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ERP Requirements Refinement

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When you start a system selection, you first need to determine which business process are the “value - add” processes. In other words, which processes in the business add to the value of the service or product you are providing to the market. The customer is only willing to pay for those activities that help you produce, ensure quality, or account for your product or service. All other activities are waste. When defining your ERP requirements, you need to be cognizant of these “value - add” activities. These are the activities that should be captured in your requirements. Non-value-add activities should not be included in your ERP requirements. These do not produce results that create additional value to the product/service and these are only distractions when it comes down to the actual implementation. ERP Requirements and Lean All of this comes from Lean Manufacturing or the Toyota Production method. Essentially, as stated above, you want to eliminate “Muda” or wast...