The ability for end users to adopt and properly utilize ERP solutions can make the difference between implementation success and failure. In supporting our clients, we have come to recognize two forms of system go-lives, both of which are essential for a successful ERP implementation.

Technical go-live is comprised of activities required to get the software properly configured, tested, and integrated. It involves:

• Identifying architectural requirements and defining system design and configurations
• Defining interactions between the new ERP and existing systems
• Ensuring end user security and data integrity
• Migrating legacy data into the test environment and later into the production environment
• Performing system validation and system integration testing, including user acceptance testing

Business go-live involves activities that enable business users to understand and effectively use the solution to complete work and achieve the desired business benefits. Efforts include:

• Ensuring end users understand ERP functionality (both what the solution will do and what it won’t do)
• Identifying business requirements and creating user requirements specifications (URS)
• Defining how new ERP-enabled business processes will operate, and developing standard operating procedures (SOPs) for those new business processes
• Ensuring data is available and sufficient to perform the new processes
• Providing timely user training to the appropriate end users

In one recent engagement, our client was conducting a phased ERP implementation across their manufacturing facilities and supply chain functions. The ERP implementation partner understood the software capabilities well, but due to budget and time constraints primarily focused on the technical aspects of go-live. Consequently, business functions were working in silos. The material setup was fragmented, leading to issues in planning for demand, supply, and manufacturing scheduling. To add to the difficulties, business processes were not well-defined pre-implementation. A lack of process clarity in the pre-existing paper-based systems was carried forward to the ERP solution. Additionally, although a subset of master data was prepared and used to complete system and user testing, a great deal of the additional data required to conduct business going forward was not made available in the ERP system. As a result, after a successful technical go-live, no business transactions occurred in the system for months, until the balance of the relevant data was available. Overall, the outcome was less than successful.

To contrast, in another engagement, our client was implementing their ERP solution’s Inventory Management Module in preparation for commercial launch. The client had a well-established paper-based system and processes, and business users were educated with the desired system capabilities. Although the ERP implementation firm had no prior experience in the life sciences industry, a core team of business users from relevant functions was assembled from the start of the implementation project. They attended a vendor-led session to learn about system configuration options and provided input for required system functionality. Additionally, all the relevant master data was cleaned and migrated prior to go-live. Thus, business processes could be transacted in the system as intended, simultaneously achieving successful technical and business go-lives.

Many factors can help ensure a successful business go-live. Selecting the right implementation partner is a good start. Choose a vendor who knows your industry and its unique requirements.

You can also plan to involve other experienced internal or external resources. Industry knowledge makes it easier to understand and prioritize business needs.

Assemble a cross-functional core team representing all the relevant business functions affected. This team will help identify desired system capabilities.

In addition, ensure that you set a realistic timeline to allow sufficient time for the necessary activities and for end users to prepare and train for system adoption. These steps, among many others, can help your organization with a successful ERP implementation.