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Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
1   WHY ERP PROJECTS FAILS




       75%
of ERP projects are
considered failures

                    [Gartner, 2009].
1    WHY ERP PROJECTS FAILS

Lack of end user buy-in,

build ERP among inefficient or ineffective processes,

inadequate functional requirements definition,

misfit   of   application   software   with   business
processes,

poor ERP package selection,

unclear implementation scope,

un-systematic approach for vendor selection, and

miscalculation of time and effort
PILLARS FOR SUCCESSFUL ERP
1   IMPLEMENTATION
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
IS IT RIGHT TO GO TO THE ERP VENDOR
    2     DIRECTLY?


ERP by itself will NOT deliver value to your business if you
are not improve your business
                                                    Going
performance first                                directly to
                                                   the ERP
ERP just automate your operational              vendor will
                                                 launch the
transactions
                                                ERP quickly,
There is a big difference                            NOT
                                                 the value.
between installing and implementing ERP

Method makes a lot of effort to ensure your readiness to
handle a success ERP story
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
3   ERP VALUE CREATION CYCLE
3   ERP VALUE CREATION CYCLE




      Don’t Perform “DO” alone, then you will
      overlook:

             Planning = Baseline

             Check = Closed – Loop

             Act = Continuous Improvement
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
4     METHOD VALUE PROPOSITION

• ERP Readiness Assessment

• BP Excellence & Performance Improvement

• Organizational Change Management

• ERP Optimzing

• ERP Software Selection

• ERP Vendor Selection

• Clients Representative (PM & QA)

• ERP Benefits Realization Assessment
4     METHOD VALUE PROPOSITION

 •ERP Readiness Assessment


  Conducting      comprehensive         surveys,   detailed
diagnosis for existing systems, uncovering all existing
challenges

  Advise you either to start looking for vendors, or
postpone ERP implementation
4    METHOD VALUE PROPOSITION

•BP Excellence & Performance
 Improvement
4    METHOD VALUE PROPOSITION

            •Organizational Change Management
             People resist change because they
                             are:

                              Fear

         Of the Unknown                   Of Failure
                        Which is Remedied By:
             Involvement                Empowerment

        Awareness       Desire     Knowledge       Ability   Reinforcement
               Project Implementation Period                 Operation Time
        Workshops   Incentives /         Training Needs          Training /
Tools




                    Re-assigning     Assessment & Delivery      Incentives
4     METHOD VALUE PROPOSITION

 •ERP Optimizing
  There is no ERP fit for all

  Buying ERP by looking to its capabilities before
looking to your business needs may lead you to pick
ERP modules and functions that are not required for
your business case.

  Steps
      understanding your business needs,
      determing functional requirements (FRs)
      filtering FRs by existing IT application
      capabilities
4    METHOD VALUE PROPOSITION

 •ERP Optimizing

  Applying "ERP Optimizing" means that you decide
what the functions to be in ERP by looking to your
actual business need and existing IT applications NOT
by temptation from ERP presales team.



it's not important what ERP can do, the question is:
              What I need from ERP?
4    METHOD VALUE PROPOSITION

•ERP Software Selection
4    METHOD VALUE PROPOSITION

•ERP Software Selection

             We are 100%
        impartial and unbiased
         advisor, we do not sell
       or implement any ERP or
              accept any
       compensation from ERP
       vendors or Value Added
        Resellers for our advice
              or services
4     METHOD VALUE PROPOSITION

 •ERP Vendor Selection

  Build RFP & Publish it to prospective vendors.

  Conduct proposals evaluation process

  Comparison and ranking among vendors based on
hard & soft criteria

  Vendor selection

  Contract Negotiation and Closing
4    METHOD VALUE PROPOSITION

 •Clients Representative (PM & QA)
PM

perform    progress      tracking,   scope   management,
escalation process, issues tracking, and tasks-oriented
monitoring activities.

QA

performing audit on implementers, conduct acceptance
cycle to ensue that deliverables meet various criteria,
build quality procedures within implementation, and
monitoring deliverables consistency.
4   METHOD VALUE PROPOSITION

•ERP Benefits Realization Assessment


reviews the business case for implementing the ERP

collects and documents the organization's baseline
performance levels before the ERP "goes live" and
post-implementation

analyzes the gabs, and

recommends action plans to bridge that gap.
4     METHOD VALUE PROPOSITION

•Audit

Determine     whether   the   current   forecast   for
completion is reasonable

Determine whether any changes should be made to
the implementation process

Evaluate work completed to date

Determine whether there are software gaps that
were not expected

Gain insight that would assist in implementation
4    METHOD VALUE PROPOSITION

•Arbitration

 Compare implementation methodologies to best
 practice
 Evaluate software based on whether it meets
 defined requirements
 Review affidavits for validity, accuracy and
 reasonability
 Recommend potential solutions to resolving the
 dispute
 Prepare opinion letters and affidavits
 Provide testimony in court
 Assist in settlement negotiations
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
5   WHY METHOD

Broad and deep market experience

100% Independent, unbiased and impartial advisor

Do not sell or implement any ERP or accept any
compensation from ERP vendors or Value Added
Resellers for our advice or services

The only in MENA region have an ERP Software
Solutions and vendors Database, and extensive ERP
research and reports
5       WHY METHOD


The only "ERP Enabling" provider in MENA region
who has a       proven,   specialized , and progress
developed Methodology for this consulting service

Consultants have operational experience in multiple
industries

Leverage industry best-practices

Deliver measurable results and return on investment
exceeding our fees

Experts work on-site at your office
Contents
1   WHY ERP PROJECTS FAIL

2   IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY?

3   ERP VALUE CREATION CYCLE

4   METHOD VALUE PROPOSITION

5   WHY METHOD

6   IT’S MORE EXPENSIVE NOT TO USE METHOD
IT’S MORE EXPENSIVE NOT TO USE
     6      METHOD

                          Average ERP       Average ERP
                        Implementation    Implementation
                                         With "ERP Enabling"
ERP Implementation
       Duration
                        19 Months            17 Months
ERP Implementation
          Cost
                           $8.5M              $3.9M
Cost as a Percentage
        of Sales
                             9%                 5%
    Percentage of
       Potential            39%                80%
ERP Benefits Realized
    Management
Satisfaction With ERP       71%                100%
  Software Project
Thank you for your time!




      Riyadh

Tel: +96614191144
Fax: +96612150808

      Amman

Tel: +9626 5153802
Fax: +9626 5165222




               www.MethodCorp.com
                     Saudi Arabia | Jordan

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ERP Enabling (guarantee_success_implementation)

  • 1.
  • 2. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 3. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 4. 1 WHY ERP PROJECTS FAILS 75% of ERP projects are considered failures [Gartner, 2009].
  • 5. 1 WHY ERP PROJECTS FAILS Lack of end user buy-in, build ERP among inefficient or ineffective processes, inadequate functional requirements definition, misfit of application software with business processes, poor ERP package selection, unclear implementation scope, un-systematic approach for vendor selection, and miscalculation of time and effort
  • 6. PILLARS FOR SUCCESSFUL ERP 1 IMPLEMENTATION
  • 7. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 8. IS IT RIGHT TO GO TO THE ERP VENDOR 2 DIRECTLY? ERP by itself will NOT deliver value to your business if you are not improve your business Going performance first directly to the ERP ERP just automate your operational vendor will launch the transactions ERP quickly, There is a big difference NOT the value. between installing and implementing ERP Method makes a lot of effort to ensure your readiness to handle a success ERP story
  • 9. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 10. 3 ERP VALUE CREATION CYCLE
  • 11. 3 ERP VALUE CREATION CYCLE Don’t Perform “DO” alone, then you will overlook: Planning = Baseline Check = Closed – Loop Act = Continuous Improvement
  • 12. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 13. 4 METHOD VALUE PROPOSITION • ERP Readiness Assessment • BP Excellence & Performance Improvement • Organizational Change Management • ERP Optimzing • ERP Software Selection • ERP Vendor Selection • Clients Representative (PM & QA) • ERP Benefits Realization Assessment
  • 14. 4 METHOD VALUE PROPOSITION •ERP Readiness Assessment Conducting comprehensive surveys, detailed diagnosis for existing systems, uncovering all existing challenges Advise you either to start looking for vendors, or postpone ERP implementation
  • 15. 4 METHOD VALUE PROPOSITION •BP Excellence & Performance Improvement
  • 16. 4 METHOD VALUE PROPOSITION •Organizational Change Management People resist change because they are: Fear Of the Unknown Of Failure Which is Remedied By: Involvement Empowerment Awareness Desire Knowledge Ability Reinforcement Project Implementation Period Operation Time Workshops Incentives / Training Needs Training / Tools Re-assigning Assessment & Delivery Incentives
  • 17. 4 METHOD VALUE PROPOSITION •ERP Optimizing There is no ERP fit for all Buying ERP by looking to its capabilities before looking to your business needs may lead you to pick ERP modules and functions that are not required for your business case. Steps understanding your business needs, determing functional requirements (FRs) filtering FRs by existing IT application capabilities
  • 18. 4 METHOD VALUE PROPOSITION •ERP Optimizing Applying "ERP Optimizing" means that you decide what the functions to be in ERP by looking to your actual business need and existing IT applications NOT by temptation from ERP presales team. it's not important what ERP can do, the question is: What I need from ERP?
  • 19. 4 METHOD VALUE PROPOSITION •ERP Software Selection
  • 20. 4 METHOD VALUE PROPOSITION •ERP Software Selection We are 100% impartial and unbiased advisor, we do not sell or implement any ERP or accept any compensation from ERP vendors or Value Added Resellers for our advice or services
  • 21. 4 METHOD VALUE PROPOSITION •ERP Vendor Selection Build RFP & Publish it to prospective vendors. Conduct proposals evaluation process Comparison and ranking among vendors based on hard & soft criteria Vendor selection Contract Negotiation and Closing
  • 22. 4 METHOD VALUE PROPOSITION •Clients Representative (PM & QA) PM perform progress tracking, scope management, escalation process, issues tracking, and tasks-oriented monitoring activities. QA performing audit on implementers, conduct acceptance cycle to ensue that deliverables meet various criteria, build quality procedures within implementation, and monitoring deliverables consistency.
  • 23. 4 METHOD VALUE PROPOSITION •ERP Benefits Realization Assessment reviews the business case for implementing the ERP collects and documents the organization's baseline performance levels before the ERP "goes live" and post-implementation analyzes the gabs, and recommends action plans to bridge that gap.
  • 24. 4 METHOD VALUE PROPOSITION •Audit Determine whether the current forecast for completion is reasonable Determine whether any changes should be made to the implementation process Evaluate work completed to date Determine whether there are software gaps that were not expected Gain insight that would assist in implementation
  • 25. 4 METHOD VALUE PROPOSITION •Arbitration Compare implementation methodologies to best practice Evaluate software based on whether it meets defined requirements Review affidavits for validity, accuracy and reasonability Recommend potential solutions to resolving the dispute Prepare opinion letters and affidavits Provide testimony in court Assist in settlement negotiations
  • 26. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 27. 5 WHY METHOD Broad and deep market experience 100% Independent, unbiased and impartial advisor Do not sell or implement any ERP or accept any compensation from ERP vendors or Value Added Resellers for our advice or services The only in MENA region have an ERP Software Solutions and vendors Database, and extensive ERP research and reports
  • 28. 5 WHY METHOD The only "ERP Enabling" provider in MENA region who has a proven, specialized , and progress developed Methodology for this consulting service Consultants have operational experience in multiple industries Leverage industry best-practices Deliver measurable results and return on investment exceeding our fees Experts work on-site at your office
  • 29. Contents 1 WHY ERP PROJECTS FAIL 2 IS IT RIGHT TO GO TO THE ERP VENDOR DIRECTLY? 3 ERP VALUE CREATION CYCLE 4 METHOD VALUE PROPOSITION 5 WHY METHOD 6 IT’S MORE EXPENSIVE NOT TO USE METHOD
  • 30. IT’S MORE EXPENSIVE NOT TO USE 6 METHOD Average ERP Average ERP Implementation Implementation With "ERP Enabling" ERP Implementation Duration 19 Months 17 Months ERP Implementation Cost $8.5M $3.9M Cost as a Percentage of Sales 9% 5% Percentage of Potential 39% 80% ERP Benefits Realized Management Satisfaction With ERP 71% 100% Software Project
  • 31. Thank you for your time! Riyadh Tel: +96614191144 Fax: +96612150808 Amman Tel: +9626 5153802 Fax: +9626 5165222 www.MethodCorp.com Saudi Arabia | Jordan