Global ERP: Challenges Facing the International Implementation of ERP Systems

Global ERP implementation is probably the most difficult and arduous task enterprises that have international operations.  It will involve substantial changes to its management culture, business operations, processes, operational control, and technical support and infrastructures.  Changes to these elements could involve considerable investments but the rewards of global ERP migration could also be huge.  It can also significantly improve the efficiency of global companies and tighten the financial control of central offices to its regional and country units.

Implementing global ERP involves facing several daunting tasks.  First, companies must be able to standardize it business operations and processes.  This is critical in order for ERP to work at its maximum efficiency.  Changing business processes across several borders however involve the ability to effectively manage change.  Another difficult undertaking in global ERP implementation is the institutionalization of effective communication channels for conveying corporate changes.  Communication could be the key to any major corporate changes so this should be carefully addressed by global corporations.

Implementing global ERP also involve difficult technical challenges.  The main challenge is the provision of global and centralized support for the ERP system.  Because control of the software lies on central offices, these business units must be able to give timely and fast technical ERP support to its regional and country branches.   International corporations must also phase out and retire their old business processes solutions to pave the way for global ERP implementation.  This could take time and it will certainly need excellent technical management skills to keep the company working during the process of implementation.