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IEI-4B2 – Enterprise Resource Planning

DATA MIGRATION

Ari Yanuar Ridwan

S1 Teknik Industri – Fakultas Rekayasa Industri

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INTRODUCTION TO DATA MIGRATION

• Transferring data from legacy applications or from old systems to new ERP application is an important
step for ERP implementation.
• This is something done as part of final preparation stage of a project or during late realization.
• However, the planning for this need to start much earlier. Success of an ERP project can depend a lot
on quality of data that is going inside the system and if proper care is not taken in loading the system
with clean data, it can simply become “garbage in and garbage out”.
• So, its worth spending time in data cleaning. There can be other complications also during this stage
like ERP systems may need data which is not existing at all and this need to be created by the project
team.
• For example, implementing planning modules may need data on service level or safety stock
requirement of an item – which most of the organizations may not maintain in their legacy application
(this information is in the head of the executives and may not be stored in any database) and these
data need to be created.
• Similarly, a company looking for an ERP implementation in a new plant may need to create new master
data on machines, cost centers, etc.
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MIGRATION OF DATA

• From which source systems data will come?

• How much data need to be migrated?
• How to clean the data?
• Who will verify and ensure that clean data is loaded into the system?
• Which electronic migration method or ETL tool to be used?
• What data can be transferred earlier and what need to be transferred just
before going live?

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DATA MIGRATION CHALLENGES

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Classification of Data to be Migrated

• Master Data
• Master data is typically the data set which does not change everyday like vendor,
customer, and materials, etc.
• Transaction Data.
• Transaction data are the open items like stock, open purchase orders, contracts,
sales orders, etc. that need to be transferred to the new ERP system.

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Process to Migrate Data

• Manual Data Migration

• This is time consuming, costly and having high chance of error
• Electronic Data Migration
• Analysis
• Design
• Cleansing
• Extraction
• Transform
• Load
• Verification

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Manual Data Migration–Basic Process

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Electronic Data Migration–Basic Process

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DATA MIGRATION STEPS

• Analysis Before undertaking data migrations, in this phase do an analysis of how much data need to be moved to
ERP, from which legacy systems these data will come and mapping those legacy application data structures with
ERP system.
• Design The design relates old data formats to the new system’s formats and requirements.
• Cleansing Data cleansing is a major task and that may involve removing obsolete data, removing duplicate entries,
fixing misspellings (i.e. customer description wrongly recorded in old system), errors, etc..
• Extraction This is an activity of extracting data from data sources (legacy system/s) for further data processing and
finally loading to the ERP system. Generally for these kinds of extractions ETL (extraction, transformation and
loading tools) or data download programmed are used.
• Transform This stage applies a series of rules or functions to the extracted data from the source to derive the data
to be loaded to the target system in the format needed by destination system.
• Load In this step, data is loaded into the ERP system. Again to make the process automated, programmed can be
written and sometimes ERP vendors also provide data loading tools. For example, leading ERP vendor SAP provides
tools like LSMW, BDC, etc. for data loading.
• Verify cation After loading into the new system, data need to be verified preferably by some business users to
determine that whether data is accurately translated, is complete, and supports processes in the new system.

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Data Cleansing Techniques

• Standardising
• Matching
• Consolidating
• Correcting
• Enriching
• Parsing
• Conditioning
• Scoring

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ETL Tools

• Extraction, Transformation and Loading tools are widely used for data migration.
• These tools can help in auto data cleaning based on rules, data extraction from multiple
legacy applications and finally data loading into ERP and can be useful for large ERP projects
having huge data to migrate.
• ETL tools can take out data from any source systems, i.e. legacy applications, spreadsheets,
standalone database, etc. Some of the leading vendors and products in this space are:
• Business Objects (Product: Data Integrator)
• IBM (Product: Information Server)
• Informatica (Product: Power Centre)
• Oracle (Product: Oracle Warehouse Builder)
• Microsoft (Product: SQL Server Integration Services)

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Summary
• Data migration has several challenges in an ERP project.
• Typically, a set of master and transaction data in the form of relevant open
items is migrated to the new ERP system.
• Electronic data migration is a seven-step process involving: analysis, design,
cleansing, extraction, transform, load and verification.
• Data loading need to follow a predefined sequence.
• Data cleaning is an important step and the process can be automated by
applying a set of rules.
• ETL (Extraction, Transformation and Loading) tool helps in data migration
and cleaning by supporting variety of rules.

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THANK YOU

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