Change is always disruptive. It is imperative for companies to transform their processes and strategies to remain relevant in an ecosystem that is ever-evolving. However, organisations embark on business transformation journeys and often get mixed results. Failed attempts to ERP upgrade programme result in cost, scope and time overruns. Most enterprises fail to make the cut owing to their faulty change management.A 2017 report by Panorama Consulting suggests that 84% of respondents stated either a moderate or intense focus on change management.
Since business transformation when implementing an ERP solution is a daunting task for most companies, we have compiled a list of top five change management techniques that will help your enterprise transform smoothly and help align processes, resources, and people.
1. Simplify the change
Don’t try to change everything at once. Keep your change goals simple and attainable. Implement A/B testing to assess impact of each tiny change. Conduct changes in an iterative manner and constantly map tactics, results and objectives. Keep realigning strategies to respond quickly to insights that you gain from each analysis exercise.
2. Institute a committee that exemplifies the change
Formulate a steering committee of members from your enterprise. These are the decision makers and have the power to execute change, implement tough decisions and handle resistance. Make sure they understand the reasons and goals of the change and fully believe in the vision.
3. Ask for feedback, even before you begin implementation
Often feedback on implemented changes is sought after knee-deep in the steam. Ask for feedback during the ERP strategizing stage and do not forget to include employees or other stakeholders who are most affected by the change. Always keep in mind that for a change to result in higher returns, total alignment from all quarters is required.
4. Do a change trial on a treatment group
First, introduce the change on a limited group of people (treatment group) of stakeholders. Watch for changes in productivity, finance, morale or whatever else you aimed for and modify campaign accordingly. In this way, your informed decision can then be escalated on the rest of the stakeholders.
5. Communicate, communicate, communicate
Simply asking for interim feedback on introduced changes will not suffice. Project the company’s vision and list out any milestones achieved during the change process to make the change more acceptable. Some changes may require elimination of roles from the hierarchy, for instance a bookkeeping automation drive may lead to shake down of the finance department. In this case, explain the logic for the change during employee gatherings or board meetings so that everyone is on board and resistance is minimal.
Business transformation is a tricky task. But if implemented precisely, change can indeed be fruitful. ORION ERP is a comprehensive cloud-enabled solution to help you transform your business effortlessly.