Change Management in ERP

While deciding to implement ERP applications in your organization, the single most critical aspect to consider is 'Change Management'. You need to ensure the following in an attempt to manage the ERP-Change:

1. Your employees understand that the ERP will assist them, and will NOT make their lives more difficult. Initial phase of using ERP is indeed challenging, but adopting the new technology is in favor of both the organization and the employee.
2. Continuous and consistent top management support is critical - As new technology is viewed as a monster by most of the employees, top management should ensure a message is sent across the organization, that the management is in favor of the new technology and it is there to stay !
3. Learning new technology is not usually easy for all employees, and hence, a continuous training and development program should continue, making sure the employees are well-aware of their part in the new system. Making them expert in their ' module' is in favor of the organization.
4. All tier-1 ERPs (Oracle, SAP, Microsoft etc.,) are world-renowned for their quality, functional completeness and technical strength, a new user's inability to functionally grip a new system does not make it poor. The system is OBVIOUSLY STRONG ENOUGH to meet your requirements, you might need time to come-to-terms with it.
5. ERPs are meant to automate business operations, for sure, but the extent of ' AUTOMATION' or 'Single-click-operation' should be carefully decided. The more we enter data manually (at-least in initial phase) the more control we will exercise over the application. ERPs are end-to-end integrated. Extremely automating and integrating various modules may mean you are at risk of losing control on the data.
6. Reconciling your opening data and your initial transactions data early post-go-live is critical. If you leave it open and un-reconciled for a long time, it may be difficult for you to overcome the forthcoming issues.
7. A dedicated team should be made responsible from business and IT for implementation and post-go-live training and support - Technical and domain-specific abilities should be carefully considered. A demotivated, under-qualified, system-hating, individuals in your ERP team can disrupt the entire ERP-effort.
8. Time & scope has to be decided early on. An agreed time-to-implement and well-defined scope with management keeping an eye on the same, serves the purpose.
9. Functional suitability and completeness of solution is critical. Review it before starting the ERP implementation. Do not believe on the sales speech made by consulting firm, review the solution, look at the proof of concept, document 'FUNCTIONAL REQUIREMENTS SPECIFICATIONS' before your begin.
10. ERP transformation is a journey, not a limited-time-exercise. Having the principal supporting you, team putting in efforts and business complimenting those efforts is worth-appreciating. Just ensure things are moving in the right direction. If they are, wait for your ERP to become your decision support tool very soon !

Muhammad Nouman Shaikh - Oracle Implementations & Projects Management Specialist.