Practice Test GeeksERP - Management Practice Test
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Overview Flashcards

7 cards from real ERP practice questions. Tap to flip, then mark Knew It or Still Learning — missed cards come back until you master them.

Read the first 7 Overview flashcards as text

  1. Which metric best measures the return on investment of an ERP implementation?

    Answer: Reduction in total cost of ownership and process efficiency gains

    ROI for ERP is measured through tangible outcomes like reduced operational costs, faster processes, and eliminated redundant systems.

  2. What is the function of an ERP 'sandbox' environment?

    Answer: An isolated testing environment that mirrors production without affecting live data

    A sandbox is a safe, isolated copy of the ERP used for testing configurations, customizations, and training without impacting live operations.

  3. Why do many ERP implementations fail to deliver expected benefits?

    Answer: Inadequate change management and user adoption are leading causes of failure

    Research consistently shows that poor change management and low user adoption—not technical issues—are the top reasons ERP projects underperform.

  4. In ERP terminology, what is a 'configuration' as opposed to a 'customization'?

    Answer: Configuration uses built-in settings to adapt the system; customization involves changing the source code

    Configuration adjusts system behavior using built-in options and settings, while customization involves writing new code to alter the software itself.

  5. What does 'two-tier ERP' mean in an enterprise context?

    Answer: Running two separate ERP systems simultaneously at headquarters and subsidiaries

    Two-tier ERP means a large enterprise uses a full-featured ERP at headquarters while smaller subsidiaries run a lighter, separate ERP solution.

  6. Which stakeholder group is most critical to involve during ERP requirements gathering?

    Answer: End users and process owners from each business department

    Process owners and end users understand day-to-day workflows best and must be involved to ensure the ERP meets actual business needs.

  7. What is the purpose of a 'fit-gap analysis' during ERP selection?

    Answer: To identify where standard ERP functionality meets business needs and where gaps require customization

    Fit-gap analysis compares the ERP's standard features against the company's requirements to identify areas needing configuration or custom development.