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Group 5 change management presentation
1. Evaluation of change
management during ERP
implementation at
Easy Mobile
GROUP 5
Henry, John, Sonwabo, Ted and Ian
2. DEFINITION
Change management is an organized, systematic application of
organized,
knowledge, tools, and resources of change that provide organizations
with a key process to achieve their business strategy
OBJECTIVES
The case study seeks to evaluate the process and impact of change
management intervention at Easy Mobile wireless implementation of an ERP
system.
It is going to look at :
how the process of change management was implemented against
theoretical and industry practices.
It will identify the key challenges, opportunities and actions
undertaken as part of the intervention
and make recommendations for future improvements.
3. WHY CHANGE MANAGEMENT ?
The potential risks of ERP failure are caused by;
Fear of the psychological aspects of change by management and staff.
Employees fear of acceptance due to their limited ability to perform at a level required by the system,
Potential need for staff re-skilling and this lends it’s self to lower productivity levels due to learning curve
re-
phenomenon
ERP systems impose their own logic on organisations and they may be a source of cultural change
They tend to alter internal power structures which results in resistance to change
ERP systems usually result in managers loss of their autonomy, independence, control of data and process
hence they hence they are usually resisted by those losing power and accepted by those gaining power.
Change management initiatives help to;
Minimise the adverse effects of resistance to change, these could include
High implementation costs,
Poor service delivery resulting in loss of competitive advantage,
Loss of staff.
Deliberately manage people’s expectations about change.
Minimise the cost of change and damage caused by transformation.
Create an environment for employees to respond consistently and positively to the change.
change.
Provide awareness
Ensure understanding
Facilitate acceptance
Care, listen, and respond
Manage people’s expectations
Ensure readiness
Champion the project
4. CHANGE MANAGEMENT ROAD MAP
Knowledge Strategy implementation phase Status evaluation
formulation phase phase
This phase involves; This phase involves; This phase involves;
• identifying skills gaps. • addressing issues raised in the previous phase. • ongoing monitoring
• gathering information • It deals with the most fundamental human and evaluation of
about employees need “what’s in it for me” the ERP
personal tyrannies • communication about ; implementation
regarding the system. how the system will work, strategy
cost saving opportunities that will be realised • and providing timely
the timeliness of information. and accurate
Integrity of information that will be produced. feedback for
• System endorsement by opinion leaders. management to take
corrective action.
Based on Aladwani model(1998 )
5. Organizational Change Phases
and Communication
Comfort
Unaware
Insight
Denial
Anxiety
What will I do differently tomorrow?
tomorrow?
6. Easy Mobile ERP
Change Management Strategy
Data conversion to
Easy Mobile Oracle
ERP Prototype Easy Mobile Oracle
Easy Mobile Oracle Easy Mobile Oracle ERP System
ERP Prototype ERP Prototype (CRP across Supply Chain
Training Material Transition Support
System 3) sign off Module, Finance,
Project Accounting Strategy
& Asset Tracking
Communications Support:
Support:
•Creating a shared understanding of the Build phase deliverables and milestones.
milestones.
•Creating a Build Phase Awareness amongst all stakeholders
•To maintain a positive perception about the e-volution project
e-
Impact Analysis: People, Processes, Strategy, Structure, Technology, Policies
We need to understand what is going to be different and determine the impact on
people so that we know what to do to support people to understand and adopt the
system
7. REPORTED RESULTS OF EASY MOBILE
CHANGE MANAGEMENT
Satisfactory outcomes
Active and visible sponsorship
Use of organizational change management processes & tools
Effective communications
Employee involvement
Effective project leadership and planning
Unsatisfactory outcomes
The change agent forced to change personnel during implementation.
implementation.
The long engagement duration => Executive fatigue and disengaged.
disengaged.
Change initiative scope limited to implementation
Off-
Off-site resort engagements created an ERP elite club perceptions.
perceptions.
Unqualified process champions identified late.
late.
The leaders who lost control of processes resisted the change.
change.
8. RECOMMENDATIONS / OPPORTUNITIES FOR
FUTURE IMPROVEMENT
Ask for employee’s ideas/suggestions for implementing the change
Extend due to diligence to the change management not just the technology
provider.
provider.
Communicate the expected engagement duration upfront to avoid fatigue
Engage the change management agent beyond the project implementation.
implementation.
Do a skills audit prior to project implementation.
implementation.
Prepare leaders lead change but to also accept change and loose power.
power.
Create internal capacity to sustain the communication hype created by the
project.
CONCLUSION
On the overall the change management process was successful and the right
methodologies were used.