Preventing Oracle ERP Project Failures
Preventing Oracle ERP Project Failures
When implementing an Oracle E-Business Suite (EBS) or conducting an Oracle ERP project, it is important to devote careful attention, time and hard work. However, even with the best intentions and articulate planning, these projects can fail. Here are several reasons why Oracle projects can crash and burn, and some solutions so you can recognize how to lead your projects to success:
•Poor Oracle ERP Project Documentation: Like a New Year’s resolution, there are good intentions when a manager says, “We are going to be organized,” but sometimes due to distraction or laziness, this vow is broken. It is important to document decisions, the reasons those decisions were made, and how changes to the work could affect the project’s future. Taking these steps will assist future teams in understanding the reasoning behind implementation steps and identify opportunities for efficiency in later stages of the project. Try creating an Excel sheet at the beginning of your project, but be sure to hold team members accountable for completing documentation requirements and keeping the documentation above required standards.
•Unrealistic Budget Projects: Even if your Oracle ERP project has already been funded, it doesn’t necessarily mean that all of the budgets have been tied down. A common challenge with Oracle projects is creating a realistic budget. Before jumping into any project, ensure that all tangible and intangible resources are identified and attached to a realistic project timeline. Utilizing an experience Oracle ERP consultant can assist in this budget and timeline creation effectively. If your Oracle project is underfunded, it’s at risk of incompletion. Going over the budget restrictions and splurging on expenditures can cause the project to fail. Underfunded budgets can also force you to shorten or eliminate test phases, ultimately risking errors unintended outcomes. After building your first draft of the budget, review it with your experienced consultant and ensure you’re not being too idealistic about timing, resources required, and whether or not you need additional outside help to complete the project. Be sure to make it clear to each individual in the project about their role in monitoring and tracking resources. Don’t forget to keep track of the soft costs, too.
•Poor Vision: Ambition is a double-edged sword. While it is good to be driven, sometimes too much ambition can cause an Oracle ERP project manager or a management team to bite off more than they can chew. When developing a vision or scope for your Oracle ERP project’s outcome, focus on one piece at a time. Be flexible with expectations and be sure to isolate changes. Check with your team and make sure that everyone understands the impact of each change before moving on to the next phase. A good way to accomplish this is to break up the project into smaller projects that can be completed in four to six months. These early wins can make small accomplishments feel big and allow you to gain credibility and resources to tackle bigger portions of the project later.
•Inappropriate Metrics: If you have a clear idea of what outcome you want out of your Oracle project, you should be able to measure and define it. Appropriate metrics and benchmarks should be set. Use baselines, milestones and completion metrics to rally budget, resources and executive support.
Specific metrics to focus on include return on investment (ROI), cost savings and resource reductions Log your metrics in an organized spreadsheet and make sure to include cost savings.
As you communicate metrics at various stages of the project, leverage a communication plan that covers who needs to know what, the levels, channels, and frequency of project update communication, etc.
These are just some of the challenges you may face when implementing an Oracle product. Focus on the little achievements and realize that this is a learning process. Look at the big picture rather than the defects.
If you’re looking to reap the full benefits of Oracle, or you just need some guidance on where to begin, consider utilizing an Oracle Implementation Consultant. With the right Oracle Implementation consultant, you can overcome these implementation challenges and minimize your risk of failure. An Oracle Implementation Consultant can help you assess your company’s needs, develop a strategy for success, and make recommendations on how to get the most out of your Oracle software, while saving you time, money and stress.