What would happen if ERP was implemented in a company, then it was disregarded after a while and removed?

There has to be some reason for disregarding the ERP. Either the software not customised /installed properly, there is no proper support from the vendor if yes then wrong selection of vendor, or the company has decided to go for better and upgraded software. Otherwise i dont see any reason for a medium size business to disregard the ERP system. The person has to analised the problems and reason before taking such decision.

Hi,

Answer of your question is not that simple; in fact, ERP deployment is a huge process in org. also financial perspective. It also needs to be considered at which stage your org. decided to quit.      Stated below are the phases mainly an org. 

Answer of your question is not that simple; in fact, ERP deployment is a huge process in org. also financial perspective. It also needs to be considered at which stage your org. decided to quit.      Stated below are the phases mainly an org. compile or passes

a)      1.  Asses org. requirement

b)       2. Which modules required for your org.

c)       3. Select and hire a software company

d)       4. They will gather  org. & system requirement/s

e)       5. Refurnish ERP as per org. necessity

f)       6. Demonstrate dummy system to key User/s

g)      7.  If Ok, Data migration (with Data Validation), if Not, Fine tuning

h)       8. Train up User/s with ERP software

i)         9. Partial Go-live (also can choose Pilot project)

j)        10.  Final Kickoff after successful (1) Partial Go-live or (2) Successful Pilot Project

Sorry asI don’t know about your org. and also don’t know how much do you know about ERP (plz don’t take it otherwise), you can gather all your activity (no matter what is) and manage them by this system. So at first you need to know what you want from this system, what you don’t as this is an expansive module/system. So you should invest carefully and you shouldn’t step back. You can employ one capable specialist to make this project/invest successful. As this system really efficient also user friendly, and most advanced MIS reporting with a vast option for any kind of report. According to my knowledge financial team of all organization hate it as ERP reduces their importance in the company/org. and so called support team ‘PROCUREMENT’ gets ownership of the project which means they are in the driving seat in the org.

 

Anyway, coming to your issue; if it is after complete ‘GO-LIVE’ stage than plz don’t ‘Inactive’ the module Just ask vendor to ‘DORMANT’ it. Re-extract all data from that module keep alive as long as you want. When you are more than SURE that all your data recovered, then ‘Freeze’ it and keep it aside and go back to your previous practice or you may choose something more advanced like ‘SAP_ERP’, but still Oracle_ERP is the best. 

ERP implementation is not easy task. Lot of thing with their present status need to be take in consideration to cope up with prevelling situation. ERP implementation failed that means that either there is some problem with ERP or Some most important thing skipped  in ERP.  Therefore in my suggestion implementator need to study implementation parameter for missing one. Which is actually affecting purpose of ERP.

Result would be same as difference between Mistake,Blunder & Harakiri,depending on the Company Size.

 

As Implementing an ERP system in itself incurs lot of change Management if moving out from a Legacy systems to a ERP,Huge Manhours, and nonetheless Precious Money which is always in short for a Company.

 

Culturally, it would create a Image of Poor Management decisions,low morale.

Technically,Data Migration,Trainings, Harware Upgrades wil go waste if not in long term.

Economically, Lot of Capital Waste on License,Manhours, Training fees ,Harware purchase etc.

Personally, Someone gonna see the Doors.

 

Morale of the Story - Prevention is better than cure.

 

Upfront well Thought decision & correct understanding of Business Size & requirements, can avoid such Problems

The decision of discontinuing the ERP should be view from 5 angles 

Q1 - Is my Management is not able to handle the reports generated by SAP ? If it is so , then we have to educate MANAGERS about TQM & asking then to make decisions ' databased '

Q2 - Is my company is OPTIMUM size to implement SAP ? Normally SAP are introduced for complex processes & for multi locations COMPANY

Q3 -  Check why TOP Mgt is loosing interest in SAP ? Are they not getting desired ' payoff ' which were promised at the time of SAP investments 

Q4 - Is ERP implementors are up the MARK - they could be potential hazard

Q5 - Willing of TOP MANGEMENT  to implement - should be very high ; they must insists on SAP reports & move on 

 

The question is very generic, but before disregarding an ERP the system implementation studies must be performed in order to evaluate the failure of the system and also to document the feedback of major stakeholders and decision makers in the process

If ERP was implemented and then was disregarded a while later that means either it was not meeting the needs and wants of the business or its implementation failed. ERP implementation aims at innovating the way things are done in the operations environment. It is supposed to introduce to the business solid business process and provide the right tools for people to be effective in what they do. The goal obviously was not achieved and so the ERP was disregarded.  It is highly likely that any system will fail if it does not make an impact on people.

 

If an ERP is implemented and later for some reasons it was disregarded can be a good or a disaster. It purely depends the amount of data and how much critical data were in the master data of the ERP Database System. Let me explain when it can be a disaster:

For example if a company named "Auto Service Inc" is running a car service business and Auto Service Inc has implemented and ERP. Later it decided to disregard it.

During the ERP utilization, there are many vital  information very critical to the company's business performance tracking will be stored in the master data. Examples of few are: Sales Order, Invoices, Delivery Receipt, Tax Bills, Salary for Employees etc.

If some one Disregards or want an other ERP to Implement, the Wise advice to store all the master date exported in to an Excel and reload the Excel file after data cleansing in to the new ERP which the "Auto Service Inc" wants to have.

You can always Discard the old ERP and upgrade to another version of ERP which is more versatile. But same time make sure you have all your master data in your database.

This step must only be taken if you have an alternate system available for current ERP. Otherwise company/departments which are dependent on this ERP system they can face delay in completion of tasks and in worst case department / company operations can halt.

Loss of all historical data which would make it impossible for said company to make any meaningful decision going forward

First of all before implementing any new ERP system company should analyze its advantage & disadvantage along with Pre Testing of New ERP, as implementing any new ERP is one of the major cost to the company.

And for eg in pre implementation test it was successful then company should compare the final result of actual implementation with the pre implementation test so that one can understand that what went wrong & then this should be checked this mistake can be solved.