Oracle EBS - To Upgrade OR Re-implement?

Thursday, November 10, 2011

If its time to upgrade to next release of Oracle EBS, then depending upon the EBS footprint and complexity, the most likely question which comes up in one's mind is whether to upgrade or Re - implement.

Before, I try to put my answers, lets look at, what is Upgrade Vs Re-implement.

Upgrade : If you are earlier release of Oracle EBS like 11i and wish to move to new release of R12, you have an option of upgrading you application system / data base to higher version.
Apart from sequence of technical, functional steps that include DB and application upgrade, it might require upgrade or redevelopment of custom code unit.

The advantage is upgrade - planning and execution, can be performed at comparatively lesser time.

Re-implement: It is just like implementation of new version of ERP software, the only difference is the earlier version of ERP application is onsidered as a Legacy application.

So now, if you in older version of ERP system, the below listed details, could be the likely factors, which would favour re-implementation instead of upgrade,

  • If quality of master data in current Oracle EBS system is not upto expected standards, this means, data cleansing has to be carried out. The master data could be customers, vendors, items, COA etc.

  • Due to change in business, you wish to have your COA structure redefined.

  • Do away with customization and adopt standard modules / new features of R12.

  • There is a business process change / add more modules and you do not wish to add new modules to the existing business application due to above defined points.

  • If one is considering consolidation of two or more ERP instance, which may be a business decision due to business merger or acquisition.

Decision for upgrade or Re-implement might be significant, particularly if you are moving for major release. Normally from, Oracle EBS release 11 to 11i or 11i to R12, are considered as 'major release'.

The above list may not be exhaustive, there could be other inter dependent factors and hence it calls for a detailed study involving key stake holders of the business and based on the finding of the study, a decision could be taken towards upgrade or re-implementation of Oracle EBS.

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