Reference no: EM133222668
Hugger-Mugger is based in Salt Lake City, Utah, with revenues of about $5 million. The company produces yoga accessories (e.g., yoga mats, bags, and shorts). The company is more than 20 years old and had implemented a number of stand-alone systems over those years. These systems were proving to be out of date with the needs of Hugger-Mugger, so they decided to implement an integrated ERP.
Hugger-Mugger went through a selection process for midsized ERPs and selected Compiere. The company chose the package based on its needs coupled with the cost of the software. Compiere is an open-source ERP system (open-source software (OSS) that required free distribution applications with the source code. There was no warranty or liability with the product (i.e., there usually is a cost for support and services). After the selection of Compiere, the software was installed and implemented in very short period of time. The IT staff made most of the decisions on how the software was to work. No documentation was created on the implementation. User training was minimal at best, and a true understanding of the system was not achieved by "Go-live"-a recipe for disaster. They did use a well-documented or well-understood project methodology, and users were not involved enough in the implementation process. Users actually knew very little of how to use the system, nor did they understand its complexity. Data entry was slow and incorrect, which resulted in orders and customer information that made no sense. To make matters worse, IT staff left after the implementation. The new company president, Tom Chamberlain, quickly realized there was a major problem with the implementation and set about to fix many of the oversights made during the process. A consulting company, which had implementation experience with Compiere and used a well-documented project methodology, was hired to address the problems. Two dedicated IT staff, and the inclusion of users in the process, have improved thesystem performance immensely. "A customer can place an order in the afternoon of one day, and it will be on the dock to ship at 9 a.m. the next morning," Chamberlain said.
Conclusion
As ERP implementations go, this one was not well organized, and it lacked a good methodology for moving through the phases of an implementation. The new president wisely brought in an implementation partner to work through the problems and stabilize the system. The training and readiness for "Go-live" were almost nonexistent.
Preview
The ERP implementation phase, just before going live, is one of the most critical points in a project's success. It is the culmination of a number of planned tasks, activities, and resources brought together to implement the system based on the goals of the organization. Even though there were a number of issues that can be identified in the Hugger-Mugger case, it was clear they were not ready to "go live." In assessing an ERP project's readiness for Go-live, it is vital to focus the efforts of the teams to ensure that task and activities are completed before going live. This allows project management to address any outstanding issues that may jeopardize the Go-live date.
How did Hugger-Mugger do in terms of ERP Training, Stabilization, Post-Production support, and Knowledge transfer for successful ERP implementation?
ANSWER IN 300 WOR-DS ONLY.