This assignment asks you to create a process model of the Methodology that you proposed in form of a Dynamic Business Model describig the way an ERP vendor can introduce an SaaS ERP offering. Your process model should describe the major activities, which the ERP vendor should perform to create its SaaS ERP offering. (Do not make the mistake of describing how an end user can move to adopt the use of ERP in the Cloud - that may be an interesting question, but is not the question in this assignment).
There are many ways to model processes, depending on the reason for creating the model. In this case the purpose of the model is to ascertain what are the activities involved in the process(es) of the Project Entity, and what or who is responsible for performing those activities.
You are asked to model the above process as an activity model. The preferred notation for this activity model will be IDEF0. You could use the BPMN language as an alternative, although you would have to study how BPMN can be used for activity modelling (which is not the usual application of BPMN!).
Note that professional project management tools, such as Primavera Project Portfolio Management or Microsoft Project have built-in facilities to create activity models, however, an initial, IDEF0 model can be useful for discussion of the overall process.
The development of this model would typically be performed by the programme manager during the programme's initial stage, and once agreed, this would then be transferred into a prortolio / program / project management tool, for continuous / ongoing maintenance and refinement.