Are you considering implementing NetSuite ERP for your business? There is a greater possibility that you have already been convinced about the awesome benefits NetSuite offers for business process automation irrespective of the niche. But since NetSuite is already acclaimed by industry stalwarts all over the globe, you are a little apprehensive about the cost of implementing it.
Well, let’s make it clear once and for all that the cost of NetSuite implementation varies as per your requirements and chosen modules. Here we are going to provide a detailed step-by-step guide on evaluating the NetSuite implementation cost. Let’s start.
Knowing The Specific Requirements
This is often formally called discovery and analysis. NetSuite ERP implementation varies as per the business needs and the expected deliverables. Naturally, one needs to begin with this stage. At this stage there must be some time-tested procedure to allow client companies to communicate their specific ERP requirements and specifications so that the NetSuite implementation company can come with a well-articulated blueprint describing the way these needs will be addressed and specifications will be accommodated.
The objective of this primary discovery phase is to make the implementation team well versed with the client company and its business model. The envisaged requirements are generally packaged as a Business Requirement Document. This document will delay a decisive role in configuring NetSuite for the future state of the client.
Cost analysis: As for the cost of discovery and analysis stage, know that a NetSuite consulting company will take around 50-150 hours of time for the purpose. The hourly rate for expert NetSuite consulting varies from $100 to $250. Don’t opt for companies lacking expertise since irrespective of the cost it can actually delay your project as you may end up coming to know missed-out requirements leading to expensive course correction.
NetSuite Custom Configuration And Deployment
Once the business requirements are documented in detail, it is time for NetSuite configuration. This obviously depends a lot on the chosen implementation method and timeline goals. In most cases, there are up to 3 configuration sessions every week that continue for as long as 8 – 12 weeks. Once the configuration process is done, the project undergoes user acceptance testing (UAT).
The scope of configuration for the project is decisive for session length and the number of sessions. The access to resources and predefined time limit for going live also influence the rigorousness of the sessions. This is where the experience of the seasoned NetSuite Implementation consultants team speaks as they can determine the required sessions in advance to fulfill all requirements while going live in time.
In this respect, it is important to remember that this is the central stage of the entire NetSuite implementation project and generally NetSuite configuration and deployment consume two-thirds of the entire project duration.
Cost analysis: NetSuite configuration will take the lion’s share of the project budget. That is why for all shoestring budget projects it is recommended to embrace a self-implementation or turnkey implementation approach to get the benefits of NetSuite quickly.
Key Considerations for NetSuite Implementation
Apart from the above two key steps, NetSuite implementation should also take into account the migration of data from existing software systems and NetSuite training to develop the skills of the in-house team in dealing with this advanced ERP system. Let’s shed some light on these considerations.
Data Migration
Many enterprises simply struggle to migrate their existing business data from the legacy software to the new NetSuite ERP system.
Cost analysis: A small and medium enterprise while trying to migrate their accounting data from popular software such as QuickBooks to NetSuite should allow a NetSuite migration company to take 5 – 50 hours. This variable window span is so wide because the quantity and quality of data for migration is a decisive factor here.
Learn More: How To Create A Robust NetSuite Implementation Plan For Success In 2024
NetSuite Integration
Around half of all clients, while going through NetSuite implementation need some kind of new integration. From integrating an e-commerce store to a third-party CRM system, requirements vary for integration. Since NetSuite is versatile and flexible enough to accommodate other software, integration is a major cost consideration as well.
There are some powerful Platform as a Service (PaaS) connectors such as Celigo or FarApp that can be befitting choices for this purpose. NetSuite integration can really be very complicated and demanding and hence it boasts of a critical cost component for the project.
Cost Analysis: The custom system integration service when taken from a reputed PaaS platform such as Celigo or Jitterbit, the cost can vary between $5k-$25k every year. The cost of integration also varies based upon the number of apps needing integration, the endpoints that need to be connected, and the volume of data flowing between endpoints.
Read More: Top Benefits Of NetSuite Integration For Your Business
NetSuite Training
NetSuite implementation also needs to ensure that the software is perfectly ready for end-user adoption. How well the end-user will adapt to the post-implementation NetSuite ERP is going to be a crucial factor. It is important that the users don’t go back to their old legacy software and instead use NetSuite. This is why an enterprise needs NetSuite training services from the NetSuite partner as well.
On the other hand, you cannot expect the end-users to do well with the new NetSuite ERP and its tools just following a training session. Training on business tools is never a one-off business but an ongoing one that gets sharpened when employees find help in the real user context. This is why experts with years of NetSuite exposure across niches should be called for. Offering custom training and keeping the unique user scenario and business cases in mind will prove to be more effective.
Cost Analysis: According to experts, NetSuite’s training budget should be at least between $5 to 15k depending upon the training environment.
NetSuite Customization
NetSuite offers immense scope of customizing the ERP system as per business-specific automation needs for processes and according to the needs for fulfilling gaps of NetSuite functions. NetSuite offers two different scripting choices for customization such as SuiteScripting and SuiteFlow.
While SuiteScripting is used by developers to come with custom business logic highly optimized to meet the requirements of a business, the same can be used for creating completely new custom applications as well. SuiteFlow offers a much-limited scope of customization and it can be only used to set up preferred workflows with just drag and drop actions.
Cost Analysis: As per the experts, NetSuite customization costs may go up to $10k at the initial phase. In enterprises with unique processes, this cost may go slightly higher than the mentioned threshold.
Conclusion
As soon as you have taken into consideration all these varying factors you can easily make an assessment of the final cost of NetSuite implementation. Choosing the right NetSuite implementation partner with an experienced team, several key projects in the portfolio, and a competitive cost offering will be key to the success of your NetSuite implementation. In no way, allow the cost consideration to dominate your choice. Make a balanced choice with an uncompromising focus on efficiency and final output.
