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12 - After Going Live

from PART THREE - ERP LIFE CYCLE

Published online by Cambridge University Press:  05 June 2012

Daniel E. O'Leary
Affiliation:
University of Southern California
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Summary

After going live with the ERP implementation, it is not time to forget about ERP because it is “done.” Instead, at that time the organization enters a stabilization period that typically drags down organizational performance. As a result, firms need to work to mitigate that negative effect. The firm also needs to build an organization to handle the day-to-day issues associated with the ERP system, and management needs to determine what else must be done and whether the implementation matches the system plan. Also, management must address what upgrades, extensions, or linkages can or should be made to the ERP system. Finally, the firm needs to evaluate the success of the project.

The Stabilization Period

After a system goes live there is what has been referred to as a “stabilization period” that typically lasts from three to nine months. During that period, as noted by a director at Benchmarking Partners, “[m]ost companies should expect some dip in their business performance at the time they go live and should expect that they'll need to manage through that dip” (Koch 1999). For example, a recent survey by Deloitte Consulting found that, after their ERP systems went live, one in four firms suffered some drop in performance.

During the stabilization period, all those processes that once were just plans are now being used. New software and processes may be unfamiliar to the users.

Type
Chapter
Information
Enterprise Resource Planning Systems
Systems, Life Cycle, Electronic Commerce, and Risk
, pp. 172 - 185
Publisher: Cambridge University Press
Print publication year: 2000

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  • After Going Live
  • Daniel E. O'Leary, University of Southern California
  • Book: Enterprise Resource Planning Systems
  • Online publication: 05 June 2012
  • Chapter DOI: https://doi.org/10.1017/CBO9780511805936.012
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  • After Going Live
  • Daniel E. O'Leary, University of Southern California
  • Book: Enterprise Resource Planning Systems
  • Online publication: 05 June 2012
  • Chapter DOI: https://doi.org/10.1017/CBO9780511805936.012
Available formats
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Save book to Google Drive

To save content items to your account, please confirm that you agree to abide by our usage policies. If this is the first time you use this feature, you will be asked to authorise Cambridge Core to connect with your account. Find out more about saving content to Google Drive.

  • After Going Live
  • Daniel E. O'Leary, University of Southern California
  • Book: Enterprise Resource Planning Systems
  • Online publication: 05 June 2012
  • Chapter DOI: https://doi.org/10.1017/CBO9780511805936.012
Available formats
×