ERP data migration best practices for successful implementation

Data migration can be terrifying and challenging at times. Examining some of the ERP implementation failures in the last decades reveals the common culprit to be data migration.

If some of the tech giant companies like Revlon, Vodafone, Hershey’s falls as a victim to this migration disaster, it is important to find the pitfalls and overcome those with proper strategic plan.

Here are things that need to be considered and taken care of during migration.

A common shared database is the heart of the ERP and that enables employees across different domain to access parallelly. When implementing a new ERP system, the strategic plan need to be made with collaboration each department. So, the migrated data has the accuracy and perfection.

Data Migration

ERP data migration is the process of moving data from existing system or to a new ERP solution. The existing system can be a legacy software or standalone software of each departments or a spreadsheet. To manage the data migration from any source, the data need to be analyzed, cleaned and verified before entering in the new system.

Challenges in data migration

Integrated nature of ERP modules

In the ERP as the modules are closely integrated, the data are inter-linked and connected, so this requires collaboration across departments. This process need to be organized and managed carefully.

Understanding activities in data migration

Apart from moving the data from legacy system to the new ERP system, there are lot of process like gathering, removing, cleaning, transferring, loading, testing, archiving and retaining need to be carried out perfectly. It requires clear understanding of the process and a good implementation plan.

Modification of data

In ERP implementation, it is necessary to modify certain data to be compatible with the new system. The decisions on these changes need to be taken care of in the design stage. If the structuring is not done efficiently, then it leads to delays.

Historical record of data

The history of data and amount of transactional data that need to be transferred varies from project and business. All these details need to be clarified at an early stage to avoid disagreements, delays and budget extensions.

Regulatory Issues

A growing number of industry specific or regional based regulations has effect on the way an organization can store and access those data. When migrating data, it has to be taken and ensured that it is compliance with it. For example, a healthcare organization need to follow DHA (Dubai Health Authority) Law that stipulates a twenty-five-year retention of digital/ICT health information.

Cost of data migration

The cost of removing, cleaning and structuring the data can add up to a significant budget of an overall ERP implementation. In case of just migrating from one ERP system to another can also cost you a high cost around 10-15% of an ERP price.

Best practices for ERP migration

Following the best practices of ERP migration can help the organization to successfully implement their new ERP software.

Prioritize data migration. The migration need to be carefully planned and the success of entire implementation lies on the proper planning. Enough resources need to be allocated to have a deeper study on the data and clean the unwanted data from the existing system.

Think about the use of the data. Before starting the migration, analyze the existing data completely and think about how it will be used in the new system. The required filtered data need to be properly mapped with the database of the new system. During migration the rules need to be defined to translate the existing data to the new structure. So, get a clear picture on how the data migrated will help each department and the organization to take better decision.

Be selective with data. When you migrate the data, make sure to move only the required data from the start of a specific year to the new system. The data which are stored for a history of record can be archived to prevent slowing system performance.

Carry out sufficient testing. There are a number of testing types in data migration process unit, system, volume and batch application, and it is a good practice to ensure all the test are performed as soon as possible. This helps in preventing redundant data issues in the later stage of the development.

To migrate your existing system to Horizon EBS an ERP specifically designed for Construction, MEP, General Contracting, Real Estate, Trading and Distribution, and Manufacturing industry, you can write to us at sales@fit.ae or call us at +971 4 353 3727 for consultancy or to know more in detail.