Why Implementation of Enterprise Application Fails
Words: 550
Pages: 2
63
63
DownloadWhy Implementation of Enterprise Application Fails
Name:
Institution:
Introduction
An Enterprise application is the business process management software that is designed to integrate all levels of business operations and processes like human resource, inventory, manufacturing, and distribution; for a seamless flow of information. An advanced enterprise application system links the firm’s business partners, suppliers, and customers. On the other hand, business process re-engineering- a subset of Enterprise application-is an innovative and a core business process that aims at the elimination of costs and redundancies in the business. It seeks to wholly restructure and redesign processes, differently from the existing, through an unrestricted method that looks beyond the defined boundaries, to bring substantial change. Lastly, mergers and acquisitions are the consolidations of companies’ assets to create a stronger and valuable team through wealth maximization.
Body
Many businesses globally have tried implementing enterprise applications to enjoy the benefits that come with it. However, this has proved to be difficult due to the complexity and cost associated with it. Moreover, some companies that have successfully implemented this have not enjoyed the benefits despite the high-cost of investments. Poor project management is one factor that leads to failure of implementation of EA. This scenario occurs when some companies do not see the importance of employing a project manager, labeling it expensive.
Wait! Why Implementation of Enterprise Application Fails paper is just an example!
The absence of professional manager in project planning leads to unsystematic planning and execution of tasks which consequently hinder implementation of an Enterprise application.
Moreover, project planning by inexperienced team members often leads to the identification of the incorrect business goals. Some may focus on rectifying the symptoms and not the problem identified in the processes. In line with that, identification of the wrong business goals leads to the identification of the wrong Enterprise application remedy. Selection of the right solution often involves different stages, business goals, and evaluation of ease of integration with other technologies in the company, not just the current business needs. The omission of these steps will hinder appropriate choice of the system. Also, these critical decisions need the involvement of the strategic business managers, who should be in support of implementing an EA system. Lack of their support leaves a gap in the assessment of associated risks and championship in the process which cripples implementation.
Business process re-designing is one of the most critical factors that lead to successful implementation of business applications. Lack of a strategic plan that leverages the use of Information Technology as a competitive tool is a contributor to the failure of BPR. The top management oversees formulating strategic plans hence their presence in the identification process is critical. Lack of their support results in the identification of strategies that are not in line with the business goals thus the implementation of the BPR is prone to be unsuccessful.
Mergers and acquisitions are also part of the strategy used in Enterprise application. The chief reason for failure in this is inadequate management during the formation and integration process. Failure results from some top managers choosing this strategy because of lack of a vision and inappropriate strategic reasons. An example is when they select this route to buy competitors in the market to broaden the market share. Additionally, problems arise due to the difference of cultures and external environment between the merging companies. Mismanagement of businesses relationships with competitors, customers, and supply chain partners contributes to the failure of mergers and acquisitions.
Lastly, communication challenges within and outside merging companies lead to failure in implementation of mergers and acquisitions. Employee communication and empowerment is necessary during and after the implementation process. When mergers and acquisitions happen, employees happen to feel left in the dark on the progress of integration and how the strategy will affect their jobs and rumors fills this void causing distrust in the company.
Conclusion
An Enterprise application is a system that is arguably the best in achieving a streamlined business process. However, some reasons like lack of a professional project manager to guide the process, identification of the wrong business goals, choosing the incorrect Enterprise application software, and lack of support from top managers hinder implementation of an EA system. Additionally, the massive costs and complexity of the application impede the implementation of an Enterprise application.
Subscribe and get the full version of the document name
Use our writing tools and essay examples to get your paper started AND finished.