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How to Control GAP Analysis in ERP Implementation?

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ERP Implementation GAP Analysis

To control GAP analysis in ERP implementation, management shall pay utmost importance to the pre-implementation phase of the ERP. GAP analysis is done to bridge the gap between 'as is' and 'to be' which means that present functioning of any organization with complete details of all the workflows, processes and profiles are documented and their flaws and shortcomings are pointed out to get optimum productivity. This document is 'as is' of the company. After this, the flaws and shortcomings of the present systems are removed with the help of ERP customization to increase productivity, cost effectiveness, remove redundancies and ensuring that objectives of every process are met, this is 'to be' system of the company. This also includes that 'to be' system of the company should not deviate even by a bit from the commercial lines of the company.

Pre-implementation stage of any ERP gives the time to the management to control the GAP analysis. Some companies achieve this by hiring an independent consultant to work out 'as is' system. The independent analysis of the present system chalks out even the minute flaws and shortcomings of the system which is stopping the company to make optimum utilization of its resources. More that 50% of ERP implementation fail due lack of proper functional analysis. If hiring a consultant from outside is not possible than management shall take over the role of functional consultant and should try to reassess the whole functionality of the company. Each and every process and workflow shall be scrutinized and cross checked to find out the flaws those need immediate attention. The staff working at the lowest level of the company shall also be taken in the discussion as these are the people who face chunk of problems and there cooperation will prove vital during and after the implementation of ERP.

After the completion of functional analysis the technical analysis is required which is equally important and the effort put in by the management of the company in studying their present system pays at this stage. The previous study helps in controlling GAP and GAP-fit analysis as they can play an active role in choosing most suitable solution to the problem according to the working culture of the company, comfort level of the employees, volume of the change required, old workflows and processes. Since every ERP requires some radical changes in the ongoing system and these changes are to be absorbed by the staff of the company. If ERP implementation needs to bring in a change that may affect the working style of the employees, management will have enough time to convince their employees and install their confidence in the new system.

This way companies can control the effect of GAP analysis in ERP implementation without compromising the beneficial changes ERP system can bring in for better performance. Active participation of management of the company in pre-implementation stage can not only effectively control the GAP analysis in ERP implementation but also helps in selecting most suitable ERP system which reduces botheration of customization and persuades the staff of the company to trust the system and utilize it for maximum benefits.

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