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ERP at Kohinoor Planet Constructions - Dead End or A Road Ahead

Authored by Dr. R. Raman (SCIT, SIU, Pune India) and co-authored by Dr. Dhanya Pramod and Mr. S. Vijayakumar Bharathi (SCIT, SIU, Pune India) View Author(s) Info

Brief Information:
This case study is about certain unmet project challenges of ERP implementation at Kohinoor Planet Constructions Pvt. Ltd (KPC). KPC envisaged an ambitious plan of implementing ERP for certain key business objectives like strengthening the supply chain partnerships, improve customer relations, enhance organizational flexibility, transparency and clarity in decision-making and more importantly reduce project completion time and cost. The majority of contractor firms have awareness about the ERP systems but very few organizations have taken the initiative to implement the same. The challenges faced in time, cost and resources are the major factors of non-interest in ERP implementation.

The relevance of project management in ensuring that the implementation of ERP does not get into a cost and schedule over run is emphasized in this case. The case provides a multi-dimensional perspective of a project, such as planning, organisation, information system acquisition, personnel selection, and management and monitoring of software implementation. The strategic perspective of project management discussed extensively so as to convince the stakeholders that the system deployed is aligned with overall business strategy while enabling success.

The case study explains the different phases of ERP namely project planning, product and vendor selection and implementation and narrates the inherent inefficiencies in project scoping, scheduling and cost management. This case study also brings out the issues relating to configuration vs. customization resulting in a mismatch between the client expectation and project deliverables. Finally, the case explains the abandonment of the ERP product and the company’s recent initiative of re-starting the ERP implementation from scratch.

Learning Objectives:
The issues and challenges relating to project scoping, scheduling and budgeting in an ERP Project for a Construction Company

• The reasons that can lead to a mismatch between client’s expectation and project deliverables

• The application of certain appropriate knowledge areas of project management with a view to enhance the implementation results

Bridges the gap between the theoretical and practical perspective of ERP Implementation Projects

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Teaching Notes