ASP.NET - what is the cost of ERP project

Asked By Bala Marish on 22-Oct-11 03:49 AM


the Real estate ERP project cost is how much in the amount of in india...

tell me anybody minimum cost of the erp projects available in india  
smr replied to Bala Marish on 22-Oct-11 03:56 AM
hi

Four Factors that shape the cost of ERP

1)Plan for human costs

The costs of installation, implementation, and data migration generally run about three to four times the original cost of the packaged ERP software. For example, if your software costs $2 million, you can expect to pay an additional $6 million to $8 million for consulting services to get the system into production. TechRepublic members shared general cost information in a recent survey. (See Figure A.)
 

 
Figure A

2)Consider remote consulting

3)Transition your IT staff

It’s interesting that a recent survey of TechRepublic members determined that end-user adoption of an ERP package was the greatest concern among IT professionals (see Figure B).
 

 
Figure B

4)Avoid the illusions of false savings



refer links for details

http://www.datacomintl.com/images/stories/attachments/tco.pdf
http://www.calszone.com/free-resources-microsoft-dynamics-gp/white-papers/cost-of-erp/

http://www.dba-oracle.com/art_erp_factors.htm

refer links for details
Riley K replied to Bala Marish on 22-Oct-11 04:25 AM


 The cost of ERP project depends on many factors like the amount of functionality
 you can't know a exact figure.

It also varies from product to product

As part of an expansive study on ERP adoption in small and medium businesses, average ERP software and services expenses by company size data is shared. From the Resource: 
Small companies actually spend less per user than companies in the $50 to $100 million range in spite of paying more per user for the software, indicating less spent on accompanying services.

you can refer this link for details

http://www.erpsystemguide.com/erp-costs.html

Regards





Suchit shah replied to Bala Marish on 22-Oct-11 05:09 AM
Cost of ERP project dependes on your requirement and few other factors which u required during your project.... so it is completely depend on situation which u faced and excat requirement
Anoop S replied to Bala Marish on 22-Oct-11 05:16 AM
The cost of packaged ERP software depends on the scope of implementation (the # of ERP modules and the number of end users), complexity of software and ERP vendors. ERP software that involves the integration with external business entities generally costs more. ERP vendors offer discount for organizations who invest in a suite of ERP software systems. Mid-sized organizations typically commit a few million dollars to packaged ERP software.
sam sam replied to Bala Marish on 23-Oct-11 08:22 AM

The total cost of ERP ownership includes the costs of packaged software, hardware, professional services (for ongoing maintenance, upgrades and optimization) and internal costs. Based on the ERP survey conducted by Meta Group in 2002, the average cost of ERP ownership was $15 millions ranging from half millions to $300 millions. The average cost per user per year could be as high as $20,000.

Costs of Software

The cost of packaged ERP software depends on the scope of implementation (the # of ERP modules and the number of end users), complexity of software and ERP vendors. ERP software that involves the integration with external business entities generally costs more. ERP vendors offer discount for organizations who invest in a suite of ERP software systems. Mid-sized organizations typically commit a few million dollars to packaged ERP software.

Costs of Hardware

Implementation of ERP systems routinely requires purchase of new computer hardware, systems software, network equipment and security software. The costs of hardware varies in a wide range dependent on the scope of implementation and platforms. The hardware typically costs about half million dollars for mid-sized organizations that implements ERP systems.

Costs of Professional Services

Customization The big chunk of costs of Professional Services is customization. The cost of customization can easily out-run the cost of packaged ERP software, but it is the customization of ERP software that makes an ERP a success or a failure.

Integration ERP systems won't demonstrate its full potentials unless they are properly integrated with other enterprise software application:

  1. the integration of various functional ERP modules,
  2. the integration of ERP with other e-business software applications, and
  3. the integration of ERP with legacy systems.

Data Conversion The cost of data conversion depends on the format and the media that store the historical data. Data conversion from legacy systems to RDBMS is a time-consuming process. Data conversion may lead to further data gathering to fill the missing links in data requirements.

Testing ERP systems are thoroughly tested before they go into production. ERP testing includes unit testing, component testing, regression testing, performance testing and user acceptance testing.

Training Workflow and UI design in ERP software are more complex than average business software. ERP training is expensive because workers almost invariably have to learn a new set of processes of doing their daily tasks besides learning how to use the ERP software. To reduce the cost of ERP training and to ease the transitions from old processes to new, organizations often seek the help from training companies which are specialized in coaching workers on using ERP software from particular vendors.