Be sure that ERP implementations treat legacy systems properly

1/18/2012 at 1:56 pm by The Sage ERP Team

When organizations commit to enterprise resource planning implementations, they’re likely not thinking about the past. This perspective of the future is an important one and signals that a crucial line of thinking has taken hold in the higher levels of a company. However, it does have the tendency to obscure the fact that there are some things from the past that need to be addressed.

This is in reference to legacy systems, which is the term used to describe whatever record keeping or data analysis processes that a company had before an enterprise resource planning system was put in place. While most businesses might think it prudent to put these application suites behind them, it’s important to think long and hard about the past in order to properly lay the groundwork for the future. Here are some ways that this can be accomplished.

What is necessary to replace?
Most comprehensive enterprise resource planning implementations are going to necessarily focus on making all departments or systems work in synergy with one another, a prospect that doesn’t bode well for legacy systems that are out of date. However, the entire idea behind ERP systems is that companies should be efficient and save money whenever possible. Consequently, it might be the case that a process or procedure here and there can remain in place. As they say, if it ain’t broke, don’t fix it. This applies to business software where minor processes are concerned – just be sure that major applications are replaced when necessary.

What makes the old data obsolete?
Legacy systems that ultimately must be replaced can still provide some valuable insight into the shape of future business software. The most important question for planners to ask is – how is the old system insufficient for our company’s needs? More specifically, the question should be asked to find out what makes the data being produced by legacy systems behind the curve and unusable. This will help organizations articulate what they find to be the shortcomings they want addressed when they meet with software vendors to guide future implementations.

Who needs extensive training?
Legacy systems might be out of date, but their general use might follow standard patterns and steps that can be translated to future application suites. This means that while some new hires or employees who aren’t familiar with business software will require extensive training, old hands might be adequately prepared to jump into the use of an ERP system. Training and staffing are responsible for many of the costs of an implementation, so use performances with legacy systems as guides for determining what training is necessary.