ENTERPRISE RESOURCE PLANNING

ERP BEST PRACTICES AND CASE

STUDIES ON
RASKAS FOODS AND CISCO SYSTEMS!

MRINAL CHANDRA
MBA SECTION A
1

MBA 2019-2021
 “PROJECTS DO FAIL. THEY FAIL
FOR MANY DIFFERENT REASONS.”

SOURCE: THOMPSON, OLIN, “WHO TO BLAME FOR PROJECT FAILURE?”, WWW.TECHNOLOGYEVALUATION.COM, 2

SEPT 20, 2002

 ERP BEST PRACTICES

LET’S ANALYZE WHAT CAN INCREASE OUR CHANCES OF A SUCCESSFUL ERP

IMPLEMENTATION

3
CHARACTERISTICS OF IT
BEST PRACTICES
• KNOWLEDGE OF BUSINESS PROCESS
AND ERP IS ESSENTIAL TO BECOMING AN
INFORMED BUYER
• EFFECTIVELY COMMUNICATE COMPANY
GOALS TO THE SOFTWARE PROVIDERS
• MULTIPLE BIDS/PROPOSALS
• EFFECTIVELY EVALUATE AND COMPARE
BIDS 4

• ACTIVE LEADERSHIP ROLE IN PROJECT

 KNOWLEDGE IS
POWER
• THOROUGH KNOWLEDGE AND
UNDERSTANDING OF THE
ENTIRE BUSINESS PROCESS
BEING EFFECTED
• UNDERSTAND WHICH (OR ALL)
BUSINESS DIVISIONS ARE TO BE
INCORPORATED INTO YOUR NEW
ERP SYSTEM
• DISTINGUISH BETWEEN
CUSTOMIZED VS. STANDARD ERP
SOFTWARE

Source: Davenport, Thomas, “Putting the Enterprise into the Enterprise System”, 5

Harvard Business Review, July-Aug 1998.

MULTIPLE BIDS
• UNLIKE MOST IT
FUNCTIONS AN IN-HOUSE
BID IS NOT NORMALLY
AN OPTION
• PROVIDE EACH
POTENTIAL PROVIDER
WITH IDENTICAL
INFORMATION

6
COMPARING BIDS
• MAKE SURE THAT YOU ARE
COMPARING APPLES TO
APPLES

• DECIDE WHICH SYSTEM WILL

BEST FIT YOUR COMPANY’S
NEEDS

• HIRE A THIRD PARTY

CONSULTANT
Source: P.J. Jakovljevic, “The ‘Joy’ Of Enterprise Systems Implementations”,
www.TechnologyEvaluation.com, July 8, 2002 7
 Customization vs. Standard
Application
• Decision depends on multiple factors
– Company Goals
• Happy with Current Productivity?
• Desiring Change?
– Employee Willingness to Change
– “Implementing/Upgrading a enterprise system offers a
good opportunity for enterprises to review their key
business processes and resources.”

Source: P.J. Jakovljevic, “The ‘Joy’ Of Enterprise Systems Implementations”, 8

www.TechnologyEvaluation.com, July 8, 2002

STANDARD APPLICATION

• CHEAPER
• REQUIRES COMPANY OPERATIONAL PROCESSES TO CHANGE
• CONSTANTLY REQUIRES EMPLOYEES TO CHANGE
• “VENDORS TRY TO STRUCTURE THE SYSTEMS TO REFLECT BEST PRACTICES”

Source: Davenport, Thomas, “Putting the Enterprise into the Enterprise System”, Harvard Business 9

Review, July-Aug 1998.

CUSTOMIZATION
• ALREADY AN INDUSTRY LEADER – NO
MAJOR CHANGES NEEDED
• ADAPT THE SOFTWARE TO BUSINESS
FUNCTIONS
• UNIQUE BUSINESS OPERATIONS

• LESS CHANGE FOR EMPLOYEES

• MORE EXPENSIVE AND COMPLEX
IMPLEMENTATION
Source: Davenport, Thomas, “Putting the Enterprise into the Enterprise System”, Harvard Business 10

Review, July-Aug 1998.

CONTRACT NEGOTIATIONS
• DETAILED
• TIME FRAME
• PRICE

• “USERS ARE
STRONGLY ADVISED
TO REQUIRE FIXED
TIME AND COST
CONTRACT
COMMITMENTS”
Source: P.J. Jakovljevic, “The ‘Joy’ Of Enterprise Systems Implementations”,
11
www.TechnologyEvaluation.com, July 8, 2002
IMPLEMENTATION:
BIG BANG VS. PHASED APPROACH

• PHASED APPROACH-NEW
• BIG BANG HAS PARTS ARE INTRODUCED
ATTRIBUTED TO A INCREMENTALLY.
NUMBER OF • START WITH MATURE
FAILURES PARTS THAT NEED THE
LEAST CUSTOMIZATION
• “ONCE AND ITS
• BUILDS MOMENTUM,
DONE” THEORY - SUPPORT AND
FALSE ENTHUSIASM
12

Source: P.J. Jakovljevic, “The ‘Joy’ Of Enterprise Systems Implementations”,

www.TechnologyEvaluation.com, July 8, 2002
ALL THE PREVIOUS FACTORS DISCUSSED CAN
EFFECT THE IMPLEMENTATION OF AN ERP
SYSTEM, HOWEVER ONE FACTOR HAS THE
ABILITY TO OUTWEIGH ALL OTHER
CIRCUMSTANCES….

13
EMPLOYEES

• TOP MANAGEMENT

• PROJECT LEADER

• PROJECT CHAMPION

14
TOP MANAGEMENT
• “THE PERSON AT THE TOP OF
THE ORGANIZATION CAN
STOP OR FIX MOST OF THESE
PROBLEMS BEFORE THEY
DERAIL THE PROJECT.”
• ENTHUSIASM “TRICKLES
DOWN”
• TOP MANAGEMENT, “IF THEY
KNOW I CARE, THEY CARE.”

Source: Thompson, Olin, “Who to Blame for Project Failure?”, 15

www.Technologyevaluation.com, Sept 20, 2002

PROJECT MANAGER
• “THE BEST PERSON FOR
THE JOB . . CANNOT BE
SPARED FROM THEIR
CURRENT ROLE.”
• RELIEVED OF ALL
PREVIOUS JOB DUTIES.
• UNDERSTAND THE
WHOLE BUSINESS
PROCESS.
Source: Thompson, Olin, “Who to Blame for Project Failure?”, 16

www.Technologyevaluation.com Sept 20, 2002

PROJECT CHAMPION
• TYPICALLY AN
INFLUENTIAL EMPLOYEE-
NOT A MEMBER OF THE
MANAGEMENT TEAM.
• CREATED IN THE PHASED
IN APPROACH AFTER
SEEING POSITIVE
RESULTS.

17
STRATEGIES FOR ERP
IMPLEMENTATION
• BACKGROUND RESEARCH
• USE CONSULTANT TO:
• REVIEW BUSINESS PROCESS
• NARROW DOWN VENDORS
• EVALUATE PROPOSALS
• STANDARD APPLICATION
• STRICT CONTRACT
• PHASED IMPLEMENTATION
• EMPLOYEE SUPPORT – STARTING AT THE TOP 18
CASE STUDY #1
Failed ERP Implementation at
Raskas Foods, Inc.

19
RASKAS FOODS, INC.
• ONE OF THE 150 LARGEST PRIVATELY HELD
COMPANIES IN ST. LOUIS
• PURCHASED BY SCHREIBER FOODS IN
OCTOBER, 2002

[St. Louis Business Journal, April 2002] 20

RASKAS FOODS BACKGROUND

• FOUNDED IN 1888
• NATIONS FIRST PRIVATE LABEL
MANUFACTURER OF CREAM
CHEESE FOR RETAIL GROCERY
DISTRIBUTION
• SALES OF OVER $280 MILLION IN
2002
• 3 MANUFACTURING PLANTS

21
RASKAS FOODS, INC.

• DR. HESCHEL RASKAS, PRESIDENT AND CEO

• ED THIBEAULT, SR. VICE PRESIDENT – MARKETING AND
SALES
• RICH COKER, SR. VICE-PRESIDENT – OPERATIONS
• RICH SCHEUERMAN, SR. VICE-PRESIDENT – FINANCE

22
RASKAS FOODS, INC.
Four Factions to Satisfy:

• OWNERS
• MARKETING
• OPERATIONS
• FINANCE

23
OWNERS
• SEVEN OWNERS, ALL RELATED
• THREE WERE EMPLOYED BY RASKAS
• TWO HAD BEEN LOOKING TO SELL
RASKAS FOR OVER TEN YEARS
• WANTED TO POSITION RASKAS FOODS FOR
SALE

24
MARKETING
• FINANCE HELPED MARKETING GET GROSS-
TO-NET AND COGNOS BI SOFTWARE
• ERP WOULDN’T DO ANYTHING FOR THEM
• SINCE FINANCE HELPED MARKETING GET
THEIR PROGRAMS, MARKETING WAS
WILLING TO BACK FINANCE ON THE ERP
PROJECT – PROVIDED THAT MARKETING
WOULDN’T HAVE TO SUPPLY ANY BODIES
TO THE IMPLEMENTATION PROCESS
25
OPERATIONS
• OPERATIONS HAS WANTED A NEW PLANT SINCE 1994
• OPERATIONS LIKED THEIR “HOMEGROWN” EXCEL
BASED SYSTEM
• OPERATIONS TRADED SUPPORT FOR THE ERP
SYSTEM IN EXCHANGE FOR FUTURE SUPPORT FROM
FINANCE FOR A NEW PLANT – AS SOON AS CERTAIN
PRODUCTION LEVELS WERE MET.

26
FINANCE
• FINANCE FELT ABOUT THE LEGACY ACCOUNTING
SYSTEM THAT “THE WHEELS WERE ABOUT TO
COME OFF THE CART”
• WANTED AN ENTIRE PACKAGE…”IT’S TIME TO
GET INTO THE BIG LEAGUES”
• JUST CAME OFF SUCCESSFUL IMPLEMENTATION
OF GROSS-TO-NET AND COGNOS FOR MARKETING

27
THE ERP PACKAGE
• APPROVED IN EARLY 1999
• ADAGE ERP PACKAGE
• SCT CONSULTANTS
• BUDGETED $2.2 MILLION
• ANTICIPATED 6 MONTHS TO 1 YEAR TO COMPLETE
• WAITED UNTIL AFTER THE Y2K PROBLEM TO IMPLEMENT
• COMPLETED THE BLUEPRINT OF BUSINESS PROCESSES
• TRAINING FOR IS

28
PROJECT PERSONNEL
• MIKE DOYLE (FINANCE), PROJECT MANAGER
• CLIFF THOMASON (FINANCE), PROJECT
FACILITATOR
• JOHN LAZARE (IT), PROJECT LEAD
• WAYNE DIXON, DIRECTOR - IT, WAS LEFT OUT

29
PROBLEMS
• IMPLEMENTATION STARTED IN APRIL OF
2000
• EMPLOYEES FOUND THAT THE ERP
SYSTEM DIDN’T DO THINGS THE SAME
WAY THEY DID THINGS
• CHANGES APPROVED TO KEEP
OPERATIONS INVOLVED
• STOPPED FOR FALL BUSY SEASON 30

SEPTEMBER 2000
STARTUP-JANUARY, 2001
• NO MOMENTUM RESTARTING
• HAD TO UPGRADE THE SOFTWARE TO THE
LATEST RELEASE
• BUDGET INCREASES TO $3.3 MILLION

31
LARGE SALES INCREASE
• THE NUMBER TWO PRIVATE LABEL CREAM
CHEESE MANUFACTURER DEVELOPS
QUALITY AND DELIVERY PROBLEMS
• SPRING 2001, OPERATIONS GETS APPROVAL
FOR A NEW PLANT
• OPERATIONS PULLS KEY PEOPLE FROM
ERP FOR NEW PLANT STARTUP

32
MORE
•
PROBLEMS….
WORK ON THE ERP IMPLEMENTATION
STOPPED FOR FALL BUSY SEASON AGAIN
• BY FEBRUARY, “SOMETHING WAS
WRONG.”
• MARCH 2002, LACK OF UPPER LEVEL
MANAGEMENT INTEREST IN ERP
• APRIL 2002, A SUCCESSFUL ERP
IMPLEMENTATION WAS NO LONGER
NECESSARY 33
LESSONS LEARNED
• THE BUDGET WILL INCREASE WHEN CHANGES ARE
MADE
• SENIOR LEVEL PERSONNEL HAVE TO STAY INVOLVED
• EVERYONE INVOLVED IN THE PROJECT HAS TO BE
100% DEDICATED TO THE PROJECT
• THE PEOPLE INVOLVED IN THE ERP PROJECT HAVE TO
BE “KEY” EMPLOYEES
• ERP HAS TO BE THE NUMBER ONE PRIORITY

34
CASE STUDY #2
Successful ERP Implementation
at Cisco Systems, Inc.

35
COMPANY BACKGROUND

Corporate Overview
• WORLDWIDE LEADER IN NETWORKING FOR THE
INTERNET
• PROVIDE INTERNET PROTOCOL-BASED (IP)
NETWORKING SUITE OF SOLUTIONS
• CISCO SOLUTIONS ARE IN MOST CORPORATE,
EDUCATION, AND GOVERNMENT NETWORKS
WORLDWIDE

36

http://newsroom.cisco.com/dlls/company_overview.html (viewed March 14, 2003)

COMPANY BACKGROUND-
CONT.
• FOUNDED IN 1984 BY A GROUP OF COMPUTER
SCIENTISTS FROM STANFORD UNIVERSITY
• PUBLICLY TRADED STARTING IN 1990 (NASDAQ:
CSCO)
• $13.71 PER SHARE (AS OF APRIL 4, 2003 4:00 PM)
• 34,987 EMPLOYEES (AS OF FEBRUARY 2003)

37

http://newsroom.cisco.com/dlls/corpfact.html (viewed March 14, 2003)

Cisco Systems, Inc. Annual Report 2002, page 1
 COMPANY BACKGROUND-CONT.
• GLOBAL COMPANY (HQ IN SAN JOSE, CA)

• 2002 Net Sales of $18.9 Billion

http://newsroom.cisco.com/dlls/corpfact.html (viewed March 14, 2003) 38

Cisco Systems, Inc. Annual Report 2002, page 1

JOHN CHAMBERS-PRESIDENT
& CEO OF CISCO SYSTEMS, INC.

39

Cisco Systems, Inc. Annual Report 2002, page 3

 CORE PRODUCT OFFERING
• CISCO PROVIDES THE BROADEST LINE OF SOLUTIONS
FOR TRANSPORTING DATA, VOICE, AND VIDEO WITHIN
BUILDINGS, ACROSS CAMPUSES, OR AROUND THE
WORLD
• PRIMARY PRODUCTS ARE “ROUTERS” AND “SWITCHES”
• MAIN COMPETITORS ARE 3COM AND DLINK
• MARKET SHARE LEADER WITH OVER 75% OF THE
MARKET

http://newsroom.cisco.com//dlls/corpfact.html (viewed March 14, 2003) 40

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
 COMPANY STRUCTURE
• CENTRALIZED FUNCTIONAL ORGANIZATION
• MANUFACTURING, CUSTOMER SUPPORT, FINANCE,
HUMAN RESOURCES, IT, AND SALES ARE
CENTRALIZED
• PRODUCT MARKETING AND R&D ARE
DECENTRALIZED INTO THE FOLLOWING “LINES OF
BUSINESS”:
• ENTERPRISE (LARGE CORPORATIONS)
• SMALL / MEDIUM BUSINESS
• SERVICE PROVIDER

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School Online Case 41

Study #9-699-022 (Rev: May 6, 2002)

TIME FOR A CHANGE
• JANUARY 1993, CISCO WAS $500 MILLION COMPANY
RUNNING A UNIX-BASED LEGACY SOFTWARE PACKAGE
• CIO PETE SOLVIK SAW THE NEED FOR CHANGE
• INITIALLY, CISCO AVOIDED AN ERP SOLUTION

42
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School Online Case
Study #9-699-022 (Rev: May 6, 2002)
PETE SOLVIK-CIO
“We wanted to grow to a $5 billion-plus company.
We were not able to make changes to the application
to meet our business needs anymore. The
application had become too customized. The
software vendor did offer an upgrade but we knew
even after the upgrades it would still be a package
for $300 million companies--and we’re a $1 billion
dollar company.”
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School Online 43

Case Study #9-699-022 (Rev: May 6, 2002)

RANDY POND-DIR. OF MANUF.
“We knew we were in big trouble if we did not do
something. Anything we did would just run over the
legacy systems we had in place. It turned into an effort
to constantly band-aid our existing systems. None of
us were individually going to go out and buy a
package….the disruption to the business for me to go to
the board and say ‘Okay, manufacturing wants to spend
$5 or $6 million dollars to buy a package and by the
way it will take a year or more to get in….’ was too
much to justify.”
44
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
THE FINAL STRAW

• SYSTEM FAILURE IN JANUARY, 1994

• COMPANY SHUT DOWN FOR 2 DAYS
• FEBRUARY, 1994 ASSEMBLED TEAM IN CHARGE OF
FINDING A SUITABLE REPLACEMENT APPLICATION
• DECIDED ON THE BIG BANG IMPLEMENTATION STRATEGY

45
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
CARL REDFIELD-SVP OF MANUF.
“I knew we wanted to do this quickly. We were not
going to do a phased implementation, we would do it
all at once. We were not going to allow a lot of
customization either. Also, we wanted to create a
schedule that was doable and make it a priority in the
company as opposed to a second tier kind of effort.”

46
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
“A TEAM EFFORT”
•Team consisted of internal resources (Cisco
employees), consultant (KPMG), and ERP software
vendor (Oracle)

Solvik said, “Our orientation in pulling people out of their

jobs to work on the project was if it was easy then we
were picking the wrong people. We pulled people out that
the business absolutely did not want to give up.”

47
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School Online
Case Study #9-699-022 (Rev: May 6, 2002)
SOFTWARE VENDOR
SELECTION
• 20 PERSON TEAM DID EXTENSIVE RESEARCH ON ERP PROVIDERS
• 5 VENDORS IN 2 DAYS
• 10 DAYS TO DRAFT RFP FOR VENDORS
• VISITED VENDOR REFERENCE CLIENTS
• SCHEDULED 3 DAY ONSITE SOFTWARE DEMOS
• ENTIRE PROCESS TOOK ONLY 75 DAYS!
48
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
 WHY ORACLE?
•Win-win situation for both Cisco and Oracle

Pond said, “Oracle wanted this win badly. We ended up

getting a super deal. There are, however, a lot of strings
attached. We do references, allow site visits and in
general talk to many companies that are involved in
making this decision.”

49

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School Online
Case Study #9-699-022 (Rev: May 6, 2002)
 PROJECT APPROVAL
• TARGET TIMELINE WAS 9 MONTHS
• PROJECTED COST WAS $15 MILLION
• LARGEST CAPITAL PROJECT EVER APPROVED BY
CISCO
Pond said, “Before we even get the first slide up I hear
the chairman speaking from the back of the room. He
says ‘How much?’ I said I was getting to it and he
responded: ‘I hate surprises. Just put up the slide right
now.’ After I put it up he said ‘Oh my God, there better
be a lot of good slides….”
50
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
 IMPLEMENTATION
TEAM
• EXPANDED FROM 20 TO 100 MEMBERS (SEE SLIDE
#55)
• STEERING COMMITTEE AT TOP TO ENSURE
PROJECT VISIBILITY, SPONSORSHIP, AND
MOTIVATION
• SPLIT INTO 5 KEY AREAS (ORDER ENTRY,
MANUFACTURING, FINANCE, SALES/REPORTING,
AND TECHNOLOGY)
• ALL AREAS CONSISTED OF INTERNAL CISCO
EMPLOYEES, KPMG CONSULTANTS, AND
ORACLE CONSULTANTS 51

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business

School Online Case Study #9-699-022 (Rev: May 6, 2002)
CISCO ERP IMPLEMENTATION TEAM STRUCTURE
Executive Steering
Committee

Project Management
Office

Order Entry Manufacturing Finance Sales/Reporting Technology

Business Lead Business Lead Business Lead IT Lead IT Lead

IT Lead IT Lead IT Lead Business IT Consultants

Consultants
Business Business Business
Consultants Consultants Consultants IT Consultants

IT Consultants IT Consultants IT Consultants

Users Users Users

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business

52
School Online Case Study #9-699-022 (Rev: May 6, 2002)
ERP ROLLOUT
• BROKE INTO PHASES CALLED CRP’S (CONFERENCE
ROOM PILOTS)
• CRP0 = TRAINING AND TECHNICAL CONFIGURATION
• CRP1 = SYSTEM WORKS FOR EACH SPECIFIC AREA
• CRP2 = MODIFICATIONS (RED, YELLOW, OR GREEN),
CONTINUED TRAINING, AND INITIAL TESTING (SEE SLIDE
#57)
• CRP3 = FULL SYSTEM TESTING “PREPARATION TO GO LIVE”

53

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
LIST OF “RED” MODIFICATIONS

• PACKOUT-CUSTOM BARCODING, QUEUES, INVENTORY, AND

SHIPPING MODIFICATIONS
• CANADA-SEPARATE SET OF BOOKS FOR SEPARATE CURRENCY
• PRODUCT CONFIGURATOR-ENABLES CISCO TO ENTER “RULES”
FOR PRODUCT ORDERING
• OE FORM-DISCOUNTS, COST DATA, MULTINATIONAL ORDERS, ETC.
• NET CHANGE BOOKINGS-DAILY LOG OF ALL ORDER ACTIVITY
54

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business

School Online Case Study #9-699-022 (Rev: May 6, 2002)
 INITIAL CHALLENGES
• HARDWARE FAILURES
• SYSTEM INSTABILITY
• SOFTWARE UNABLE TO HANDLE INITIAL
VOLUME
Solvik said, “I wouldn’t say the company hit a wall, but I
would say we had major day to day challenges that
needed to be solved quickly to avoid significant impact
to the company.”

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard

Business School Online Case Study #9-699-022 (Rev: May 6, 2002)
55
 VENDOR COMMITMENT
• TEAM EFFORT-OVERCAME PROBLEMS WITHIN 3 MONTHS

Solvik said, “So for about 60 days we were in complete

SWAT-team mode, get this thing turned around. For
example, the president of the hardware vendor was our
executive sponsor. This vendor probably had 30 people on
site at one point. They were all over it. They lost money on
this big time. It was great for them to get such a great
reference, but it was a tough experience for them.
Remember we had bought a capability, so everything they
did to add capacity was out of their own pocket.”
56
Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
ERP RESULTS
• PROJECT COMPLETED ON-TIME (SEE SLIDE #61)
• PROJECT COMPLETED ON BUDGET
• CISCO ERP TEAM BONUS TOTALING $200,000
• OVERALL SUCCESSFUL SYSTEMS REPLACEMENT
• MINIMAL COMPANY INTERFERENCE

57

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business School
Online Case Study #9-699-022 (Rev: May 6, 2002)
ERP IMPLEMENTATION DATES
• PROJECT KICKOFF • JUNE 2, 1994
• PROTOTYPE SETUP COMPLETE • JULY 22, 1994
• IMPLEMENTATION TEAM TRAINING • JULY 31, 1994
• PROCESS, KEY DATA, MODIFICATION • AUGUST 31, 1994
DESIGNS COMPLETE
• SEPTEMBER 30, 1994
• FUNCTIONAL PROCESS APPROVAL
• OCTOBER 15, 1994
• HARDWARE BENCHMARK AND
CAPACITY PLAN VALIDATED
• CRITICAL INTERFACES, • DECEMBER 1, 1994
MODIFICATIONS AND REPORTS
COMPLETE
• PROCEDURES AND END-USER • DECEMBER 16, 1994
DOCUMENTATION COMPLETE • DECEMBER 22, 1994
• CRP PILOT COMPLETE-GO/NO GO • JANUARY 3, 1995
• END-USER TRAINING BEGINS
• JANUARY 27, 1995
• DATA CONVERSION COMPLETE
• JANUARY 30, 1995
• GO LIVE!
58

Austin, Robert, “Cisco Systems, Inc.: Implementing ERP”, Harvard Business

School Online Case Study #9-699-022 (Rev: May 6, 2002)
LESSONS LEARNED
Why was Cisco’s ERP Implementation a
Success?
• RECOGNIZED THE PROBLEM & DEVELOPED A
REALISTIC PLAN OF ATTACK
• PROJECT WAS A HIGH PRIORITY IN THE COMPANY
• UPPER MANAGEMENT SUPPORTED THE PROJECT
• ALL AREAS OF THE COMPANY WERE INVOLVED
• DILIGENT VENDOR/CONSULTANT SELECTION
• LIMITED CUSTOMIZATION
• MEET TARGET IMPLEMENTATION DATES
59

• STAYED WITHIN THE INITIAL PROJECT BUDGET