Big-bang ERP implementation at a global company

Dead Sea Works is an international multi-firm producer of Potash and other chemicals whose sales for 1998 were about $500 million. In 1996, the Information Systems group convinced top management to pursue a big-bang ERP implementation of SAP R/3. To reduce project risk, risk management was practiced. First, only modules that matched the functionality of the thenexisting systems were targeted, avoiding as much as possible software modifications and process reengineering. Second, a steering committee was set up to handle conflict resolution and set priorities throughout the project and top users were given responsibility with implementing modules within their respective functions. R/3 went into production on July 1, 1998, six months ahead of schedule and without exceeding the $4.95 million budget.