Never its ERP without its POC! It is certain, the POC ERP reassures as to the choice of the management tool that we will use for the next 5, 10 or even 15 years. Please note that this complex methodology requires reflection.
It is not a software demo (even if the border is thin)
but a full-scale test to prove the result. Even if we believe what an
integrator tells us, we also want to see it!
Here are the different points covered in this article:
- What is a POC ERP?
- Is it mandatory to do a POC?
- Why do a POC ERP?
- How to make a POC?
- Is the POC paying?
- What is a POC ERP?
The POC ERP for "proof of concept" (or test
game in French) is the demonstration of the feasibility of the software product
on the needs and business data of a company.
Behind the definition of POC ERP, the idea is to test
a selection of ERP solutions in a calibrated manner with the aim of proving
that the system applies the right management rules in a particular environment,
yours.
Unlike a software demo, the POC allows you to deepen
the search for the right tool. He asks the integrator to put himself in project
mode and to configure part of what the future software will be.
Is it mandatory to do a POC?
Before going any further, it is essential to dwell on
this question.
As a decision maker you can choose different
approaches to measure the suitability of the software for your needs and your
business:
- An overview demo
- A “use case” or demonstration case via an imposed script
- Additional workshops on specific topics with your experts in the field
- And … to deepen a proof of concept on sensitive subjects
Clearly, the PPT presentation is cool, the software
demo is good, but the proof of concept can allow you to investigate further.
This is the best way to compare the software. Clearly, we want to see to
believe what we have been told beforehand!
Nevertheless, in 90% of cases, companies evaluate and
then choose their final ERP using a demo script that can be supplemented by
workshops. It is a type of demo appreciated by a General Management, an
Operations Director, a CIO or even by users because it takes you less time to
build.
If I could give you some advice, I would invite you to
clearly explain your management rules in your specifications, which can become
a contractual document with the integrator's response commitments for your
project.
Why do a POC ERP?
You have already gone through the product demo phase.
Relations with service providers are well advanced. Have you even selected a
solution and are wondering if this software is the best? The most suitable on
key aspects? All the interest of the POC is there.
Via a computer POC of this type, you will be able to
test the viability of said software on one of your major issues and even
better, on a business issue!
The software POC will therefore allow you to:
- Have a demonstration of the product carried out in real life, in the context of the company
- Users to completely project themselves
- Save time on follow-up and change management
- Identify a first level of risk to be eliminated
- Measure the capabilities of an integrator and the proposed software in relation to a company's critical processes
Beyond its multiple advantages, the POC ERP is a
strong element of reassurance vis-à-vis a decision. It is also a way for the
integrator to limit his response and his commitments by explaining in detail
the solution he is proposing.
How to make a POC?
In the purchase cycle of ERP, SaaS or On-premise
software, it is often the customer who initiates the POC.
Before asking an integrator to carry out a POC, you
should ask yourself a few questions: Do I really need a POC? What do I want to
test first? How long will this take internally? Should I solicit all providers
or only the one that is already pre-selected? Etc.
Who is the POC for?
All companies have the possibility of making a POC but
it is in no way mandatory in the selection of its ERP. And besides, the POC is
particularly requested by companies that have an atypical management. This is
the case for companies with very strong business contexts and challenges, such
as the pharmaceutical industry or even service activities.
When to do your POC ERP?
This is a recurring question among customers. And when
you launch the process of an ERP project, the answer depends heavily on the
situation and the objectives of each person, whether it is a first experience,
whether you are considering changing ERP or whether the we want to expand the
scope of our current solution (with ISVs for example).
In In any case, we advise you to carefully follow the
steps for setting up a software solution. The POC is part of the way.
What are we going to test?
A proof of concept is therefore a miniaturized project
but a project in its own right with its own characteristics and even a steering
committee and a dedicated team.
The POC requires commitment of resources and labor. Be
pragmatic. Better to focus on very critical processes, on complicated current
and future issues according to your strategy for more added value:
- The case study of a specific process
- A specific management rule
- An additional setting
- etc
Examples: checking the cost price of a manufacturing
order in relation to the consumption of time and materials, checking the
variation in stocks according to the execution of movements in and out, etc.
What elements are important to achieve a POC?
The requesting company actively participates in the
successful completion of the POC ERP. She must :
- Describe its flows with regard to its needs and share the objectives to be achieved
- Clearly identify each phase and step of the process
- Present in detail the sequence that she wishes to obtain
- Build a relevant team (potentially with end users) who will be able to estimate the full value and results of the experimentation
Is the POC paying?
On this issue, total transparency takes precedence.
You should know that a POC is to be included in the ERP cost and budget without
forgetting the human investment. The software integrator will also mobilize to
carry out the case study and provide. You're kind of going to pay to see.
To assess its relevance, we obviously advise not to
neglect this possibility but above all to discuss it with the selected
integrators or publishers. Their speeches and advice on this opportunity in
your deployment project will feed your overall reflection.
TO SUM UP IN 3 QUESTIONS
What is the difference between a demo and a POC ERP?
The POC amounts to saying “I am in project mode”. It
is necessary to analyze a flow from end to end before going into the concrete
in the ERP. For its part, the demo is more general and makes it possible to
show the functionalities of the tool with the data provided by the company.
How much does a POC ERP cost?
The amount of a POC will be part of the negotiations
between the integrator and you. In any case, the proof of concept is an
investment. What will be done will be reused for the final solution. Don't be
surprised if an integrator asks you for a financial contribution because of the
time spent. You're not going to do it with 10 partners for 10 different
software. Shortlist them and focus it on your most critical processes.
What is the risk of choosing an ERP without going
through the POC?
Not taking the opportunity to see the product in
action. Missing potential functional limits of a solution in relation to a
target process. Forget some reasoning or questions. Not being able to judge the
skills of a future partner. But again, the trial game is not mandatory. It all
depends on your business, your vision and your goals.