An ERP implementation is about more than new technology. It’s about the cultural and process changes your employees will have to adopt in addition to the new technology.
Today, we’re discussing best practices for preparing employees for all these organizational changes. In other words, we’re sharing the keys to successful change management.
What is Change Management?
Change management is the process that guides how an organization prepares its workforce to navigate organizational changes.
These changes may include infrastructure upgrades, corporate structure adjustments, new technology implementation, or improvements in workplace culture.
There are two main types of organizational change: adaptive change and transformational change.
Adaptive changes are meant to meet a new need or adjust to a change that impacts the industry. These changes are usually gradual and may focus on work strategies and product development.
Transformational changes are meant to make sweeping changes to the way an organization functions. The goal is to transform the business into something new. Expanding internationally or developing a new business model are examples of transformational change.
Both types of organizational change can include the implementation of new technologies, like ERP software. When technology is involved, adequate training and education is especially important.
Change Management Case Study
The client recognized their need for more comprehensive change management, so they asked us to fill in the gaps. We developed a robust communication plan to supplement the vendor’s communication approach.
Keys to Successful Change Management
Implementing a change management plan involves several components. Keys to successful change management include:
- Developing a Plan: Developing a working plan to manage change ensures your organizational change management team knows what’s expected of them.
- Preparing the Company: Successful changes only occur when everyone in the company is on the same page. This typically involves cultural preparation. Additionally, this is a good time for the change management team to meet with employees and discuss the reasons behind the change.
- Sharing a Vision: Once employees understand the need for change, presenting the vision for the ideal future state ensures that everyone is working toward the same goal.
More Change Management Best Practices
Developing an organizational change management plan may sound simple on paper, but the more complex the change is, the greater the risk of failure. When planning organizational changes, reviewing and adopting change management best practices is one of the keys to successful change management.
1. Ensure Executives and Team Leaders Play an Active Role
These individuals need to be available and approachable when employees and other team members need guidance.
2. Take a Structured Approach
When beginning organizational change management, be sure to take a structured approach. In the case of an ERP implementation, this means, your change management plan should be fully developed before you start evaluating potential ERP, CRM, or SCM systems.
3. Prioritize Communication
While change management is about more than communication, being able to inform employees about new processes is a must. The change management team should engage with front-line staff, middle managers, and project managers to gather feedback, answer questions, and adapt the change plan as needed.
Change Management Implementation is Rarely Easy
Many organizational change plans fail due to a lack of foresight and alignment. We have found this to be true in nearly all our ERP expert witness engagements.
Contact our change management consultants below for a free consultation.
