Paper
A PROJECT PLAN
A Project Plan
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A PROJECT PLAN
Project management has been identified as one of the core business practices that the
organization undertakes in their day to day operations. It always begins with the definition of the
project. After carefully planning to project, the process of implementation begins, which
involves putting the project action into action. It is in this phase that the project manager will,
therefore, coordinate and direct the project resources to meet the objective of the project plan.
During the implementation, it is the responsibility of the project manager to manage and direct
each activity throughout the project life cycle (Kerzner, 2017). For this assignment, the project
will be the implementation of a new Enterprise Resource Planning (ERP) in our company.
Project Overview
An ERP refers to the ability for the IT resources to deliver an integrated suite for business
software. The ERP tools share conventional data models and processes that are used in covering
deep operational processes such as the ones found in the finance business, manufacturing, HR,
and supply chain, among others. After implementing the project, it will enable the company to
automate operational and administrative business processes across all the departments. ERP
project implementation is a complicated and expensive endeavour, while some organization may
struggle to define the business benefits associated with it (Andersson 2016). Implementing the
new ERP will involve activities such as installing the software, gradual transferring of all the
financial data to the new system, and configuring the processes and users. Most importantly, the
project will also involve training the staffs who will be the users of the new system.
Project Goals and Objectives
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A PROJECT PLAN
The new ERP will integrate various functions in the organization using information
technology. The primary goals for the project to enhance tracking of the supply chain from
inventory purchases and final shipment activities to the customers. The integrated view of data in
the company will improve collaboration within the company and across boundaries. The ERP
will enhance the efficiency of the internal processes through the real-time information flow. This
simplifies the process of collecting, processing and sharing the data, which improves decision
making within the company. The new ERP system will streamline the demand planning,
scheduling functions of production, and inventory restocking which will eventually eliminate the
need of maintaining multiple data centres for the company (Verma et al. 2016). Most
importantly, the new ERP will streamline manufacturing processes, thus reducing the possibility
of production or supply delays since the management can effectively make adjustments in real-
time with the information collected through the new ERP system.
The new EERP will also reduce the cost of production. This is the reason the organization
need to invest considerable time and resources. Production and supply process efficiencies are
often considered as the first step of reducing production cost and maximizing the revenue. A
streamlined process means that the company will have less reworking, which in turn reduces the
costs. The new ERP will also enhance sale forecasting, which is vital in inventory management
through the supply chain process (Verma et al. 2016). When a company understand when each of
the customers will need a specific product, it will enable effective planning he production shifts
to ensure just enough manufacturing to satisfy the demand. Tis will ensure that the company will
not have to incur the extra cost of handling products or not having enough inventories to satisfy
the demand.
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A PROJECT PLAN
The other objective of the new ERP is enhancing the quality of the manufactured
products. The software technology will allow the management to benchmark quality
performance against competitors within the same industry. The management can also
benchmark the quality performance against established standards such as the Six Sigma tool to
detect any defects on the right time. This will allow the company to correct any defects for the
finished goods or any problem in the manufacturing process (Verma et al. 2016). Quality
improvement will eventually result in increased customer satisfaction and high retention rate.
This will increase corporate profitability, which is also another essential goal of the new ERP.
High quality often adds value to the brand, which eventually enhances the growth of market
share.
The Project Management Structure (Functional Organizational Structure)
For the new ERP project implementation and management, I will utilize the Functional
Organizational Structure. I will find the components of the already existing hierarchical system
with authority driven decision on budgets, equipment, schedules and the resources required for a
successful implementation of the project. In this structure, decisions concerning the system
depend on the functional managers who have a high level of expertise in the same field. This
means that as a project manager, I have limited authority and I will have to seek permission from
the functional manager to ensure the new system does s not negatively impact company
performance (Ahmady, Mehrpour & Nikooravesh, 2016). Implementation of the project will be
broken down into departments such as the HR, sales departments, manufacturing departments,
finance and public relations. The heads of these departments will ensure a smooth transfer of
data into the new system while still using the old systems to prevent disruption of the company
activities.
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A PROJECT PLAN
The Key Customers and Stakeholders of the Project
The actions of stakeholders in an ERP project determines whether it would fail or
succeed. The interaction of stakeholders influences each other while their roles determine the
outcome of the final projects. ERP project implementation involves internal and external
stakeholders who have different roles in project planning and implementation. These
stakeholders include the different departments within the company such as finance, HR,
manufacturing and sales departments. The software vendor is the other important stakeholder for
the ERP project implementation (Singh, Singh & Kaur, 2017). The system users and the
procurement manager are the other critical stakeholders of the ERP system. The company's
customers will benefit from this implementation through increased efficiency in making orders,
faster delivery of products and more accurate orders, among others.
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A PROJECT PLAN
References
Ahmady, G. A., Mehrpour, M., & Nikooravesh, A. (2016). Organizational structure. Procedia-
Social and Behavioral Sciences, 230, 455-462.
Andersson, A. (2016). Communication barriers in an inter-organizational ERP-
project. International Journal of Managing Projects in Business.
Kerzner, H. (2017). Project management: a systems approach to planning, scheduling, and
controlling. John Wiley & Sons.
Singh, C. D., Singh, R., & Kaur, H. (2017). Critical appraisal for implementation of ERP in the
manufacturing industry. LAP Lambert Academic Publishing.
Verma, P., Kumar, V., Kumawat, G. L., & Yadav, N. K. (2016, March). The Role of
Management Control System in ERP Project Implementation. In Proceedings of the 2016
International Conference on Industrial Engineering and Operations Management Kuala
Lumpur, Malaysia.