ERP LOSERS
"If you focus on results, you will never change. If you focus on change, you will get results." - Jack Dixon
After all the Time and Effort your Company Ends Up with a Computerized Manual System With Marginal Benefits
There are several valid reasons why you should not computerizean out of control manual system:
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Garbage In, Garbage Out (GIGO): Automating a flawed manual system can perpetuate existing errors and inefficiencies. If data and processes in the manual system are flawed, automating them will not magically fix those issues.
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Wasted Resources: Implementing a computerized system requires a significant investment in terms of time, money, and effort. If the underlying manual system is fundamentally flawed, these resources may be better spent on process improvement or reengineering.
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Complexity: Automating a bad manual system can lead to a complex and convoluted digital system. This can make it even more challenging to use, maintain, and troubleshoot.
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Ineffective Use of Technology: Technology should enhance and optimize existing processes. Automating a bad manual system often means applying technology to processes that should be redesigned or eliminated altogether.
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Resistance to Change: Employees who have experienced frustrations with the manual system may resist the automated version, leading to low user adoption and potential implementation failure.
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Data Migration Challenges: Transitioning from a bad manual system to an automated one can be complicated. Cleaning, validating, and migrating data from the manual system can be a daunting task.
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Limited ROI: The return on investment (ROI) for automating a bad manual system may be minimal. The benefits gained from automation may not justify the costs, especially if the underlying processes remain inefficient.
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Missed Process Improvement Opportunities: Instead of automating a bad system, organizations should consider process improvement efforts. This involves identifying and addressing root causes of inefficiency and error.
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Increased Maintenance Burden: An automated bad system may require continuous maintenance and troubleshooting to keep it running. This can strain IT resources and budget.
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Negative Impact on Reputation: If an organization automates a bad manual system and it leads to operational problems or customer dissatisfaction, it can harm the organization's reputation.
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Legal and Compliance Risks: If the manual system includes compliance or regulatory issues, automating it without addressing those concerns can lead to legal risks and non-compliance.
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Strategic Misalignment: Automating a bad manual system may not align with the organization's long-term strategic goals. It may divert resources from more strategic initiatives.
In many cases, it's more effective to first address the underlying issues in a manual system through process improvement, redesign, or optimization efforts. Once processes are streamlined and efficient, then consider automation to further enhance productivity and effectiveness. Automating an out-of-control manual system should NOT be attempted, even taking into consideration the potential drawbacks and consequences.