3 Tips on Saving a Fortune on an ETRM Project
No matter what kind of software you choose and your company size, ETRM are complex systems and trickier to implement. Speaking of which, selecting the right ETRM for your business and implementing it accurately will be fruitful for the years to come over through the enhanced efficiencies, timely and correct positions and P&L reporting, a record system of a true source, enhanced risk management and hedging capability, physical commodity, automated physical scheduling, and inventory management. These tips surely state the obvious, but many fail to pay heed to these steps which sometimes makes the ETRM implementation disastrous. Here is how you can save a fortune on an ETRM project.
- Select your partners wisely
Unless the ETRM implementation is minor, it would be a rare case for the software vendor to be a sole services provider. On the basis of the project size, a systems integrator or a consulting firm dealing with the ETRM implementations will collaborate with the vendor and the client in tandem. Research well on the SI and the consulting firm partners and inspect their track record of meeting deadlines, working within the budget and endlessly executing difficult projects into production. Also find out if they are easy to work with and are able to deliver their promises. Ascertain the quality of their resources and the ratio between junior and senior level SMEs.
- Build your implementation team with the doers, not the managers.
Particularly in the inception stages, you will notice that the Project Org chat is too heavy and filled with infinite project managers and too light with the people who are the actual doers. A qualified PMO and a Project Manager is important for a successful project, but in many cases, the ratio has been high as 1 to 2:1 of manager to doer. This will inevitably lead to delay and cost overruns. Hiring the accurate hands-on skillsets in order to meet the project requirements is the most difficult step of them all, but it ensures a successful delivery.
- Balance your team with the right amount of technical and functional experts
We usually see that there is an unevenness in the team where the technical side is heavier than the business level. The technical experts are required for system architecture, interface development, heavy configuration, and custom development. But many times, these resources are not acquainted with the trade and the market data. Don’t wait for the regression testing and the QA phase to introduce functional experts in the team. It is always better to bring them in early to cooperate with the technical team. It helps in coding more efficiently and work with the vendor to fix the bugs much faster.