1. The Herb Store
Implementation of ERP
Summer 2016 Group Project
Eric Ofori and Nurudeen Ceasar

2. Background
The Herb Store sells fresh herbs and herbal based products.
The filing and ordering system is a manual system and is outdated and
cannot handle the increasing data flow of the growing business. The
Herb Store has not transitioned to digital information storage.
Customers can place their order by phone, fax, email, or by coming into
the store and directly placing an order.
Information on customers is kept in a filing cabinet.
Orders that are made are put on an index card. Receipts for payment
are put on post it notes and/or napkins.

3. Issues with current system
• Issues
• Current orders are sometimes lost or misplaced
• Orders are packaged incorrectly
• Customer information is misfiled or lost
• Customer information is not updated
• Customers are not given proper receipts
• Organization of data is nonexistent.

4. Recommendation
• Consulting team recommends the implementation of
Enterprise Resource Planning software.
• Enterprise Resource Planning or ERP is perfect for a solution
that integrates all the computing needs of a business into one
package while supporting cooperation with suppliers and
customers.
• Implementation of ERP will commence in 4 phases:
Initiation/Planning, Installation, Testing, and Training and
Support.
(Marchewka, 2012)
(PMBOK guide, 2014)

5. Flow of ERP throughout an
organization
(Wilson, 2002)

6. Initiation / Planning
∙The Initiation/ Planning phase is the first phase of the process and will
detail all activities that precede the implantation program. This stage is
also considered the preliminary phase that will generate the foundation
for the establishment of ERP.
∙During this phase, the team will gather and document requirements.
These will include the functional and non-functional requirements.
Among the requirements that will be documented at this phase include
defining risks assessment and the project budget.
(Marchewka, 2014)

7. Installation
-This phase is scheduled to be the second stage of the
implementation process. During the installation phase, the
current hardware systems will be upgraded and Enterprise
Resource Planning (ERP) software installed.
(PMBOK guide, 2014)

8. Testing
-The testing process will be implemented once the
installation processes are complete. The steps of
activities that will be conducted during this stage
include establishing a robust form of testing that
will be conducted through a sequence of the unit,
integration, performance, system, and acceptance
testing.
(Marchewka, 2014)

9. Training and Support
-The training process will expose the users to the elements,
methods and navigation ways for using the newly installed
system. During the training phase, the users will be trained
to use the implemented system.
(Marchewka, 2014)

10. Budget Proposal
(Marchewka, 2014)
Expenses
Salaries Activity Quantity cost per unit (USD) Payment period Total (USD)
Consultants Consultant fee (hourly) 2 1,000/hour 10 $20,000
Sub - total
Salaries
$20,000
Travel Description Quantity Cost Total
Lodging cost per person/ room 2 200 1 week $2,800
Airfare/Train cost per person/ fare 2 200 2 days $800
Per Diem Meals per person 2 200 1 week $2,800
Other (i.e. taxi, subway, light rail fare) 2 50 1 week $700
Sub-total
Travel
$7,100
Supplies Description Quantity Cost Total
Hardware Information system 1 2,000 Once $2,000
Software ERP 1 1,500 Once $1,500
Sub-total
Total
$3,000
$30,100

11. The benefits of implementing ERP applications into an
organization’s structure are extensive. The benefits of ERP
applications include the ability for the company to execute
direct payments and bank reconciliation processes and
lowering operational costs. ERP also enhances customer
service functions and centralizes critical information and
operations. Basically, ERP software and applications produce
enhanced and streamlined processes, improved productivity
and customer service, and effective communication solutions.
Benefits of ERP

12. References
A GUIDE TO THE PROJECT MANAGEMENT BODY OF KNOWLEDGE
(PMBOK guide) Fifth Edition. Newtown Square: Project Management Institude,
Inc., 2013.
Marchewka, Jack T. Information Technology Project Management: Providing
measurable organizational value, 4th edition. John Wiley & Sons, Inc., 2012.
Wilson, D. A. (2002). Managing Information: IT for Business Processes.
Burlington, MA: Butterworth-Heinernann