcome of an implementation project; as such projects are often required to be completed in a specific timeframe and within available budgets. Implementation projects are often delayed because planners make the implementation schedule without considering indirect factors that might affect the project. Planners often fail to foresee that implementation can get affected due to the size of the software, location where it is being implemented, internal politics, authority, and governance.

Employing Six Sigma concepts in preparing schedule estimations will help planners to effectively include all these factors which may indirectly affect software implementation projects. Based on the past records of the client, Six Sigma statistical tools will generate an efficiency chart, which provides details about all types of problems faced with the client during software implementation projects. The chart displays the time taken to resolve such problems and techniques that were employed to solve such problems.

The chart also displays any additional time or costs that went into the completion of the project. Planners can use the information given in the chart for giving due consideration to all the indirect factors that can affect software implementations. This will help in generating true schedule estimates, necessary for the success of software implementation projects.

Tony Jacowski is a quality analyst for The MBA Journal. Aveta Solutions Six Sigma Online offers online six sigma training and certification classes for lean six sigma, black belts, green belts, and yellow belts.

Manufacturers Don’t User Most of Their ERP Software’s Features, Says Aberdeen

Published: September 18, 2006

by Timothy Prickett Morgan

Based on a detailed report put together by Aberdeen Group and commissioned by a bunch of ERP software suppliers, companies with ERP software don’t use most of the features that have been painstakingly woven into their software.

Aberdeen based its analysis on a study of more than 1,000 manufacturers. The study was underwritten by Infor, Lawson Software, Plexus Systems, QAD, and SoftBrands, and presumably they provided some of the customers that Aberdeen talked to as well as the cash to do the survey and report that resulted from it. Aberdeen also talked to customers using other ERP suites, including those who have deployed Oracle and SAP suites.

According to the study, called “The ERP in Manufacturing Benchmark,” two thirds of the manufacturers surveyed said that they make their choice of which ERP software to use based on features and functionality, but then, on average, they use only … Read More

How to Negotiate and Purchase Your ERP System

ERP Negotiations Explained

There are many sources of information on how to select and implement software, but there is little information on how to negotiate and make the purchase of the software. The uninformed can spend thousands of dollars more than they need too by walking into ERP negotiations unprepared. Those that know the “tricks” of the trade can save themselves enough to pay for several modules or a good chunk of the implementation costs.

The first thing in ERP Negotiations to keep in mind is timing. When you buy the system timing is key. As this article is being written, the clock is ticking down to the end of the year. This is an opportune time to purchase a system. Even more advantageous is making the purchase at the end of the software vendor’s fiscal year. Vendors are hungry for the deal. The need to make the numbers for the year. They want to do whatever it takes to boost their sales figures and show a successful quarter. Actually, any quarter end will do, but year end is the time when bonuses are given and certain sales incentives are taunting the software salesperson.

The next thing to do in ERP Negotiations is to keep your options open. Even if you find the best whizzbang system that does exactly what you need, there are probably several systems that will work for you. Keeping your options open and communicating that to the salesperson will only make them work harder for the deal. Even if you know you will buy their software, let them know how much better or cheaper the competition is. Give them a reason to work for the deal.

ERP Negotiations around software pricing

When negotiating software pricing, keep in mind that you may not need all of the licenses up front. You can delay purchasing the entire suite of user seats until you are ready to go live. Get enough to cover your testing and implementation phases and be sure to lock in the pricing for a year or for the planned duration of the implementation.

Don’t forget that the implementation and how it will occur is negotiable. The terms of payment are negotiable. Who will be on the project from the vendor’s side is also a point of discussion and can be changed. There are many things that you can plan out and ask of the software provider or reseller.

Considerations for ERP Negotiations

Remember that most everything is negotiable. Software price, implementation rates, duration, and sometimes even annual maintenance contracts (those these are usually the most difficult). Perhaps negotiating when the maintenance begins will be possible. If you are splitting the user seats, have the maintenance pro-rated during the implementation phase.

Unlike the year 2000 preparations, there usually isn’t an absolute deadline as to when you need to purchase, so if you must, hold off for a month or two, if it is to your advantage. Or, tell the salesperson that you plan on doing so, so what can he/she do now?

Properly planned, the negotiation will more than pay for the time spent doing it correctly. Following the vendor’s lead will lead you to an overpriced system. Keep the money in your company’s bank, not the software company’s. Some negotiation strategies will work and some will not. The key is to remember that you are driving the sale. Get what you want at the price and terms that is fair to you.

Additional resources:
http://www.managingautomation.com/maonline/channel/exclusive/read/4063236

http://dealarchitect.typepad.com/deal_architect/enterprise_software_negotiationsbest_practices/index.html

File as: ERP Negotiations

Software as a Service

From ManagingAutomation.com:

One of the most frustrating aspects of today’s IT-dependent manufacturing environment is the challenge of deploying and maintaining enterprise applications ranging from enterprise resource planning (ERP) and supply chain management (SCM) to customer relationship management (CRM) software. A significant proportion of new application deployments fail to achieve their original objectives, and even successful deployments can often cost far more to maintain than expected.

Depending on the complexity of the deployment, enterprise applications can take months or even years to implement, and they can consume the majority of the IT staff’s time just to keep them up and running. And, most major upgrades typically require additional investments in new servers, storage and other IT infrastructure upgrades.

Manufacturers trying to keep pace with escalating competition can no longer afford the extended lag-time of lengthy application deployment cycles. They can also ill-afford the ongoing infrastructure and staff costs to simply maintain their existing applications.

These frustrations have made the manufacturing industry ripe for a new approach to applications called Software-as-a-Service (SaaS). Read More about software as a Service