How Does Change Management Support an ERP Implementation?
Updated: Jan 26
While implementing an ERP system can benefit your business, not all employees will understand how it will affect them and how they'll need to change their daily routines and habits to get the most from the new software. That's why it's important to have a solid change management plan before, during, and after implementation so your new ERP implementation can be successful long-term. Here are some important tips that can help with the change management process.
Defining the Business Case for Change
Change management supports organizational change, which can come about due to a merger, acquisition, divestiture, or another internal event. The proper channels must be utilized to make all stakeholders aware of changes and help them adapt their working practices, so they can succeed in this new environment. Change management also includes using appropriate training methods and tools (such as mentoring) to facilitate a smooth transition.
Building a Coalition to Drive the Change
If you're implementing a new ERP system, it's important to set up a coalition of people who will support the changes. This coalition should include senior managers and employees from all levels of the organization who have been involved in the decision-making process. The coalition will be responsible for communicating the changes to their areas, ensuring that everyone is on board and able to work with any new challenges.
Developing and Communicating the Change Plan
Developing a change plan is the first step in supporting organizational change. Communicating this plan to all stakeholders, including your employees, is critical. It's not just about telling people what's happening and when they'll need to be prepared. What you're doing with your communication is building trust and showing that you care about their well-being.
Leading and Managing the Change
Change management is a key component of any ERP implementation and supporting organizational change. Change management helps to ensure that the organization's needs are met and that the process goes smoothly. This can be done through training, communication, coaching, and support.
Sustaining the Momentum for Change
It's important to keep the momentum going once you've reached your destination. This is where change management comes in. Change management is a process that identifies and manages the changes that happen during and after ERP implementations to ensure that any problems are identified quickly, addressed, and documented for future reference.
Enabling the Workforce
An essential part of change management strategies for an ERP project includes empowering employees to take ownership of their transformation. This means more than just training on a new system—it also entails organizational changes at every level, including functional and structural ones. Here are some points we think you need to keep in mind when embarking on this initiative:
Assess the current workforce in terms of skills, abilities, experiences, and capabilities; assess staffing impacts.
Develop/implement training strategies and plans to close learning gaps.
Let Us Help You Transition
Adopting a new ERP solution might seem difficult, but plenty of benefits can be seen almost immediately. An upgrade could be just what your company needs to move forward. If you have any questions, contact us today through our LinkedIn page, and we'll provide the answers you need before making your decision.