Preparing for a successful ERP transformation: Essential steps to secure high quality data

In this post, I outline the essential steps companies should take before embarking on their data migration journey. These steps ensure that the data migration process is efficient, secure and positioned to deliver lasting value.

The importance of data preparation

Data preparation is a crucial first step in any transformation project. Activities like data profiling, cleansing and standardization may seem routine, but they are absolutely vital to the project's success.

Clean data forms the backbone of a reliable enterprise resource planning (ERP) system. When businesses invest in early-stage preparation, they minimize risks and pave the way for seamless automation. By addressing issues such as incomplete or inconsistent records, businesses can avoid costly disruptions during and after their data migration process enabling operational efficiency.

Imagine a scenario where customer records are duplicated, or product catalogues contain outdated information. Such issues can cripple downstream processes, from supply chain operations to financial reporting. A structured approach to data preparation ensures that these issues are tackled head-on.

Achieving data readiness

Data readiness isn’t a checkbox—it’s a continuous effort that involves assessing the current state of data and identifying areas that require improvement.

At Deloitte, we recommend starting with a comprehensive data quality assessment. This process highlights gaps, inconsistencies and outdated information. With this insight, businesses can prioritize the most critical data elements for migration. For instance:

• Customer master data must be accurate to ensure billing processes remain uninterrupted.
• Product information needs to be consistent to support smooth inventory management and supply chain operations.
• Financial data must be complete to enable accurate reporting.
  
  

Data readiness ensures that you are not simply migrating data but elevating it to a state where it can fuel more efficient processes and advanced analytics.

Establishing data governance

Data governance isn’t just for the data migration phase—it’s an ongoing discipline that ensures data quality is maintained over time. Governance involves implementing clear processes, assigning ownership and establishing accountability for the creation, maintenance and use of data. To ensure an effective data governance process, it’s essential to map:

• Who is allowed to create and change master data records?
• How to ensure master data attributes are maintained with valid values
• What is the approval steps for new and changed master data records
• How is data quality monitored post-migration to prevent degradation?
  
  

Strong governance not only protects the investment made in enabling high quality data but also supports scalable growth. It ensures that your clean data remains clean and continues to deliver value long after completing the project.

Tools and methodologies to support your data migration process

Data migration can be complex, but with the right tools and methodologies, it becomes far more manageable. Deloitte leverages advanced data-solutions leveraging AI capabilities supported by accelerators to support every stage of the journey.

From automated profiling and validation to checks for duplicate records, these tools ensure that your data migration process is efficient and precise. They help streamline repetitive tasks, freeing up your teams to focus on strategic priorities while reducing the risk of errors. While technology is a powerful enabler, it’s the combination of tools and expertise that truly sets Deloitte apart in delivering successful SAP transformations.

Risks of poor preparation

Failing to invest in early-stage data preparation can have serious consequences. Common issues include:

• Duplicate records: For instance, having multiple entries for the same customer or vendor can lead to billing errors or supply chain inefficiencies.
• Inconsistent data: Variations in how information is formatted or stored across systems can result in reporting inaccuracies and delays.
• Delays in automation: Poor-quality data often hampers the effectiveness of automated processes, forcing businesses to revert to manual interventions.
• Project delays: Underestimating the effort required for data migration is a common cause for project delays.
  
  

These risks can ripple across the organisation, undermining trust in the system and delaying the realisation of business benefits. By addressing these risks upfront, businesses can avoid costly disruptions and position themselves for a successful transformation.

Some final thoughts

Preparing for an ERP transformation project is about more than just “getting your data ready.” It’s about building a strong foundation for a smarter, more efficient enterprise. By focusing on data preparation, readiness, governance and leveraging advanced tools, organisations can transform their data into a strategic asset.

At Deloitte, we’ve helped countless businesses navigate this journey and the results speak for themselves: streamlined operations, improved decision-making and a system that truly supports growth in the digital age.

Are you ready to take the first steps towards a transformation project? The future of your organisation starts with the data decisions you make now—let’s make them count.