ERP implementation Projects rarely fail during the initiation phase but often encounter failure during the implementation phase.
Implementing an Enterprise Resource Planning (ERP) system is an important task for any organization. It involves integrating various business processes and functions into a centralized system to streamline operations, improve efficiency, and support decision-making based on data for business leaders."
There is a fact that most software ERP implementation projects for businesses face is that over 50% of ERP implementation projects are unsuccessful, and only 18% of small and medium-sized enterprises have successfully implemented comprehensive management software. This means that 18% of those businesses have overcome the difficult and challenging implementation phase.
However, besides the technological complexity and challenges in managing the implementation of ERP projects, an important aspect that is often overlooked is managing customer expectations.
So, what is the key to effectively managing customer expectations?
In this article, we will share how Viindoo Technology Joint Stock Company (Viindoo) manages the expectations of businesses in a project implementing the Viindoo Enterprise Resource Planning (ERP) software solution for businesses.
Understanding the Customet Expectation When Implementing Technology
Before starting a project to implement Viindoo solutions, our team of experts always emphasizes the importance of understanding the expectations of all stakeholders in the business. These expectations can vary for each individual within the business and are constantly changing. From meeting strategic vision, creating conditions for decision-making based on leadership data, improving process performance of the management team, and facilitating work implementation, easy to use for employees in the enterprise, to improving customer service. Without a clear understanding of these expectations, the project is at risk of going in the wrong direction, not achieving its goals, and jeopardizing the success of a technology application project.
Diversity in expectations when implementing an ERP project in a business
The members of the business can be divided into 3 groups to understand their needs:
Employees: They are the users of the solution. They interact with and use the solution on a daily basis, and often have the most practical experience with the application and benefits that the software solution brings. Their goal when using the software is:
- It can make their work easier, more convenient (more efficient, less stressful, and more enjoyable).
- Help them develop (learn something new, be challenged, and upgrade).
Target audience: managers, supervisors, or team leaders who have the function of monitoring or benefiting the most from the applied technological solution. In addition to the desires of the employees, the expectations of their Enterprise Management team are:
- Asserting their capabilities and career development by participating in technology projects
- Using technology to manage teams and fulfill the team's business production plans.
Administrators / Investors (sponsors): They are the highest-level administrators and investors who are primarily concerned with the net profit ratio over the total investment cost (ROI - Return on Investment). They implement the Technology Application Project to meet the management and vision goals of the company. Their expectations for the project are:
- Completion on schedule
- Within the budget.
This diversity leads to the "impossible" ability to meet the expectations of all stakeholders in the business, not to mention the conflicts that arise from the different expectations of different stakeholders in the business. Therefore, choosing the target of the Viindoo Solution Deployment Project that is suitable for the expectations of any stakeholder is a task that Viindoo experts carefully consider and value.
If we only focus on finding ways to meet the expectations of all stakeholders in the business, Viindoo will lose sight of the main goal of the project.
The standard of "satisfaction" constantly changes according to each stage of project implementation
The standard of "satisfaction" for different stakeholders in the business always varies, and the satisfaction of a specific stakeholder also changes constantly according to each stage of the Viindoo Solution deployment project. Always remember, dissatisfaction is an inherent attribute in any project.
Although satisfying the stakeholders in the business is not the main goal throughout the implementation process, we definitely consider it as a great way to motivate the key users of the Viindoo solution.
Therefore, we always gather feedback from customers regularly during the project implementation process to better understand the concerns of the project participants of the Enterprise. We need a balance between the satisfaction of the enterprise and the success of the project: on time and within budget.
Customer satisfaction evolution throughout the project
The Customer Expectation Management Guide - Key Factors in ERP Implementation Project
With the experience of Viindoo's team of long-time experts, we believe that the key issues mentioned below will help organizations deploying complex ERP software projects and business leaders to have a better understanding of the mindset and direction in the planning and implementation process of a complex technology application project for the enterprise. Don't make the business think "the project is really simple".
Implementing enterprise management software has never been easy. Each business has its own unique and complex operating process, and when software is applied to management, there will certainly be many changes. And one of the mistakes that implementers make when starting a deployment project or selling ERP solutions is making customers misunderstand that it is very simple - perhaps for the purpose of closing deals with customers.
Project process of Viindoo project
This is also the reason why ERP projects often do not fail in the startup phase but are very likely to fail in the implementation phase. By that time, the complexity of the enterprise's operations truly reveals itself, and the project becomes much more complex than both parties imagined. Or the project was inherently complex, but due to a lack of experience, the implementing unit could not anticipate it.
On the development path of Viindoo, our experts have also encountered many failures in ERP projects. It is not difficult for businesses to recognize the benefits, the superior advantages that technology brings to businesses. Especially, these things have been mentioned in very authentic cases that many successful businesses have applied technology to.
However, to fully recount the difficulties and risks that can become factors leading to failure, only experienced experts who have practical experience can accurately predict and evaluate them. This is very important to help us manage risks and have proactive preventive measures, ensuring the success of Viindoo's projects as they are now.
With unforeseen occurrences, businesses often have to bear additional costs such as: customization costs for developing additional software for unforeseen requirements, costs incurred for the project team (overtime, changing suitable personnel...), costs for unforeseen requirements due to poor management of expectations from stakeholders in the business... but lack the resources to pursue the project, leading to a state of "stagnation".
Therefore, first and foremost, all experts at Viindoo must adhere to the following in all projects, during contract negotiations, and throughout the implementation process:
"Let the customers know that implementing an enterprise management software like Viindoo is always a challenge with many changes and risks that need to be managed".
Instead of just focusing on the advantages of the product, we discuss the challenges that the project may encounter, such as the need to change the current working process, change the habits and awareness of employees when approaching a new solution, or integrate with other technology systems.
Not promise things that cannot be implemented
We understand that meeting the needs of businesses is necessary, but we do not make promises of uncertain or unfeasible requirements just to please. We engage in open and honest discussions, refraining from making promises that cannot be guaranteed. This approach ensures that customers have realistic expectations regarding Viindoo's software or services.
Instead of promising that "All issues will be resolved immediately", we provide more detailed descriptions of the support process and response time. Viindoo always commits to providing fast and quality support services. However, during project implementation, there may be issues that require careful consideration and time to resolve in order to assess long-term benefits and avoid making the system more complex. This is especially crucial if these issues slow down progress and exceed the project budget.
Making promises that cannot be fulfilled can lead to disappointment, loss of trust in the business, and ultimately, project failure.
Not "over-advertising" about Viindoo Solution
Business customers may be attracted to excessive software advertising and have unrealistic expectations.
Software is challenging to grasp and describe solely through words. Therefore, we focus on showing customers the methods and differences that make Viindoo valuable for businesses, rather than relying on "empty advertising". How do we do that?
- Provide available documents that explain how Viindoo Solution operates and its application to businesses;
- Share successful experiences and specific benefits that other businesses have achieved when using Viindoo Solution. This information is very useful for businesses to envision the future of their business in the future if they apply Viindoo Solution.
- It is best for businesses to access Viindoo Software as early as possible by providing demo instances with data that closely resembles their business model;
- ...
This helps businesses see clearly how we can create special value for them by leveraging the features and customization capabilities of Viindoo software.
There may be many other things that implementers need to complete to establish appropriate customer expectations and improve the customer experience. But ultimately, you only need to excel in these three things, consistently throughout all stages of the project with all participating members, and that's sufficient.