Change is a Process Organizational Stages Individual Stages (ADKAR) Business Need Concept and Design Implementation Post-Implementation Awareness Desire Knowledge Ability Reinforcement

The Processes Stage Description Awareness of need for change -- reasons, and degree of comprehension Desire to participate and support -- motivating factors and consequences and level Knowledge about how to change -- skills and insights Ability to implement new skills and behaviors -- evaluate level and determine shortcomings Reinforcement to keep the change in place -- incentives and constraints to make it stick For Individual Change Management

Large Systems Implementation  Get Started: Situational Analyzes: Audit Assessment I  It takes too log to respond to changes in the industry. We want to improve on our production capacity Need to centralize accounting

 Audit Assessment I and II End Result Match it’s true needs. Generate competitive advantages in the short run. Are consistent with the company’s long- term strategy.

Large Systems Implementation  Getting Ready  First Cut Education What is ERP? Is it for us? Does it make sense for our business? What will it cost? What will it save? What are the benefits we’ll get if we do it the right way?

Large Systems Implementation  Who needs first-cut education Top management Operational management End users

Large Systems Implementation  Mission Statement The executives’ and managers’ knowledge of: The company and its problems. (Where are we today?) Its strategic direction. (Where are we going?) Its operating environment. (What does the marketplace require?) Its competition. (What level of performance would gain us a competitive advantage in that marketplace?)  Measurable  What was learned in first-cut education.

Large Systems Implementation  Why Cost/Benefit Analysis Job 1 is to run the business. Job 1’ Need top management commitment Fund allocation

Large Systems Implementation  Cost/Benefit Analysis Cost analyzes  A = People  B= Data  C= Computer

Large Systems Implementation  Go/No-Go Decision Are we financially ready Are we resource ready Are we priority ready Are we psychologically ready

Large Systems Implementation  The Written Project Charter Vision statement  What the company will look like following implementation Levels of performance to be achieved Costs and benefits, and time frame.

Large Systems Implementation  Launching the Project Form Project Leaders  Full-time  Internal person  Should have an operational background  Carefully selected Deep organizational knowledge, good interpersonal skills,

Large Systems Implementation  Launching the Project Project Team This is the group responsible for implementing the system at the operational level. The project team consists of relatively few full-time members

Large Systems Implementation  Launching the Project Project Team jobs include: Establishing the ERP project schedule. Reporting actual performance against the schedule. Identifying problems and obstacles to successful implementation. Making decisions, as appropriate, regarding priorities, resource reallocation, and so forth. Making recommendations, when necessary, to the executive steering committee Doing whatever is required to permit a smooth, rapid, and successful implementation of ERP at the operational level of the business.

Large Systems Implementation  Project Team Meeting A typical meeting would consist of:  Feedback on the status of the project schedule—what tasks have been completed in the past week, what tasks have been started in the past week, what’s behind schedule.  A review of an interim report from a task force that has been addressing a specific problem.  A decision on the priority of a requested enhancement to the software.  A decision on questions of required functionality to meet the specific business need.  Identification of a potential or real problem. Perhaps the creation of another task force to address the problem.  Initiation of necessary actions to maintain schedule attainment.

Large Systems Implementation  Executive Steering Committee Consists primarily of the top management group in the company. It’s mission is to ensure a successful implementation. The project leader is on the steering committee for communication purposes

Large Systems Implementation  Executive Steering Committee Meets once or twice a month Review of the project’s status. The project leader reports on progress relative to the schedule. The seriousness of schedule delays are explained. The critical path is reviewed and plans to get the project back on schedule are outlined. Additional resources required are identified, and so on.

Large Systems Implementation  The Torchbearer The term torchbearer refers very specifically to that executive with assigned top-level responsibility for ERP. The role of the torchbearer is to be the top- management focal point for the entire project. Typically, this individual chairs the meetings of the executive steering committee.

Two group structure