Vodafone’s Giant Global ERP Implementation
The enterprise resource planning (ERP) information system that was implemented by the Vodafone mobile services provider is the solution to IT management problems. The main aim of implementing such a complex project was to increase user interactions with the mobile devices that at the time were limited.
Central issues faced by Vodafone
Vodafone being the largest mobile provider all over the world has experienced a rapid growth of its local operating companies. The increase resulted into decentralization of the company that made the local operating companies lack standard practices. Furthermore, the service provided lacked centralized operations while data could not be easily shared among the companies. This made Vodafone’s outlet firms to operate independently with their business processes. In its business processes, there was an increase in the competitive pressures, as it wanted to function as a single entity (Laudon & Laudon, 2016).
Why ERP was a necessary information system solution
The enterprise resource planning information system was an appropriate solution to the management of Vodafone, as it wanted more user interactions with their mobile devices. More interactions with the devices ensure compliance and increased usage by both the customers and the employees. The need to improve business efficiency and savings also necessitated the development of the plan. ERP systems have ensured that Vodafone has centralized its business operations. This has been by having all the operating companies to share data information and adopted a more unified business structures.
Vodafone’s success in ERP Implementation Plan
The key to the success of the plan was because Vodafone’s management improved the expertise and resources to enable the implementation of the enterprise resource planning (ERP). The administration sought more knowledge of the plan from consulting firms such as Accenture and IBM that aided in the skills and services that Vodafone lacked. Moreover, this project’s processes were carefully identified, selected, and designed to limit the risks that could be faced later. Besides ensuring that the processes were easily manageable, the management targeted the first set of processes such as procurement to generate savings. The savings were directed to a centralized company, which used ERP platform that paved the way for a centralized organization (Laudon & Laudon, 2016).
Vodafone then opened more rollouts such as creating centralized shared services group, and the software companies that were based on the ERP information system. However, this was done in such a way that two rollouts could not proceed the same way. As a result, it used phased, incremental implementations that were stepwise. Furthermore, a lot of testing on the modifications of the system was done before being released and the employees were assisted. It further rolled out the new regime at other outlet companies prioritizing their complexity and willingness to change. As a result, such a complex project was successfully implemented.
Suggestion to improve the process
In the process of initializing ERP implementation plan, the Vodafone management should instill the idea of the ERP information system being a business transformation of carrying out its business. This will reduce the resistance received from the employees and reduce the cost of sensitization used in awareness. The project should also rely on other factors other than the people involved. It should be laid such that it incorporates factors such as the advancement in technology. This will reduce the overreliance of the people involved in the implementation of the system.
Global implementation of ERP information system solution by Vodafone has ensured profitability for the company in the end. This has enabled the transformation of its business processes and unity in its operations. Moreover, it has ensured speedy operations and improved the trust of clients towards Vodafone and its products. As a result, ERP information system has affected a tremendous change in information technology management and business operations.
Laudon, K. C., &Laudon, J. P. (2016).Management information systems: Managing the digital
Firm [Vital Source Bookshelf version] (14th ed.). Retrieved from https://bookshelf.vitalsource.com/#/books/9780133898309/