Manufacturing Insights

An ERP blog from MAX

Buy-In and Change Management with New ERP Systems

Posted by MAX on Jul 30, 2014 9:00:00 AM

change-managementOne of the most important determinants of any project’s success is buy-in from all stakeholders. You will never be successful trying to change processes, implement new systems or complete any type of major project successfully unless you manage change carefully. Consider adding these activities to your project management tool kit.

Communicate

One of the most important things you can do to ensure that your new ERP system implementation is a success is to communicate early and often. You may not think that people in certain roles care about the company’s systems, but with an application such as ERP everyone is affected to some degree.

Communicate up front that the company will be selecting and implementing a new ERP system to support the business. Explain the reasons why, even if you think your shop floor people don’t care that your existing system won’t support your company’s growth. They do care, because it will affect the way they do their jobs, how they report their time or material usage, how you measure their performance, and how you record scrap or process shipments. Make sure they know there is a good reason for the disruption that is coming their way.

Educate

One of the biggest mistakes companies make is skimping on education. Before you even start the search for your new system, make an effort to help your employees understand what ERP is and what it does. Teach them how it will affect their day-to-day jobs and how it will improve the company’s performance.

Once you have selected the right ERP system, make sure that everyone who will be using it has a good grounding in the system as a whole as well as the part each will play as individuals. It’s easier to get people to buy into a change when they understand the reasons behind it.

Take time

Often companies rush their implementations because they want to minimize risk and start earning ROI on the investment, but you may be better off to take a little more time to ensure that everyone is comfortable with the changes. If you give people the proper grounding and the time to consider the change, you will not only meet less resistance but you may also find that people think of things you didn’t. Addressing potential issues or process changes before go live will be easier than after, so take the time to ensure everyone is ready.

Listen

Managers, consultants and project leaders sometimes think they have thought of everything or that they have explained things adequately, but more often than not, they are wrong. Listen when people ask questions or raise objections. They are trying to help you and the company. Even if the question seems simplistic to you or the objection seems like subtle resistance to change, taking the time to listen fully and address the objection will make everyone feel more comfortable.

When people know what’s coming and they understand the reason for the changes, they are less likely to resist new processes. You will be less likely to suffer project setbacks or sabotage, whether overt or inadvertent, when people have bought in to the reasons for the new system. In fact, with the right communication and education, you may find that your entire team eagerly embraces the new ERP system and the process improvements it brings.

Topics: Implementation, Planning & Change Management

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