ERP Implementation and Change Management

Enterprise Resource Planning Software

By Nick Mutt October 12th, 2009 - 03:17 am PT

Enterprise resource planning software requires full support from top management at the time of implementation, selection, and customization. During implementation, organizations may be required to change some business processes to meet the software standards, which are industry specific standards.

Business process can not be changed without top management support. If your business is not willing to change you'll be forced to customize your own software, which can be harmful to any ERP project.

It's better to change some business processes if possible, rather than customizing. When an organization changes their some business processes, change management expert is required. People resist change. Change management experts will guide employees how to handle the change, and explain the benefits of changes to the employees. The ERP system helps in changing the process; it is designed and developed by adopting best practices of specific industries.

Internal Change Management:

An ERP implementation entails changes in business processes and reporting structure. Addressing this paradigm move is a process that your organization has to go through. This will help in achieving the acceptability of the ERP users.

Change Management Drivers

Employees: Employees are the key players in any ERP implementation. The employees of the organization will be the ones following the ERP software. The main challenge of an ERP implementation is that employees accept and respond to the system, and for them to perceive the benefits to the organization.

Process: One of the returns on investment (ROI) is adopting business best practices by virtue of an ERP system. Little changes in the business process will reduce the chance of implementation failure. Minimal or no customization is very good for any ERP implementation.

Technology: Implementation of an ERP system automatically entails adopting technology that will address easy scalability, eradication of distance and an upgrade to the latest technologies.

Organization Commitment: An ERP system has to be viewed as a process enabler rather than a software package to be installed and run. The implementation process is a journey towards achieving organizational effectiveness. This calls for a very strong commitment from the top down throughout the entire process.

Know more on SAP Business One Implementation.


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