The cost of upgrading or buying a new ERP system like MS Dynamics AX is undoubtedly enormous. As a result, some companies look for ways to “save” on costs, mainly in the implementation stage. We have come across businesses that tried to implement Dynamics AX on their own to cut costs, only to fail. The end results of a failed implementation usually include increased costs through third-party consultations, delayed deployment or cookie-cutter out-of-the-box ERP functionality.
In theory, implementing Dynamics AX on your own can help you save. However, the reality on the ground is different. ERP implementation is a complex process that requires a skilled, experienced and dedicated team to handle. The implementation team should be able to set up the ERP to work with your existing legacy system, ensure smooth data migration, train your employees on how to use the system and be able to customize it for your business needs.
Most organizations fail when implementing Dynamics AX in-house due to lack of sufficient skills. Below are some reasons why you should not implement AX, or any other ERP, on your own:
i) Strategic importance of the implementation process
If you do not understand the various ways in which the implementation of Dynamics AX is strategically important for your business processes, you will face a number of problems. Most companies that implement ERP on their own fail to understand the strategic importance of the implementation. After implementation, the younger, less experienced members of the organization end up doing their jobs excellently but fail to understand the company’s overall operations and strategic goals.
Another mistake organizations make is loading the implementation team with C-level executives. While these players know where the company is today and where it’s heading, they usually lack insight on how specific activities and processes used in the company work.
To avoid the ensuing problems of an unsuccessful implementation, organizations should hire certified Dynamics AX consultants to help them. The consulting company will set up the application to ensure it’s used optimally for all business process flows for a long time.
ii) Lack of skills and expertise
Large organizations spanning multiple states or territories can end up biting more than they can chew when implementing Dynamics AX. After an unsuccessful implementation, companies are usually left to work out the kinks in the process flows and business model that were decided by the implementation team.
When you buy Dynamics ERP, you are not only buying technology but a way of doing business for your organization. Sometimes, some elements in the application may be meant for business practices that are not engaged in your organization either because they were not supported by your legacy system or are not part of your corporate culture.
Implementing Dynamics AX as standard leaves it running inefficiently. This is because all standard models are activated, even those that don’t apply to your organization. An ERP consultant can implement the modules that will facilitate business improvement in your organization and that employees will be able to absorb.
iii) Inability to customize the new application
Change is not accepted easily in organizations. Some people would rather stick to the way they have been doing things. If these people are part of the implementation team, they can come up with their own ways on how things are supposed to work. This usually means setting up the ERP to work like the legacy system being replaced. The result is having a new ERP that does not improve productivity as expected.
To avoid the costs resulting from prolonged, incorrect or delayed implementation, it is important to work with a certified MS Dynamics AX implementation partner. The partner will get you up and running quickly and smoothly, help you realize the benefits of the ERP and ensure you unique business requirements are addressed. Correct implementation will help your organization save time and money, and also increase the Return on Investment (ROI) of your ERP system.
