Presentation on theme: "ERP Implementation Best Practices : A Success Story"— Presentation transcript:
1 ERP Implementation Best Practices : A Success Story Copyright , Roger Rigelhof. This work is the intellectual property of the author. Permission is granted for this material to be shared for non-commercial, educational purposes, provided that this copyright appears on the reproduced materials and notice is given that the copying is by permission of the author. To disseminate otherwise or to republish requires written permission from the author.
2 Implementation Best Practices EDUCAUSEA Survey found similarities and differences in CFOs’ and CIOs’ perceptions of Best PracticesPollyanne S Frantz, Arthur R Southerland and James T Johnson, ERP Software Implementation Best Practices, EQ, 25 (4), 2002
3 Agenda The ERP Implementation Implementation Best Practices How they were viewed by CIO and CFOHow we implemented themEffectiveness (subjective)What is success, anyway?
4 ERP Implementation McGill University, Montreal Canada SCT Banner 30,000 studentsResearch intensiveSCT BannerFinance June 2000General Person Aug 2001First module for StudentHR/Payroll January 2002StudentWeb Registration April 2002
5 Implementation Best Practices DefinitionA best practice is what results when qualitative comparisons are made between similar organizations business practices.ORA best practice is any activity that an organization finds successful in accomplishing a task.
6 Best Practice 1 Executive management should endorse the ERP project. High ranking by both CFO and CIO (mean above 4.6 on a 5 point scale).
7 Best Practice 1 Implementation Project Sponsors – VPs Provost and VP AcademicVP FinanceDeputy Provost and CIOSubjective Assessment: Essential to success
8 Best Practice 2Executive management should remain actively involved throughout the implementation.Mean ranking below 4.6 on a 5 point scale
9 Best Practice 2 Implementation Executive Policy Committees VP, AVP, DP-CIO, Director / Registrar, Project Director and Project ManagerProject Governance
11 Best Practice 3ERP software implementation responsibilities should be shared between the information technology department and functional areas where the software is being implemented.High ranking by both CFO and CIO
12 Best Practice 3 Implementation Policy committees involved senior management in the implementationImplementation teams consisted of functional and IT peopleSubjective Assessment: Essential
13 Best Practice 4Executive management should be cognizant about the institution’s ability to adapt to the organizational changes that occur when ERP software is implemented.High ranking by both CFO and CIO
14 3 month preparation period Adapting to an ERP“Go-live”Productivity18 Months?ImplementationERP “Shock”Benefits3 month preparation periodTime
15 Implementation ERP Shock Relief SIS and FIS specialists Funded by IST, coordinated by project manager and training specialistHired by colleges to support FacultyTraining, liaison, advocatesSubjective evaluation: Important
16 Best Practice 5A project manager should be assigned full-time to the implementation.High ranking by both CFO and CIO
17 Best Practice 5 Implementation That would be me! An Academic with some previous experience with projectsSubjective Assessment: Essential
18 Best Practice 6The project team composition should represent all functional areas where the software will be implemented.Perceptual difference between CFOs and CIOsCIOs significantly more likely to agree
19 Best Practice 6 Implementation Finance System: Core team of managers from AccountingBroad consultation within the entire financial community – esp for CofAFunctional specialists in Purchasing, AP, AR, Budgeting, Grants
20 Best Practice 6 Implementation Student System Managers from Admissions, Registrars, Student Records Officers from Colleges of Arts, Science, Grad StudiesSROs used to test “mock” registrationStudents used for communication plans etc.
21 Best Practice 6 Implementation HR/Payroll HRPMC (HR Project Management Committee) met regularly.Subjective Assessment: Essential
22 Best Practice 7Project team members’ normal job responsibilities should be reassigned to other employees for the project duration.Perceptual difference between CFOs and CIOsLowest ranking by CFOs
23 Best Practice 7 Implementation Temporary promotions and backfilling Replacements were trained before Implementation startedFinance and HR systemsManagers spent 4 days/week at Project HQStudent System100% at Project HQSubjective Assessment: Essential to do one or the other. Advantages/disadvantages either way.
24 Best Practice 8Employees should receive training on how to work as a team on a project before implementation begins.Perceptual difference between CFOs and CIOsCIOs significantly more likely to agree
25 Best Practice 8 Implementation Partially implemented We did a relatively small amount of team trainingIn Finance and HR we had existing teams
26 Best Practice 9The institution should retain ownership of the implementation process.High ranking by both CFO and CIO
27 Best Practice 9 Implementation Project Definition Document Consultants were used, but the emphasis was on skills transfer
28 Best Practice 10A separate dedicated work environment specifically created for the project team aids implementation.Perceptual difference between CFOs and CIOsCIOs significantly more likely to agree
29 Best Practice 10 Implementation Project headquarters Functional and technical users brought to a work environment specifically dedicated to the project team and to building the system.Subjective Assessment: Essential
30 Best Practice 11All employees who will use the software should receive thorough training.High ranking by both CFO and CIOPerceptual difference between CFOs and CIOsCIOs significantly more likely to agree
31 Best Practice 11 Implementation Training room and training team (approx 6 trainers – as many as 30 at times!)Basic Navigation course plus:Finance: 5 coursesHR: 3 coursesStudent: 23 courses4,840 Employees attended 1 or more sessionsAs of May 2003:Total number of sessions: 1,166Total number of attendees: 7,094
32 Best Practice 11 Implementation Detailed instructions for each and every formBanner Help DeskFAQs, How-tosHands-on obligatory sessionsYou only get access to the forms for which you have had trainingDrop-in labs (bring in your real work)
33 Best Practice 12Executive management should help employees network with peers at other institutions undergoing similar implementation initiatives.Mean ranking below 4.6 on a 5 point scale
34 Best Practice 12 Implementation User Group Conferences Summit Active participationSubjective Assessment:Improves quality and efficiency ofthe implementation
35 Best Practice 13It is often necessary for an institution to change its administrative processes to fit the software.Mean ranking below 4.6 on a 5 point scale
36 Best Practice 13 Discussion Vanilla or Vanilla with sprinkles System must be acceptable to end usersHR, Finance more likely to change processes than Student Records
37 Best Practice 14Outside consultants can facilitate implementation efforts.Mean ranking below 4.6 on a 5 point scale
38 Best Practice 14 Implementation Vendor Consultants for hands-on training of implementation team, technical teamConsultants were used to facilitate and validateProcess Improvement AssessmentTotal Consulting: About 4,000 hoursSubjective assessment: Essential
39 Best Practice 15Implementation information should be continuously communicated to the campus community.Mean ranking below 4.6 on a 5 point scaleHave to keep reminding everybody of why we wanted this system anyway in all forums and at all timesCommunications plans for fund holdersCommunications plan for students (30,000)2 posters (logging in; registration), fee statement insert, full-fledged web site, press release (picked up in student handbook)Communications plan for instructors (4,000)2 brochures (Logging in and viewing class lists; Entering grades on web), full-fledged web site6 demonstration sessionsBanner Training room and training teamBanner Help DeskFAQs, How-tos
40 Best Practice 15 Implementation BannerSpeak – quarterly newsletter WebsiteInformation sessions before each go-liveInformation reports to Deans, Senate Committee on Student Affairs, Senate Committee on Information Systems, Computer Users CommitteeSubjective Assessment: EssentialHave to keep reminding everybody of why we wanted this system anyway in all forums and at all timesCommunications plans for fund holdersCommunications plan for students (30,000)2 posters (logging in; registration), fee statement insert, full-fledged web site, press release (picked up in student handbook)Communications plan for instructors (4,000)2 brochures (Logging in and viewing class lists; Entering grades on web), full-fledged web site6 demonstration sessionsBanner Training room and training teamBanner Help DeskFAQs, How-tos
41 Best Practice 16Conversion of data from the old software system to the new should begin early in the implementation process.Mean ranking below 4.6 on a 5 point scaleLowest ranking by CIOs
42 Best Practice 16 Implementation For student system: Converted all electronic “person record” – 450,000 recordsConverted all electronic Student records -250,000Financial data was partially convertedHR Legacy system ( a relatively new system) was converted.
43 What is success, anyway? Possible Definition Success is realizing your vision.
44 What is success, anyway?We stated our vision in a Project Definition Document in 1999:Our vision is of a McGill in which the constituents - faculty, students and support staff, have direct access to secure data, and the means to accomplish certain administrative tasks. Thus students and staff would maintain the appropriate parts of their own records directly. Students, for example, would apply to McGill, be able to track their applications, register for their courses, request student aid, examine their records, via a form of universal access such as the Web. Academic staff would receive course rolls, submit marks, and receive support for academic advising via the Web.
45 What is success, anyway? Possible criteria On time, on budget Only if the scope doesn’t change!Only if Technology doesn’t change!Are all end users happyUnthinkable at an Institution where critical thinking is valuedAre they using the system?If yes, the implementation is a success!
46 Banner Stats Cumulative Client User Logins: 1,165,323 Distinct Client Users : ,695Current client logins (11:00 Monday):Distinct Web Users: ,891Distinct student registrations: ,882Cumulative course registrations: ,779Current web logins (11:25 EST):