As the project sponsor or project manager of a mid-sized company, you start your project feeling confident that everything is set for a successful NetSuite ERP implementation. The project team can articulate their future business process state along with desired outcomes for your new ERP system. You’ve chosen the best technical platform for your business and a trusted third party integrator to help deliver the system. What could go wrong?
One of the most overlooked aspects of project success is a framework called Organization Change Management (OCM). This framework manages the effect of new processes upon the employees who will run the new ERP system after the project team delivers the system. A perfect system is useless without user adoption.
Why is OCM important to project Success?
There are 3 components to an ERP project; Process, Technology and People. Most projects focus on process and technology but don’t spend enough time on the group of people beyond the project team. Sure, right before go-live, projects always include this group in end user training. However, they don’t spend time communicating the why, what and how of the project in the beginning and throughout the life of the project.
One of the biggest reasons for project failures revolves around people issues – employee opposition, no perceived need for change and organizational cynicism. If not addressed, this can result in confusion, increased project costs/delays and failure to achieve project goals. The goal of an OCM plan is for a sustained adoption of your new ERP system. This requires employees to develop a sense of ownership. The best way to build this approach is a progressive process in your organization building from awareness to desire, understanding, empowerment and ending with ownership.
How do I get started?
With NetSuite, there is a playbook and templates available to help with Organization Change Management. The playbook takes care of the effort to set up this type of program and provides the project team a week-by-week action plan for the development and roll out of this change initiative.
The Change Management Customer Playbook deliverables include:
- Change Vision
- Stakeholder Analysis
- Steering Team Charter / Governance Model
- Reward and Reinforcement Plan
- Sustainability and Quality Assessment
You can staff this with your own resources or work with the experts at RSM to ensure effective Organization Change Management.
By: Jack Schnabel