Ask the Expert

How to measure ERP performance?

There are innumerable means of evaluating ERP performance. Each of them has their own advantages and disadvantages. There is no hard and fast rule as far as the appropriate method to be used is concerned. However, the organizations must decide and stick to one particular method, which must be put in use uniformly.

It is usually recommended to execute it midway through the ERP implementation. The next appraisal shall take place when the process is nearing completion. After ERP begins to operate the assessment shall take place within the time gap of 3, 6 and 12 months. These appraisals must be done on the basis of some set criteria. If these steps are not followed then the likelihood of the ERP’s success is limited.

The frequency of assessment depends on many factors such as the volume of business, ability to adapt to change and the characteristics features of the software that is in use. The performance assessment will not serve the purpose if these determinants are not taken into account. Besides, any other measure deemed to result in the benefit of ERP should be accounted for.