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Estimating the Time and Cost of ERP Implementation Projects Is a 10-Step Process
27 April 2006
 
Pat Phelan  

Many critical time and cost areas associated with implementation activities are often overlooked in estimation efforts. Use Gartner's 10-step process to produce a reliable estimate of the costs and duration of implementation projects for ERP.




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Pages: 17






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Table of Contents


    
 Analysis

1.0
    
 Define the Scope of the Project

1.1
    
 Typical Macroprocesses Identified as Part of an ERP Implementation
1.2
    
 Sample Process Decomposition
2.0
    
 Estimate Staffing to Lead the Project and Support Each Process Area
3.0
    
 Estimate Custom and Interface Development Efforts

3.1
    
 Custom Development
3.2
    
 Interface Development
4.0
    
 Assess Data Conversion Magnitude

4.1
    
 Code Tables
4.2
    
 Master Data Tables
4.3
    
 Transaction Tables
4.4
    
 Balance Tables
5.0
    
 Estimate Project Duration

5.1
    
 Project Planning and Preparation
5.2
    
 Phase 1: Standard Solution Design
5.3
    
 Phase 2: Standard Solution Development
5.4
    
 Phase 3: Pilot Deployment
5.5
    
 Phase 4: Rollout
5.6
    
 Project Management
5.7
    
 Organizational Change Management
6.0
    
 Assess External Connectivity Requirements
7.0
    
 Estimate Supplemental Staffing

7.1
    
 Staffing for Custom Development
7.2
    
 Supplemental Staffing for Data Conversion
7.3
    
 Staffing for User Training
8.0
    
 Create a Time-Phased, Resource-Loaded Project Plan
9.0
    
 Estimate Resource Rates and Apply Them to the Plan
10.0
    
 Estimate Travel, Contingency and Final Project Costs
11.0
    
 Conclusion




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IT Financial Management Strategy
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© 2006 Gartner, Inc. and/or its Affiliates. All Rights Reserved. Reproduction and distribution of this publication in any form without prior written permission is forbidden. The information contained herein has been obtained from sources believed to be reliable. Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner's research may discuss legal issues related to the information technology business, Gartner does not provide legal advice or services and its research should not be construed or used as such. Gartner shall have no liability for errors, omissions or inadequacies in the information contained herein or for interpretations thereof. The opinions expressed herein are subject to change without notice.




Resource Id: 491429