Last Modified: January 14th, 2025
6 min read
Implementing NetSuite ERP is a daunting task. It’s important to keep in mind that there are many things you should do before, during, and after the implementation process. To help make this easier for you, we have put together some helpful tips/best practices on how to successfully implement NetSuite ERP into your business.
Start with the 10 expert tips for selecting an ERP
Focus on the right factors and ask the right questions. You can make an informed decision that sets the stage for a seamless implementation and robust business growth.
Tip #1: Identify the essential features and functionalities your business requires.
To ensure a successful ERP implementation, start by identifying the specific features your business needs. For new systems, review operations and define which processes the ERP will manage. For upgrades, assess changes in business needs since the original system. Set clear objectives and involve external experts if needed. Share your findings with vendors to narrow down options. ERP systems typically include modules for finance, procurement, inventory, HR, and more, so prioritize based on your needs and add additional modules as your business grows.
Tip #2: Secure support from both leadership and your team.
Implementing an ERP system impacts nearly every part of an organization, so executive support is critical. A business requirements review can help showcase the ERP system’s value to senior management and secure their approval. Assigning an executive sponsor, such as the CEO, COO, or CFO, is a smart move.
ERP implementations involve significant organizational change, and the executive sponsor plays a key role in ensuring success. They advocate for the project, highlight its benefits, and help overcome obstacles. By expediting decisions and managing competing priorities, they help keep the implementation on track.
Tip #3: Draft a formal Request for Proposal (RFP).
Creating formal RFPs for ERP projects ensures clear communication of requirements, helps vendors understand the project scope, and provides a fair process for responses. It encourages deeper thinking about your needs and facilitates better vendor selection.
Tip #4: Determine whether your ERP system seamlessly integrates with the other software you rely on.
Choose an ERP solution that integrates easily with your existing tools, like ecommerce platforms and POS systems, to streamline operations and avoid manual data entry. Look for ERP systems with pre-built integrations, standard APIs (REST or SOAP), and support for CSV file imports/exports, ODBC, and JDBC for seamless database connections.
Tip #5: Consider the functional fit of the ERP system within your organization.
Functional fit evaluates how well an ERP system meets a company’s current and future needs. It’s important to assess how the system integrates with existing processes and whether a rigid or flexible solution works best for your operations. Involve stakeholders to ensure the ERP meets diverse needs with minimal customization, and research industry-specific systems used by competitors to guide your choice.
These key questions can help you assess function fit and identify the right solutions:
- What are the current shortcomings of our systems?
- What aspects of our systems are performing well?
- How many manual processes could be automated with a new ERP system, and what types of tasks are they?
- Where do we need better reporting capabilities and greater visibility?
- Which in-house and partner systems will require integration with the new ERP?
Tip #6: Evaluate the credibility and reputation of your prospective ERP vendors.
Choosing the right business partner involves evaluating their experience, reputation, and customer support. Start by assessing their industry expertise and reviewing insights from analysts like Gartner or Forrester. Check customer feedback on platforms like G2 and Capterra, and consider joining industry groups or attending user meetings for unbiased opinions. Review their website for case studies and resources, and do a Google search for reviews or complaints to get a well-rounded perspective.
Tip #7: Take into account the costs along with any related expenses.
ERP software costs vary based on factors like vendor, modules, licensing, and deployment method (cloud or on-premises). On-premises systems require higher upfront costs, while ongoing expenses depend on user numbers and support needs. Tiered pricing allows lower costs for basic users. A detailed needs assessment is essential to avoid paying for unnecessary features. To determine ROI, evaluate the payback period over 5-7 years.
Tip #8: Organize and refine your data.
A key challenge in ERP implementation is deciding what data to migrate, often excluding unnecessary historical data by setting cutoff dates. Clean data migration is essential, requiring analysis to remove duplicates, outdated, or irrelevant information while reformatting remaining data to fit the new system. Many organizations form data migration teams, including representatives from various departments and a compliance expert, to manage the process and ensure adherence to privacy regulations.
Tip #9: Outline the steps for a smooth and effective implementation process.
Implementing ERP software requires careful planning across six phases: discovery, design, configuration, testing, deployment, and support. Success depends on addressing issues early, training employees, and managing timelines effectively. Businesses must choose between on-premises and cloud-based systems, with cloud options often preferred for flexibility and cost. Clear expectations for scope, timeline, and budget are essential.
Tip #10: Evaluate your requirements for continuous support.
Post-implementation ERP support depends on factors like time zones, in-house IT expertise, and system customizations. On-premises systems require businesses to assess downtime costs, while cloud-based ERPs ensure high availability. Vendors offer tiered support packages, from basic resources to 24/7 premium support for critical issues. ERP systems streamline processes, improve collaboration, and help businesses enhance efficiency and growth. Careful planning and stakeholder input are essential when choosing the right ERP solution.
Worry not about implementing NetSuite through these 10 best practices
Best Practice #1. Make sure everyone understands their role and the cadence
Make sure everyone understands their role and the cadence. The success of the implementation is dependent on having a clear understanding of the process and roles. As there are multiple stakeholders in this project, so it’s important to understand who does what before you start any sprints.
Best Practice #2. Adhere to the cadence at all costs
Adhere to the cadence at all costs. If you must cancel a sprint then cancel a sprint. But get right back on your cadence as soon as possible. It is imperative to keep the team focused on completing each sprint’s goal and not get bogged down in other tasks or any distractions that may appear along the way.
Best Practice #3. Everyone must understand that the team is self-managed
Everyone must understand that the team is self-managed. The SCRUM Master is a facilitator of the process and not the decision-maker. The SCRUM Master does not dictate what the team should accomplish, but rather helps them stay on task and reach their goal.
Best Practice #4. The product owner must do backlog grooming
The product owner must do backlog grooming. The product owner must groom the backlog to prioritize which features will be completed next for NetSuite implementation and manage feedback from stakeholders as well as update them on what has been done so far while creating customer proposals that outline how it can be implemented in NetSuite. This also means updating estimates and managing the tasks and subtasks for NetSuite implementation.
Best Practice #5. Estimate your work and run a burndown chart
Estimate your work and run a burndown chart. For the SCRUM role players, estimate your work and run a burndown chart. The team must learn to move more efficiently and produce a more accurate estimate of their tasks.
Best Practice #6. Always prepare progress reports/documentation
Prepare progress reports/documentation. ERP solutions are notoriously over documented and that documentation is never used again. Make progress and utilize whiteboards, stories, and other methods to capture what is being done.
Best Practice #7. Build a sprint schedule and release schedule
Build a sprint schedule and release schedule. It’s not just about 2-4 week iterations. You must still map out a release and sprint schedule. What modules do you want to finish and by when? How long will it take? Be sure to include holidays and other planned downtimes.
Best Practice #8. Everyone must understand and know how to resolve change
It will happen and the team must be prepared to handle it. How will changes impact your current sprints? How are you going to update and release with these edits in mind? Set up a stable infrastructure for NetSuite implementation. Make sure that there is enough time before doing so to make all necessary updates on databases or other infrastructure changes.
Best Practice #9. The demo and sprint retrospective are crucial steps
The demo and sprint retrospective are crucial steps. Don’t skip them. It’s how the team self improves and processes what went well and also recognizes what mistakes were made.
Best Practice #10. Cloud ERP implementations do not need to be a top-down command and control structure
The main takeaway is to understand that Cloud ERP implementations do not need to be a top-down command and control structure. They do not need to be long-drawn-out costly waterfall projects. You can build self-reliant teams that own the work and adhere to product/solution prioritization. At the end of the day, the ERP will more align with the business need, it will be more likely to be completed on time, and Agile will have engaged key stakeholders along the way.
Implementing NetSuite ERP is a challenging and complex process. It requires careful planning, strong communication skills, and leadership to get the project off on the right foot. If you’re considering implementing NetSuite for your company or want help in getting it started with us as an experienced partner, contact our team of experts at Excelym today! We can provide you everything from consulting & advisory, implementation, customization & integration, to administration and support, and other NetSuite business process outsourcing services.
Contact us now and get a free-no obligation initial consultation to kickstart your NetSuite license and adoption!
