ERP Migration: Challenges and Solutions

Migration to a new ERP software platform is not simple. It requires strategy, planning and execution. Here’s a guide to successfully migrate to your new ERP software.

A report by MarketsandMarkets projects the global cloud ERP market size to grow from $45.3 billion in 2020 to $101.1 billion by 2025, at a Compound Annual Growth Rate (CAGR) of 17.4%. The report highlights the growing adoption of cloud-based solutions, the impact of COVID-19 and the need for enterprises to optimize business efficiency and processes as main drivers to the growth of ERP. Whatever be the reasons your business is migrating to a new ERP platform, you will be facing some challenges and you need to address them.

Key Challenges in ERP Migration
  • Managing Legacy Systems: Legacy systems are the backbone of the IT landscape of most companies. These systems are often customized which further increases the complexity in accommodating them in the new ERP system.
  • Data Quality: Data is a critical part of the ERP migration process. Whether it’s a new implementation or a migration to an upgraded ERP, the quality of data that needs to be migrated is important. Your data in its current form may suffer from integrity, validation and duplication issues which can impact your new ERP.
  • Understanding the New System: The new ERP system you are moving to will also have features, workflows and requirements that you may or may not accustomed to. You need to quickly understand it and then customize it or adapt to new ways of doing things.
  • Getting Internal Support: Migrating to a new ERP is advantageous but also risky. The risks associated with the ERP migration make it tough to get executive buy-in.
  • Managing the Change: Migrating to a new ERP will of course bring changes in your processes and work style. Your employees need to be trained to use the new ERP. But most importantly, you may have to make a few fundamental changes in old work practices, which may face resistance.
  • Getting Resources: You will face this challenge if your company doesn’t have in-house resources specialized in the new ERP. In such a scenario, you would have to hire new skills or look for a vendor.
Before You Start…

One of the key reasons behind organizations failing in their ERP migration projects is the lack of skilled in-house resources who can execute the project. Hiring new skills can take time and push your budget. An experienced vendor can help you successfully navigate the challenges and help you migrate to a new ERP without stretching your budget and within time. We, at Gemini Consulting & Services, have an experienced team of ERP consultants and software developers who can help you in your migration project. Click here to know more about our ERP migration and modernization services.

Tips for Successful ERP Migration
  1. Build a solid business case to get executive buy-in. Present your case not only to the leadership group but also to other stakeholders in your company.
  2. Create an ERP migration strategy. Identify and prioritize your needs. Discuss it across the company so that everyone agrees to the key goals behind migrating to a new ERP.
  3. Dig deep to learn about your new ERP. Understand its features and how you can use them in your business.
  4. Check data readiness. The quality of your data is important. So, clean up your data, check its integrity and minimize duplication.
  5. Build a change management plan. Conduct discussion sessions and training programs for end-users.

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