ABC Corp has taken over the sales and distribution of a new line of products from an affiliated company. This represents an additional customer base of approximately 5000 customers. ABC Corp’s current business system, OLDERP, cannot support this increased customer base.In the short term ABC Corp canutilizethe affiliate’s business system, however the sharing of the affiliate’s ERP system between the two companies is not cost effective for eithercompany. Therefore ABC Corp desires to implement a new ERP System.
This project will involve replacing the existing servers, the existing software, performing a business process review and implementing a new ERP system and all its associated processes. This would be inclusive of Customer Requirements and Order Management, Financials, Procurement, Inventory Management, Forecasting, Planning and Manufacturing, Shipping and Receiving.
This initiative links directly to ABC Corps objective to grow its sales revenue. The new system will allow ABC Corp to put various strategies in place to service their customers i.e. direct or distributor model.
There are a number key outcomes desired from the NEW ERP Project. The first obvious objective is to be able to Go Live with the New ERP system with no disruption to customers, employees and other business partners such as head office,finance, the affiliates and itscurrentIT service provider. The new ERP Project team would like to stream line business processes in ABC Corp wherever possible by reducing or eliminating hand-offs that are outside the ERP system. This would be inclusive of paper processes that can be managed within the new ERP system. The new ERP Project team would like to be able to execute the project within the identified time frames and within the identified budget.
New ERP project will replace thecurrentbusiness system at ABC Corp. This new system will be an all inclusive Enterprise Resource Planning System (“ERP”). This is inclusive of;replacing the existing servers, the existing software, performing a business process review and implementing a new ERP system and all its associated processes. This would also include Customer Requirements and Order Management, Financials, Procurement, Inventory Management, Forecasting, Planning and Manufacturing, Shipping and Receiving.
The software is being sourced from Super Duper software from Big City USA. The software will reside on three servers located on site at ABC Corp. There will be a fourth server used for development and testing purposes located offsite at a local IT service provider’s location in Saint John. This fourth server will also support ABC Corp’s disaster recovery strategy.
There will be a number of agreements and licenses involved,Implementation services with Super Duper,License agreements with Super Duper,Ongoing application support agreement withSuper Duper,Maintenance agreement with local IT service company.
An IT architecture assessment will be conducted by an independent auditor at various stage gates during implementation phase.
The project will be managed by ABCs Project Management Office with support from; Super Duper, and audit firm and a local IT service provider. A detailed execution plan complete with resource requirements and staging will be followed rigorously using Project Managementprinciples.
It is assumed that ABC Corpcan make the required resources available to work as Subject Matter Expertsand that ABC Corpcan make suitable space available for the project team to work and that therewill beno significant road blocks around executingService and License agreements.
It is critical to success that they havea clear concise plan and schedule for execution, that they are able to manage the software provider, the IT services (solution hosting) provider and the Subject Matter Experts (“SMEs”) all together in an efficient and effective manner, that ABC Corp can free up theSubject Matter Experts (“SME”s)from their normal work load to execute the work requirements of the project and that ABC Corp is able to provide an adequate work space for the project team to leave their normal roles behind and work un-interrupted.
ABC Corp does have some challenges. They have a number of concurrent projects under way during the current year. These concurrent projects will obviously make it more challenging to execute NEW ERP project. ABC Corp has a finite number of personnel. New ERP project will be utilizing the day to day operating team extensively during certain stages of this project.A significant amount of the system set up, testing and configuration will be completed during the fall which is the busy season for ABC Corp.There is a need for a change management expert.
Support for the project will be required from the following:
Executive Sponsor:
•Responsible for overall approval of the NEW ERP project•Obtain the support of the senior executive and management teams•Approve all major project Change Requests•Escalation path for any unresolved issues or business decisions
Steering Committee:
•Approve deliverables•Commit Core Team resources•Participate in Review sessions and meetings•Resolve any significant issues or make key business decisions•Act as an escalation mechanism to ensure participation from required business representatives and subject matter experts
Project Manager:
•Planning, organizing, directing and managing the day to day activities of the project•Meeting all project commitments (e.g., schedule, deliverables, budget, phases, and resources).•Responsible for Architecturalcompliance of the solution.•Responsible for obtaining approvals from the Steering Committee•Responsible for the gathering and disseminating of appropriate project data to/from business and IT organizations•Assigned for the duration of the project
Core Team/SMEs:
•Responsible for the on-time delivery of all defined project deliverables•Responsible for the gathering and disseminating of appropriate project data to/from business and IT organizations•Assigned for the duration of the project
Extended Team:
•Provide detailed business and technology expertise•Involved only at particular points during the project
The estimated coast to complete this project is comprised of a number of factors.Super Duper Implementation ($200,000), Super Duper Business Process Review ($50,000), Super Duper Travel expenses ($40,000), Legal($50,000), Close out current contracts ($50,000), Travel and Living Expenses to close current contracts ($10,000),Hosting of software ($150,000),Credit Card Interface charges ($70,000),Super Duper Software Licences ($200,000), Super Duper Software Maintenance & Support ($80,000), Contingency for Consulting Support ($50,000), Additional training ($30,000), project travel ($30,000), Misc ($10,000).((( I need Stake holder analysis in one page only )))