The majority of organizations who implement ERP systems and software will employ ERP project managers, ERP programme managers or ERP implementation managers to increase their chances and metrics of success during an ERP project.
But what is an ERP project manager? When is the best time to hire an ERP programme manager? How much does an ERP project manager cost and how long should you employ one?
What is an ERP Project Manager?
An ERP Project Manager is responsible for managing an ERP project end to end including ERP requirements gathering and analysis, ERP vendor and partner selection, implementation and delivery plus testing, go-live and optimization.
What does an ERP Project Manager do?
Gather ERP Requirements
A key function of an ERP project manager is to help with the gathering of requirements for your new ERP system. Your ERP programme manager should lead the effort to understand the key functions your ERP needs to deliver and prioritise them to enable you to begin your ERP evaluation process.
ERP Vendor Selection & Evaluation
Once your ERP programme manager has gathered your ERP requirements, they should help you during the selection of your ERP software and implementation partner. Your ERP programme manager can help you to ensure that your ERP implementation plan is realistic and well considered given your own organizational limitations.
Do you need an ERP Project Manager?
Hiring an ERP project manager isn't always neccesary, but sometimes it is. Smaller organizations or organizations with large IT teams experienced in ERP implementation may get away without one and likewise you may not need one if your internal teams have considerable experience or bandwidth to manage an implementation.
However for organizations with limited internal bandwidth, lack of ERP implementation experience or those organizations implementing large scale change across multiple departments, hiring an ERP project manager can seriously reduce risk and the chance of burnout.
When should I hire an ERP Project Manager?
Some organisations choose to hire an ERP project manager right at the beginning of their ERP change process, before they have even selected their ERP software or gathered their ERP requirements. Other organizations will choose to hire an ERP project manager just before finalizing contracts with their ERP vendor or implementation partner. There are pros and cons to both approaches.
Hiring an ERP project manager as one of your first steps in your ERP change process can allow your business and its employees extra breathing space as your ERP project manager will pick up many of the key yet time consuming tasks involved in preparing. On the other hand, many ERP project managers will have experience of particular ERP software or solutions and may consciously or unconsciously affect the ERP software you choose, regardless of whether its the best choice for your business.
On the other hand, hiring an ERP project after the selection of your ERP software can allow you to select an ERP project manager with specific experience in that ERP software which can streamline your ERP implementation process.
How much are ERP Project Managers paid?
According to Glassdoor, ERP project managers earn on average $70,000 - $80,000 per year. This can fluctuate depending on how you employ an ERP project manager and the specific skill set or experience you are looking for.
In our experience, some talented, experienced ERP project managers with skills in large scale ERP systems such as SAP S/4 HANA, Oracle Fusion or Microsoft Dynamics can earn in excess of $100,000 per annum.
