Regardless of your organization's industry, there are 4 principle rules when it comes to your line of business (LoB). From finance to quality to sales to every other department in your company, following these guidelines will make a significant difference to your success.
Rule 1: An LoB is core to your business but CAN NOT be 100% of your business processes
- Automating your business processes in your LoB system means rework and additional testing when the time comes to change or upgrade your LoB system.
- Business process must connect to multiple LoB systems. One thing is certain, an LoB system vendor is only concerned about their system not the enterprise or other systems.
Rule 2: DO NOT have your LoB vendor develop custom code and custom workflows
- They can only automate transactional processes that are core to LoB (see rule number 1)
- Agile development is counter to their Software Development Life Cycle (SDLC) processes
- Client co-development is not an option
- After the ‘big’ implementation, responsiveness for future development drops off
- Custom code requires dedicated testing whenever the LoB is upgraded ($$$)
- Features and options that are adjusted or deprecated will negatively impact custom code
Rule 3: You do not know your future state and your business model will change
- Acquisitions will change your business processes
- External forces will change your business processes
- Agile updates to your business processes (workflows and automation) is critical
Rule 4: ERP Total Cost of Ownership must remain as low as possible
- ERP is the most expensive budget line item in an IT budget
- Forcing acquired ventures onto your existing ERP is expensive and often unnecessary
- Upgrading a highly customized ERP is typically delayed until the system is a major concern
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