What makes an ERP system global? Whether your company has ten sites in one country or sites spread across the globe, when we talk about a global ERP system, we are talking about a system the applies the same processes to all those sites. Typically a global ERP system will have common business processes, standardized business processes, and standardized Master Data.

When it comes to the number of instances, typically fewer are easier to maintain. But some of our customers have many reasons to have different instances, like historical or legislative reasons.

When we look at the processes within an organization, we are going to find three groups we need to dive into when building our Core ERP model.

• Global Elements: A global element is a process followed in all the sites of the company. Some of these processes go across the chart of accounts, common processes, master data, or common architecture. In some cases, these procedures can expand to purchase, or common interface, procurement aspects, etc.
• Group Element: These are processes that are applied to several sites. These elements can apply to a manufacturing site or a region-for example; applicable to EU member states only.
• Localizations: Localizations fall into a local group category and can be split into two elements.
  • Legal and regulatory requirements that apply to a particular country. These requirements can contain local integration and reports, local data, translations, or contractual requirements to comply with local regulations.
  • Local processes that in some cases represent a challenge if the desire is to work with the team and the local site to move them to a group of elements or a global element.

How to Build a Global ERP System?

1. ESTABLISH A CORE MODEL

The first step to establishing the Core Model is to define what is going to be part of it. Confirming common processes, Local Processes (deviations) and Regulatory Localizations is key during this process. Design, build, and testing these common processes will be the beginning to establish the Core Model.

2. ESTABLISH A ROLLOUT KIT

To establish the rollout kit, you need to focus on all the common elements that can be reutilized as you roll out to other sites, for example; Data migration, planning, roles, and responsibilities. Forms, reports, and integration may be included in the kit.

Training methodologies and training plans are also key elements you may include in the Core Model to be rolled out across all your company sites. We have implemented several sites with an automatic data conversion routine build for customers with a large site and high data volume, but for smaller sites with less data volume, it may be a valuable exercise to do this manually and train the user in the process.

Your Rollout Kit Must Have:

• Efficient and repeatable common Rollout activities
• Common Processes Documentation
  
• Clear and standardized rollout governance
• Tools for the rollout – Implementation Methodology, Data Migration Tools, Testing Scripts, Training Documentation, etc.

3. IMPLEMENT A PILOT SITE (1ST ROLLOUT)

So far you have decided which pieces or elements are essential for your trip, now it’s time to decide where to go.

The next step in the process is to decide your ‘pilot’ site. When choosing your pilot site you may want to go to the most complex site to implement your system, that way you prove that everything will work, and make sure that as many aspects of your kit and the process will work.

This decision can be also affected by a particular deadline, or a site that is coming off maintenance from a legacy system and they have to go first.

4. ROLLOUT TO OTHER SITES

The first thing we are going to look at when rolling out to more sites is lessons learned from the pilot site. Perhaps there’s an opportunity to improve rollout kit with lessons learned. This review is essential to improve your rollout strategy.
 
Don’t miss our next blog - Travel Essentials and Rollout Strategies for JD Edwards global implementation, where we explain how to rollout your core model and the strategies you should consider while you rollout your JD Edwards ERP internationally.

Our team of Senior JD Edwards Consulting can help you no matter where you are on your ERP journey. Whether you are implementing JD Edwards EnterpriseOne for the first time globally, or whether you are looking to leverage your historic investment in your JDE ERP System, we help you along the way.

Contact our consultancy team for advice and guidance.