Training In ERP: Everything You Need To Know

Introduction

ERP is a very familiar term in the market due to its uncountable benefits to the business. According to to Learn 2G, usage of ERP reduced 23% of operational costs and 22% of administrative expenses. Moreover, it increases on-time deliveries by 24%. These statistics, and many more, give a clear idea of the popularity of ERP today.

The importance of training in ERP

ERP is an important tool that every business must have but it is also very new to the ecosystem. For years, businesses have run in a set procedure and certain changes in the system could be disruptive.

The arrival of new software could break the flow of the operation which might negatively affect the business process. The software can ease the functioning but it requires time for adaptability in the organization.

Employees who have worked for years in a certain way could find operating software, difficult. This will eventually hamper the productivity of the organization as well as the employee.

Not just for the employees, but it can also hamper the associated partners working with the organization. Due to these reasons, and many more, it is important, that a proper training module be prepared.

Reasons, Why Training For ERP Is Important

Here are the 3 important reasons, why training in ERP is important:

1. Productivity

The first and foremost reason for proper training in ERP is to gain productivity. The purpose of the software is to enable simplicity and a fast pace of operation. But, without employee efficiency, that cannot be possible.

Good training in operating the ERP system can improve the agility of the employees. A confident user of ERP will be a very predictive employee for the organization.

Apart from employees, benefits the upper management in monitoring and managing the system. Better control can magnify the issues, and quick action can be taken for it. All can sum up increasing productivity within management and for the company as a whole.

1. Time-saving

The next most vital reason for a good training session on ERP is time-saving. Time which is money is the cliché that goes well in the business world. To make the most of this time, technology must come in place of humans.

Technology can make work simple and quick, but it cannot work on its own. Somebody needs to be well-trained to handle and operate it properly.

Handling ERP is not easy, especially for people who have been working manually for years. The trial and error method could take way more time and countless errors before it can be well-managed. This would ironically, wastes more time instead of saving.

Good training sessions on the implementation of ERP would be very beneficial for the company. Advancement of ERP can take down critical tasks in seconds and saves a huge time for the business.

1. Risk Management

It is very important for businesses to train their employees well for ERP usage if the risk factor is high. It could be difficult for companies with high risks to tackle multiple errors. Errors could be due to humans or wrong usage of technology, but it will badly affect the company.

However, if the training gets successful, ERP can result in a huge risk aversion tool for the company. Through a well-managed system, the numbers of errors are very less and easy to notice. Due to automation, notifications are sent to the concerned persons, alerting them of the risk. Companies hence can benefit hugely due to ERP implementation. Proper training meanwhile is very important, or else, it could break the system completely.

Important factors to look for while preparing for the training

While it is important to provide good training to employees on using ERP software, having a good training infrastructure is the basic requirement. For such important software, providing the right training is very essential. The whole business is dependent on its usage and hence it requires proper functioning.

Here is a list of the important factors that a good training setup must have:

●      Time for Training

Allocating the appropriate amount of time for training on ERP is very important. Every employee does not have the same capability. Hence, for different employees, there should be opportunities for doubt clearing and re-running of the module. A minimum duration of 4- to 45 days should be allocated for the overall training session.

●      Experts

The company should assign experts for the demo of the software. The expert should know the nook and corner of the software. They should have total knowledge and must have the answers to all the queries. The trainees will have a lot of questions to ask and the expert is accountable for the answers.

●      Business Process

A live working functioning must be shown to the trainees to understand the business process. The trainees should be clear about the business functions within ERP so that the training session could add value. The trainees must not get confused or remain lost regarding the business purpose and its ERP implementation.

●      Mode of Training

The right mode of training for ERP should be properly selected. It should benefit all the trainees equally and must have clarity in understanding. The trainees should feel comfortable asking questions if needed. A proper setting must be created for the same. The appropriate mode for training would benefit the employees and the management as well. Wastage of money in choosing the wrong training setup could be painful for the company

●      Technical Training

The training must-have details on the technicalities of the software. The IT team must be well-versed with the software, for any technical issues or any updates needed. However, this is only for an on-premise ERP, a cloud ERP would not require any IT team for handling issues.

Training for Cloud-ERP Implementation

Cloud ERP software is the latest invention in the ERP family and is undoubtedly more helpful and efficient than the former. But, unless the users are well-trained in the functioning, using the software properly, might be hard. Below mentioned are a few important factors that are important for the training of a cloud based ERP Software:

●      Adopting a Change Management strategy

There are teams across the organization that will be affected by ERP implementation. While it would streamline the operations, it will change the overall management system. Organizations need to adapt to these changes and accept the re-ordering of the work. Choosing the right training tool is important so that it can support the adaptability of the organization. On choosing a change management strategy, the transition phase will ease up, making it easier to blend with the process.

●      Process-Based Training

Total organization-wide training is required to complete the ERP training program. Both employees and end-users must be involved with this training that would be relevant to their roles. The training should be provided to all management levels starting from employees to the top management. 

●      Must-Have Sufficient Training Budget

While allocating funds for something that does not yield results can be hard to sanction for the management, it is important. Reports show that while 15% is the average budget spent on training, investing 17% to 20%, yields a better result. Hence the management needs to allocate the right budget for the training. A sufficient budget would utilize the resources properly and the training for the ERP module would be successful.

●      Consistent Training

ERP is a new tool and a cloud-based ERP module is newer for many organizations. Providing a one-time training will not be sufficient henceforth. There should be multiple sessions and multiple doubt-clearing opportunities for the employees. Phases of training sessions involving different levels of the software should be structured. This way, it will not over-burden the trainees.

●      Involve Expert Help

Apart from the theoretical guide, there should be technical training as well for the employees. Training on the business process is very important to understand the actual working of ERP with the system. For this, an expert must show each step and process and explain it to the employees in detail.

●      Training Methods

Different trainers have their training methods specified. For some, the method of “train the trainer” is followed. Here, the trainer would get the initial training and then the rest of the employees. In this way, the trainer would find confidence in leading the team and having ownership.

●      Proper Documentation

Following the age-old way of documenting everything is taught, it still could be the savior this time. There is too much to remember and to some, the software could be confusing as well. Documenting everything during ERP training could keep everything on record if forgotten later.

Conclusion

Software training must not be avoided when the company is in a transition period. Unless proper training is provided, it would get difficult to get hold of the software usage. ERP software is a new technology that requires guidance and demo to understand its functioning. Training would boost the confidence of the employees and accelerates productivity. There are various requirements for an appropriate training setting, like an expert, a good training method, and allocating sufficient time. However, management should also come in support of this training module and approves the right budget. The budget for the training should be sufficient so it does not waste the available resources.