Transcript Document 7807657

ERP Change Management –
Getting from Here to There
Pam Waters
Change Management Team Leader
Department of Technology & Information
State of Delaware
Delaware’s ERP Background
• State of Delaware
– 67 Organizations
• 35 State Agencies
• 19 School Districts
• 17 Charter Schools
• 36,000 Employees
• 12 Unions Represented
– 37 Different Locals
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State of Delaware ERP Systems
ERP Systems
In Progress
Implemented
PeopleSoft HCM V 8.8
(HR/Benefits/Payroll)
PHRST
X
eBenefits
X
Time & Labor V 8.8
X
PeopleSoft Financials V
8.9
X
X
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Delaware
PHRST
Payroll Human Resources
Statewide Technology
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ERP Lessons Learned
•
•
•
•
•
High – level commitment
Acquire “Best of the Best” state resources
Avoid modifications – re-engineer 1st
Visionary Change Management
Production support project plan
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Why ERP Implementations Fail
• 42% Leadership
• 27% Organizational & Cultural
Issues
• 23% People Issues
• 4% Technology Issues
• 4% Other
• Organizational issues left unchecked
often lead to project failure
Source: Organization Dynamics, Jim Markowsky
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Planning for ERP is a
Critical Success Factor
Addressed Primarily
by Organizational
Change Management
People
Addressed Primarily
by Business
Process Redesign
Process
Type
Type
Technology
Addressed
Primarily
by Package
Type
Type
Type
Type
People and process issues are sometimes overlooked in
planning for this type of project. They need to be addressed
for the project to be a success.
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Department of Technology &
Information
Office of Major Projects
Change Management Team
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State CIO
Technology Investment
Council
Chief Program
Officer
Project Management
Team Leader
Change Management
Team Leader
PMO
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Process Integration
Project Management
Project Initiation
Organizational
Change Management
Preparing for Change
Project Planning
Managing Change-Planning
Project Executing
Project Controlling
Managing Change-Execute
Project Closing
Closing/Monitoring Change
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Organizational
Change Management
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What is Organizational Change
Management?
• Definition
– The organized, systematic application
of knowledge, tools, and resources of
change that provide organizations with
a key process to achieve their
business strategy
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Organizational Change
Management Objectives
•
•
•
•
•
•
•
Provide awareness
Ensure understanding
Facilitate acceptance
Care, listen, and respond
Manage people’s expectations
Ensure readiness
Champion the project
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Greatest Success Factors
• Active and visible sponsorship
• Use of organizational change
management processes & tools
• Effective communications
• Employee involvement
• Effective project leadership and
planning
Source: Prosci Benchmarking Report
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Greatest Obstacles
• Resistance from employees and managers
• Inadequate senior management &
sponsorship
• Cultural barriers
• Lack of change management expertise
Source: Prosci Benchmarking Report
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Change Management Standards
• Prepare with the project team
– Assess change/culture
– Develop/educate team
• Manage the strategy
– Develop and manage the plan
– Track/report readiness
– Develop training strategy
• Reinforce/Support
– Celebrate success
– Analyze feedback and prepare to manage
resistance
http://dti.delaware.gov/majorproj/standards.shtml
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Organizational Change
Management Tools
•
•
•
•
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Organizational & Project Attributes Assessment
Project Readiness Assessment
Stakeholder Analysis
Sponsor Roadmap
DTI Readiness Methodology
– Communication Standards
– Reporting/tracking standards
– Control Book
• Measures of Success/Lessons Learned
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Assessing the Organization
Risk Determination Table
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Organizational
Attributes
Small
incremental
Medium
Risk
change to a Change
Resistant Organization
Large
Disruptive
Change
High
Risk
to a Change
Resistant Organization
Small incremental
change
a Change-able
Lowto Risk
Organization
Large Disruptive Change
to
a Change-able
Medium
Risk
Organization
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12
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Change Characteristics
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[1] Modified from Prosci.
ERP Team Model
..
..
..
Yellow
Team
Change
Management
Coach
..
Communications
Coordinator
Change
Management
Coach
Blue
Team
Project Team
Change
Management
Project Lead
Change
Management
Coach
Red
Team
Project
Director
Change
Management
Coach
Green
Team
Executive
Sponsors
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ERP Change Management
Team – Project Members
DTI CM
Team Leader
DTI CM
Project Lead
•Manage the resources
•Manages the CM project plan
•Receives status from the Readiness
Lead
•Reports status to the Project Manager
and Project Director
Readiness
Coach
Readiness
Coach
Readiness
Coach
Readiness
Coach
Communications
Coordinator
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ERP Change Management
Team – Project Members
DTI CM
Team Leader
DTI CM
Project Lead
•Works with the coaches to compile checklist
activities, communications, workshops etc.
•Receives status of organizations from the
coaches
Readiness
Coach
•Reports status to the DTI CM Team Leader
Readiness
Coach
Readiness
Coach
Readiness
Coach
Communications
Coordinator
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ERP Change Management
Team – Project Members
DTI CM
Team Leader
DTI CM
Project Lead
Readiness
Coach
Readiness
Coach
Readiness
Coach
Readiness
Coach
Communications
Coordinator
•Communicate activities
to the Readiness
Coordinator
•Track organizations’
progress
•Report status to Change
Management Lead
•Help facilitate
workshops & focus
groups
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ERP Change Management
Team – Project Members
DTI CM
Team Leader
DTI CM
Project Lead
Readiness
Coach
Readiness
Coach
Readiness
Coach
Readiness
Coach
Communications
Coordinator
•Develops communication plan
•Creates branding/logo
•Tracks communications sent
•Develops PPT presentations
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ERP Change Management
Team – Organization
DTI CM
Team Leader
Usually a subject matter expert
(SME)
•Is empowered to delegate
checklist tasks to the appropriate
resource within their organization
•Ensures timely completion of
tasks
•Signs off on monthly checklists
and returns to their coach
DTI CM
Project Lead
Coordinator
Readiness
Coach
Coordinator
Readiness
Coach
Coordinator
Readiness
Coach
Coordinator
Readiness
Coach
Communications
Coordinator
•Forwards communication to the
appropriate individual
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Chief Program Officer
DTI
Project Manager
Change
Management
Project Lead
Coach
Coach
Training
Manager
CM Team
Leader
Coach
Training Project
Plan Mgr.
Help Desk
Specialist
Training Team
Lead
Communications
Developer
Trainers/
Designers
SME’s
Coordinator
Coordinator
Coordinator
HD Agent
Coordinator
Coordinator
Coordinator
HD Agent
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“Readiness”
Preparing/Tracking/Reporting
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DTI Readiness Methodology
All
Project
Teams
I
N
P
U
T
Functional
Impacts
Master Readiness Tracking
Spreadsheet
Readiness
Checklist
Functional Impacts
Documentation
End Users
Successful System Implementation
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Functional Impacts
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Master Readiness Tracking Spreadsheet
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Readiness Checklists
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Executive Sponsor Reporting
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Managing Change
On-site Tracking Station
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End-User Identification & Skills
Inventory
• End-User Inventory
– End-User Identification
– Manager/Supervisor Identification
– Specify Key-End User
– Skills Gap Analysis
– Identify IT Support Personnel and
Technical Specifications
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End-user Inventory
1st
End-user Identification and
Demographic Information
2nd
Skills
Inventory
3rd
IT
sppt.
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“Readiness”
Communication
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Change Management as
Communications Hub
Sponsors
Supervisors
PM Team
CM Team
Partner
Groups
End-Users
Business
Owners
MGRs
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Organizational Change Phases
and Communication
Comfort
Insight
Unaware
Denial
Anxiety
What will I do differently tomorrow?
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Who/What?
Senior Executives
The change and impact on the
organization
• Why is this system
necessary?
• Align the change with the
mission/vision and
strategic direction of the
organization
• Offer a broad overview of
how the organization will
transition – what & when
• Present the benefits
• Identify business risks of
not changing
• Make sure the
organization knows this
will happen – not an
option
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Who/What?
Managers
Supervisors
The change and the impact
on the individual
• Provide the ‘what's in it for me’
information – how will roles change?
• How will I get the training to do my
new job (will I be able to do the job)?
• Ask for employee’s
ideas/suggestions for implementing
the change
• Provide timely & and accurate status
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Master Communication Plan Sample
•Event
•Scheduled date
•Audience
•Communicator
• Release Authority
• Status
• Comments
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Communication Tracking
Spreadsheet
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•
•
•
Communication Title
Media
Date Sent
Sent from and to
•
Follow-up Needed
– Yes
– No
•
Type of Follow-up Needed
–
–
–
–
– Organization/Team
– Phone
– Email Address
•
Meeting
Phone call
Email
Other
Comments
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Information Sheets
Awareness Info Sheet
Coaching Info Sheet
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Training
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Training
Develop
• Training strategy
• Training Plan
• Training Design
• Materials
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Training Plan Strategy
• Identify different audiences who require
training
• Conduct training needs assessment
and skill gap analysis
• Document requirements for the training
team
– Training development schedule
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Coaching
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Coaching Plan
• Customized Coaching Plan
• Prepare managers and
supervisors to coach their
employees through the change
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Transition
Develop
• Transition plan
Train
• Organization resources
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Analyzing/Transitioning Change
• Transition
– Knowledge Transfer Plan
(Transfer ownership to Project Owner)
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•
•
•
•
Communication
Focus Group Meetings
Key End-User Meetings
Manager/Supervisor Meetings
On-going Change Management responsibilities
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Analyzing/Transitioning Change
• Collecting, Reporting, and Analyzing
Feedback
– Compliance Audit
– Post-Implementation Review Process
• Transitioning to the Business Owner
• Celebrate!
– Milestones/successes
– Implementation success
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Monitoring Change
Survey End Users
• Post implementation
– Three months
– Six months
– One year
• Complete control book
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–
–
–
–
Lessons learned
Survey results
Training and meeting evaluations
Help desk call analysis
Checklist statistics
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Lessons Learned Board
• Describes knowledge gained from experience
• Captures lessons learned throughout a project lifecycle
• Process:
– An onsite board is established and divided into the following
categories:
• What we did that we want to do again
• What we did that we never want to do again
• What we did not do and should have
• What we did, worked okay, but could be improved in various
ways.
• Outputs: Lessons Learned Spreadsheet, Lessons Learned
section in Control Book, Project Management updates as
required.
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Integration is Key
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Achieving
Successful Organizational Change
1. Dedicate resources to Organizational
Change Management
2. Secure visible executive sponsorship
early in the project
3. Repeat key messages early and often
4. Involve employees in the change process
5. Create a transition strategy with
achievable timeframes
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Change Management Team
• Tracks, measures, and reports readiness
• Identifies critical roles and individuals to act
in these roles
• Plans for change and manages it as a
process
• Assesses organizational readiness
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Change Management Team
• Educates individuals about change
• Communicates in a clear, honest, open
manner
• Demonstrates commitment through active
involvement and role modeling
• Solicits sponsor involvement when
necessary
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Change
Management
Processes
Preparing
Organization is
Assessed
CM Team is
Established
Managing Planning
Change Management
& Communication
Plans are Developed
Review
Identify
• Change
Characteristics
• Org Attributes
• Project
Attributes
• Sponsor
• Stakeholders
• Key End-Users
• Place on Risk
Determination
Table
Complete
• Organization &
Project
Assessment
• Stakeholder
Analysis
Review
• Organization
and
Project
Assessment
• Stakeholder
Analysis
Communicate
• Results of
analyses to
organization
project team and
sponsors
Gain Commitment
• Project Sponsors
• Organization
Change Agents
• Existing Business
Processes
• Existing Forms
• Existing Policies
• Existing Procedures
• Hardware/Software
Requirements
Document
• Process Changes
• Functional Impacts
Create
• Master Readiness
Tracking Spreadsheet
• Change Management
Project Schedule
• Understanding and
Impacts Info Sheets
• Feedback Mechanism
Determine
• Sponsor Model
• Avenues for
communication that
will be used
• Timing, audience,
method, topic for
important
communications
Identify & Recruit
• Individuals to act as
coordinators for
project implementation
• Hold CM Team kickoff
meeting
Managing Executing
Tracking,
Measuring &
Reporting
Review
• Master Readiness
Tracking
Spreadsheet
• Functional Impacts
• Hardware/Software
Requirements
Develop Monthly
• Checklists
• Detailed instructions
for checklist items
• Supplemental
checklist material
Collect and Track
• Requested checklist
information from
organizations on a
monthly basis
Training and
Coaching Plans are
Developed
Develop
• Training Strategy
• Training Plan
• Training Design
Material
• Training and
Coaching Info
sheets
Transition Monitoring
Transition
Develop
• Transition Plan
• Countdown to
System
Implementation
Train
• Organization
resources
Analyze
• Current and
new job duties
• Determine
need for job
reclassification
• Inform
sponsors or
job reclass
implications
Monitor
progress
Survey Endusers
• Postimplementation
week, one
month, three
months, six
months, one
year
Complete Control
Book
• Lessons
Learned
• Survey results
• Training and
meeting
Evaluation
results
• Help desk calls
analysis
• Checklist
statistics
Update
• Onsite readiness
tracking station
• Master Readiness
Tracking
Spreadsheet
• Monthly checklist
summary document
Report
• Readiness statistics
to Executive Steering
Committee
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Pamela M. Waters
Change Management Team Leader
State Of Delaware
William Penn Building
801 Silver Lake Boulevard
Dover, DE 19904-2407
Voice: 302-739-9815
Fax: 302-677-7068
Email: [email protected]
SLC: D-410
Q A
&
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