ERP Outlook by Microsoft

In reading this article on MS and ERP, the question came up “Is Microsoft really going after the smaller companies with their Dynamics ERP offerings?” So far all of the indications are that they are targeting SAP and Oracle as their competition. Is this a little arrogant of Microsoft, trying to compete against the established Tier 1 vendors in ERP? Oh… Yeah… they’re Microsoft. The same company that went after Lotus 123, Netscape, Word Perfect, and others. Find a niche that uses software, exploit it with the fact that MS software runs well on MS Windows, it has a familiar look and feel to it, and give it away for free or market the hell out of it.

So far that is not what has happened with Dynamics, but it is still early. What has happened so far is that they have completed wave 1 of their project Green integration. They have built a common user interface for all the Dynamics products (AX-Axapta, NV-Navision, GP-Great Plains, SL-Solomon). They have also built common database tools. Now Mr. Gates is outlining a future with CRM and Dynamics that integrates to the “Live” tools on the web, including MS CRM integration to the Live website for targeted advertising. Add to that that 2007 Office is going to have intimate linkages into and from Dynamics. The user interface is MS Outlook. Based on MS CRM, which essentially now plugs into Outlook, Dynamics will soon do the same. So you will have a single, familiar Desktop tool for managing Email, Customer Relationships, and Enterprise Data. All with the familiar Microsoft look and feel plus links into Microsoft Live.

Sounds irresistable for a midsized company who wants simplicity and flexibility. However, now your entire enterprise is dependent upon a single vendor for the Back Office (servers and database), Front Office tools (MS Office), and your enterprise data.

Further, as it stands right now, Microsoft is taking a familiar approach of providing a development platform for partners to extend. In Dynamics, the code is flexible with many MS partners building niche add-ins to the products. As we understand it, the core product of Dynamics works fine, but doesn’t drill to deep into any industry. The Microsoft Industry Builder addresses that by having MS VARS (Value Added Resellers) become specialists into certain industries and then developing the vertical software necessary on top of the Dynamics product. Yes, it is integrated and native, being built with the Dynamics tool set. Yes, it is supported. If anything happens to the VAR, then as long as it is a Microsoft certified Industry Builder solution, you get the Microsoft support for that vertical extension.

So is SAP and Oracle out of reach? Based on history, no they are not. And based on history, they should be preparing for a real fight.

ERP Definition

ERP Implementation: Success Factors

By Andrew Karasev

As seeing large number of implementations in our case these are Microsoft Business Solutions Products: Great Plains, MS CRM, Navision we would like to give you our opinion on what should you consider to do to secure implementation success. These principles should work as for large corporation as well as for midsize and even small business. We will not be talking about old-wisdom, which you know from the college classes or business school about management and staff involvement into the decision making, brainstorming, etc. we’ll be ERP specific

* In-house Technical Expertise. Well, complication of computer networking and its security, plus the fact that SQL is now standard for the database platform (Microsoft SQL Server, Oracle, DB2, etc.), plus internet connection line and its support make it inevitable to have IT expertise in the company this might be the whole department or just coming or part time networking consultant. Our experience indicates that the lack of internal or always available onsite specialist decreases the chances of success dramatically. And the explanation should be simple to this fact. Nowadays ERP system requires minor or major customization, integration and reporting and all these steps in turn require patient coding and testing in the test environment or on the sample dataset/database

* Dedicated ERP Administrator. This is true that users could be trained and would know how to use the system. However typical ERP has its own life and somebody should assign new users, setup security roles for them, modify reports and makes custom reports available for the users, setup printers, try first to resolve the issue by looking at the techknowledge database, and so on. ERP Administrator doesn’t have to be IT guru she/he needs to be trained on how to administer the program and how to deal with technical support. Image for a moment that if you take out manager from the company even if all the employees have excellent training and used to work for the company numerous years you will still expect performance degradation. The same should be said about ERP system

* Expect Certain Number of Issues. IT industry is not yet mature and it is probably sad, but the reality, that even very experienced consultant, developer, programmer makes errors or your software environment has something that make the custom piece malfunction. When you see the consultant being persistent in resolving your issues please be patient and try to help him or just don not make him nervous.

* Trust Your Consultant. When you decide on somebody to implement the system, you need from this moment on to trust him and let him have high security access to the ERP hosting server. Complex security makes consultant suffer from getting connected, installing the patches or custom pieces. So many times we were spinning our wheels in trying to test new custom business logic, when, say Windows or MS SQL Server security was restricting us to do the actions we needed

* Do Not Overnegotiate. This is from the sales cycle. When you purchase the system you should purchase the software and implementation from the same company otherwise your partner will place you on the second priority list. We saw numerous examples, when client purchases Microsoft CRM licenses from nation-wide distributor, and then is trying to find somebody to implement the system. Also if you are cutting software prices you may see your consulting company rescheduling the work for you in favor of somebody else.

Andrew Karasev is Chief Technology Officer at Alba Spectrum Technologies ( http://www.albaspectrum.com ) – Microsoft Business Solutions and IBM Lotus Domino Partner, serving corporate customers in the following industries: Aerospace & Defense, Medical & Healthcare, Distribution & Logistics, Wholesale & Retail, Chemicals, Oil & Gas, Placement & Recruiting, Advertising & Publishing, Textile, Pharmaceutical, Non-Profit, Beverages, Conglomerates, Apparels, Durables, Manufacturing and having locations in multiple states and internationally.

Article Source: http://EzineArticles.com/

ERP Failures

The ERP comeback

Chris Shaul

ERP seems to be on the move again this year. Vendors are ramping up, customers are calling again, selection projects are beginning. Why now? With all of the things going on in the world, what is it that is driving the return of ERP and technology initiatives?

This can be attributed to several factors. First is the rush to implement prior to the year 2000. In the late 1990’s, every company was working to shore up their systems to prevent the dreaded millennium bug. Companies that couldn’t patch or were not even sure about it, moved in droves to the ERP market. It was a frantic time. Now, six and seven years later, the lifecycle of those original ERP systems is coming due. Companies that implemented back then are now reconsidering their systems and are either performing major upgrades or migrating to new solutions.

Second was the freeze on IT spending in the post 9/11 era. After 9/11, companies invested in very little infrastructure and spent more of their budgets on IT security related issues. It is only of late that companies are loosening the purse strings again to invest in infrastructure and strategic systems.

Lastly, because of the IT downturn in the early part of the 2000’s, there has been a tremendous consolidation of software providers. Sage and Infor have quickly aquired a multitude of smaller software providers and are rebranding and in some cases consolidating their offerings for the small and medium enterprises. Microsoft and Oracle have recently gobbled up competing ERP offerings. Microsoft with the acquisition of Navision/Axapta, Great Plains, and Solomon. Oracle with the acquisition of JD Edwards and Peoplesoft. The result of this consolidation is a more focused message and a clearer landscape of providers. In the mid to larger enterprises, t is almost a choice of platform rather than options. You have the SQL Server camp and the Oracle camp. That is for a different article. But clearly, companies interested in choosing new software now have a smaller field of vendors to look at. Instead of a selection, it is now a choice of perhaps two ways to go.

This comeback is not without problems. Continue reading The ERP comeback