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Strategic IT - Coggle Diagram

- - - - cost of storage
      - cost of communication
      - cost & time of computation
    - - artificial intelligence/ machine learning
      - cyberspace
      - digitalisation
- - - - conformance quality
    - - speed
    - - cost
- - - - modify standard packages, ensuring support with evolving core
    - - standard off-the-shelf package
  - - - build custom software in-house, or with third-party developer
    - - consider outsourcing
- - - - e.g.,
        
        purchasing power
        
        pooling economies of scale e.g., helpdesk
        
        software economies of scale
        
        data center fixed costs
  - - - e.g,
        
        unique requirements
        
        product/ service positioning
        
        unique processes
- - - - e.g., clarify rationale for your objective
  - - - reuse (from other parts of your company)
      - buy (and customise as little as possible)
      - use what you already have better (activate your "shelf"-ware)
      - build (truly as last resort)
  - - - process design
        
        global template
        
        identify roles
      - blueprint design
        
        integration with critical systems
        
        reporting in business warehouse
        
        localisation, leverage on SAP best practice and industry solution
    - - configure
        
        as per blueprint design & global template
      - test
        
        unit/ modular test
        
        integration test
      - develop
        
        integration/ interfaces
        
        reports
        
        master data upload
    - - training
        
        train-the-trainer
        
        end-user training
      - cutover
        
        master data updated
        
        system cutover
      - test
        
        user acceptance test
      - go-live
  - - - hardware 4%
      - software (licenses & fees) 15%
      - consulting & training 45%
      - deployment 36%
    - - data conversion
        
        cleaning data from legacy systems to match ERP processes, moving customer/ supplier records
      - new data needs
        
        often, the data from the ERP system must be combined with data from external systems. May have to buy a data warehouse application
      - integration & testing
        
        testing the links between ERP packages and add-on applications
      - replacing/ retaining the best & brightest
        
        have to pay top dollar to retain your ERP staff or top dollar to replace them with consultants
      - training
        
        underestimating training costs
      - dependency
        
        have to wait until ERP vendor delivers new functionality via upgrades or fixes previous bugs