Page 142 - DCAP302_ENTERPRISE_RESOURCE_PLANNING

Enterprise Resource Planning

notes Would that deter the University from transitioning smoothly into the new millennium?
Should the implementation of the HR/Payroll module be delayed? These options would
have to be carefully considered and a recommendation made at Buckler’s meeting with the
FSTF in a few hour’s time.
table 1: possible solutions to critical gaps

option Description gaps affected risk costs
SAP provides SAP provides This option Moderate risk, as Expected low
on-site on-site would resolve all solutions will be cost to the
developer(s) developers to gaps. incorporated in University as
edit the R/3 future R/3 system SAP would be
system’s core releases; however, asked to absorb
program code developers most of the costs.
and incorporate must begin
the changes immediately.
in future R/3
system releases.
IBM providers IBM creates This option High risk, as High cost to the
developers temporary would resolve solutions are not University for
to create workaround most gaps guaranteed to the consulting
workarounds solutions that as attempts be in future R/3 resources needed
are “bolted on” to develop system releases. to complete the
to the system workarounds workarounds.
and are not part for some gaps
of the core SAP would not be
R/3 system feasible.
code.
Extend project Push project SAP validates High risk, as new Moderate cost for
timeline until timeline back that all critical version must be some additional
July 1, 1999, to three months, gaps are resolved delivered on time resources,
implement the resulting in the next R/3 and resolution of potential for high
next version of in some system release. critical gaps must cost if gaps are
SAP R/3 implementation be supported. not resolved in
activities being new version.
conducted
simultaneously
to meet the July
1 “Go live” date.
University “Go live” This option Low risk, as Moderate cost for
delays payroll with non-HR addresses only current payroll some additional
until the modules as those gaps system is resources and to
next phase of outlined in the related to the functional. address change
implementing project scope human resources management
functionality and interface the (HR) application issues; potential
R/3 system with module. for high cost if
the University’s payroll system
current human has to be
resource updated for Y2K
management compliance.
system.

Questions
1. Which of the four options or combination of options would you recommend to
project management and the steering committee? What are the risks involved in your
recommendation? How would you manage the risks?
2. Discuss the advantages and disadvantages of a purchased system that forces different
organizational units to change their business processes and policies to conform to the
Contd...

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