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Avantiico Microsoft Business Applications Solutions Partner. Microsoft Inner Circle Partner

Using a BVA to Evaluate an ERP Implementation

In this article, I discuss the benefits of using a Business Value Assessment (BVA) when evaluating ERP software. 

Picture of Meron Taffese

Meron Taffese

Business Analyst

What is a Business Value Assessment? How does it help your Microsoft ERP evaluation?

The Business Value Assessment (BVA) for a new Microsoft ERP or CRM solution is a method which defines the value and business gains as a result of adding or eliminating specific product or service. The value can include tangible dollar benefits from improvements and savings as well as intangible value adds with the ultimate goal of moving the business forward lockstep with its vision. 

 

The client’s involvement in the Microsoft ERP and CRM BVA process is crucial. With executive sponsorship it makes it possible to identify and quantify current high cost issues, explore solutions to current major business challenges, and glean insight to their overall vision. Collaboration is key to the success of the analysis to achieve a practical, achievable, objective assessment.

Sucessful Business Value Assessment

To conduct a Microsoft Business Value Assessment for example for a Microsoft Dynamics 365 Supply Chain Management or Dynamics 365 Finance , below are the critical elements used for baselining.

 

  1. Business Objectives: Understanding the business objectives, current pain points and vision of the business is critical for scoping the Business Value Assessment. 
  2. Align to the business goals: The tools & metrics used to calculate & measure the business processes and data should lead towards both qualitative & quantitative results. 
  3. Requires Stakeholders’ full support: Business Value Assessment requires the full support of the executive stakeholders. Key personnel in the various departments are the subject matter experts in their processes and products and as such are able to provide both quantitative data in the form of financial reports as well as Qualitative data. 

The Avantiiico Microsoft Dynamics BVA team and consultants use the above elements to design the interview and Microsoft solution exploration process leading to your tailored Microsoft ERP and CRM business value assessment.

Methods Used for Analysis

  • Identify the current challenges and opportunities for future growth. Typically, the client and consultants have extensive discussions on the current business processes and challenges of the business. These discussions help the consultants learn more about the core of the business, strategy for growth, the bottlenecks in current processes and the vision as a whole. The meetings also are key to determine the need for alternative solutions both in processes and technology and identify further opportunities to achieve the objective.
  • Gather Data and information for analysis. These would be in the form of both Qualitative and Quantitative Data based on Performance, Financial Data, & Processes (i.e. time it takes to perform a task) of the organization. The analysis must be able to achieve both the Qualitative and Quantitative measures to define the business value. These analysis methods are client and industry specific to apply appropriate metrics. Some examples are:
  • Qualitative Measures
    • Usability
    • Agility
    • Functionality
    • Security
  • Quantitative Measures
    • Revenue
    • Profitability
    • Market share
    • Brand Recognition
    • Customer Loyalty
  • Define the Technology Requirements & Benefits. Based on the company’s business strategy and vision, the consultants analyze the client’s current technology infrastructure to determine the need (if any) additional investment.

Note: The methodology should be aligned and tied to the business objective

Business Value Assessment

Are you looking for a way to identify, measure, and prioritize the benefits and costs of your next ERP implementation? Let Avantiico help you with a BVA. 

Learn More

Defining the Business Value

Senior business solutions consultants provide practical examples of how achievable business process improvements can be delivered with standard Microsoft ERP or CRM features in line with client objectives and growth plans. It would be quantifiable in areas of growth, savings, time saved etc.  It will state: 

  • the Net value gained by Implementation 
  • the cost of delaying the Implementation 
  • the cost of not going through the implementation 

All three metrics are important to measure; especially the last two.  Delaying an implementation may or may not be beneficial depending on the current state of the company; same goes for the cost of not going through with the implementation. But analyzing all three will give an objective & practical picture to the client.

Defining the Business Value

In conclusion, going through a Business Value Assessment as preparation for your Microsoft ERP implementation or Microsoft Dynamics upgrade is effective not only for companies to justify the cost and value of implementation of an ERP or CRM solution.  The Avantiico business value assessment also helps provide a clear understanding of calculation driven priorities covering high value features, modules across relevant Microsoft apps and the timeline for the Microsoft implementation.

Business Value Assessment

Are you looking for a way to identify, measure, and prioritize the benefits and costs of your next ERP implementation? Let Avantiico help you with a BVA. 

Learn More

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