Navigating the SAP Value Equation: Short-Term Wins, Long-Term Gains
About the Interview
Over the past 30 to 40 years, the value of ERP implementation has been repeatedly questioned. Because of this, weighing the perceived value of implementing an SAP ERP system against its cost can result in this decision being a daunting task. In this interview, we speak with Eric Ibarra, D4M VP for Delivery of Services, to examine the differences between cost and value in SAP implementations and talk about the advantages that come after the initial implementation phase.
In his explanation, Eric shows how the “realization” that occurs immediately following standardization is what gives ERP implementations, SAP in particular, their inherent value. In addition to improving customer satisfaction and response times, a standardized solution has enormous operational benefits. After that, he describes the elements that go into planning and the relationship between value and cost—not only IT support cost, but also operational support cost. Eric concludes by stating that when there is standardization, it’s easier to understand and maintain the overall value and cost because it is less resource intensive.
In summary, comprehension of the complex relationship between cost and value in SAP systems is critical to successful system implementation. With plenty of expertise and hundreds of successful projects under our belt, we are certain that the D4M approach and depth of knowledge provide a route to assist manufacturing companies in implementing SAP.
