ERP Implementation - The Perfect Storm
A few months ago I was offered to manage an ERP implementation project.
Help ERP-system (Eng. Enterprise Resource Planning System - Enterprise Resource Planning System) is an integrated IT-based system for managing internal and external resources of an enterprise (significant physical assets, financial, logistical and human resources). The purpose of the system is to facilitate the flow of information between all business units (business functions) within the enterprise and information support for relations with other enterprises. Wikipedia
I had to take office at the time of the actual launch of the project into commercial operation. This is one of the most difficult and crucial stages of any project. The specificity of this project was that the launch deadline was not shiftable, that is, the project needed to be launched on a specific date, without the possibility of transfer.
Brief description of the project
System: Oracle eBusiness Suit, Oracle Hyperion
Project duration: 1 year, 3 stages
Budget: $ 800K - $ 1,000K
Customer: Air Astana
Developer: BAS (25 people)
Project group: 20-30 people, IT team 6 people
Business functions: Finance, Purchasing, Warehouse, Budgeting and Planning, Human Resources Management
This project was an interesting and rewarding experience for me. I learned very important lessons that I will try to reveal in this post. I do not plan to discuss specific technical solutions and features in this post. My task will be to share aspects of implementation that are usually not described in presentations, brochures and books.
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Getting ready for the storm
It was not an easy task to assume the position of project manager when the project had already lasted 7 months. Many key design decisions have already been made. There was no way to change them, and there was no constructive meaning to challenge and question them. I had 1.5 months to get ready to take over the management of the project.
From the first days on the project, it became clear to me that a perfect storm was coming. The number and scale of changes in existing business processes could create a serious crisis in the company. Since I did not participate at the initial stage of system design, the only thing I had to do was prepare for the inevitable cataclysm as best I could. For me as a new person on a project at first, the most important thing was to build good relationships with business users before difficult times come. I assumed that during a crisis, established communications will play a key role. The first few months I spent working closely with end users, helping them to master the system, conducted trainings, providing work on the technical implementation of the project team.
I think this tactic worked quite well. As a result, during the launch I often had to ask business users to do more than they should and wanted to do. Then strong relationships and communications helped out more than once. In conflict situations, I could find solutions and negotiate trade-offs.
People are not just elements of the system
Another lesson I learned from this project is the importance of the human factor. We planned various business processes, complex schemes, hierarchies, structures. Practice has shown that people are not just elements of the system. Literally in each case, it was necessary to take into account the human factor. At this stage, it was necessary to work more with people, to negotiate, persuade, reconcile, stand up, and sometimes even threaten. In addition, people can get sick, go on vacation, resign, swear, spoil relations, do not understand, refuse to learn. In such complex projects, the human factor should be taken into account in the initial design stages. Unfortunately, in many design techniques nothing is said about this aspect.
People are the most important asset.
When key employees leave, companies suffer heavy losses and damages. When people leave a complex and time-limited project, this complicates implementation at times. During the implementation of the project, key employees left who designed the entire system modules. The loss of such employees created huge black holes that could not be closed within a few months and the negative effect of their leaving is still felt. The question of how to evaluate and retain key employees is a whole separate problem that deserves a separate discussion.
Conflict management
Initially, I clearly defined the role for myself in this project as a project manager - this is to create all the conditions for the project team to fully function. At that time, it was not work on the technical implementation of the system, but conflict management and crisis management. Very often I had to act as negotiator or arbiter between different business units. In the absence of direct powers and formal levers of pressure, it was necessary to negotiate and resolve conflict situations not formally. There were situations when interested persons could communicate only through a neutral intermediary. Often had to play the role of peacemaker.
Failure of the sociotechnical system. Moment of truth
The biggest problem I encountered while working was the failure of the sociotechnical system.
Help Sociotechnical systems - ... approach to the design of the labor process in the aspect of human interaction and technical and technological factors of labor. ... the term refers to the study of the interaction of the infrastructure elements of society, the objective realizations of society, on the one hand, and human behavior, on the other. Wikipedia
Technical problems arise and are solved easier compared to when the social system fails. Fatigue, misunderstanding, lack of communication, multiplied by technical problems, system complexity and uncertainty. All this can create a paralysis of the sociotechnical system. There was a moment in our project when emotions, feelings and patience were on the edge, pressure was going off scale and interested parties reached an impasse. In this situation, it is important for someone to maintain composure and try to find points of contact, to recall the main mission and importance of the project. Fortunately, we managed to overcome this problem through long negotiations and mutual concessions.
Project team
In such a complex project it is important to have a qualified and motivated team. I was lucky, the team with which I happened to work consisted of real professionals. The team managed to create an atmosphere of trust and support that helped to cope with stressful situations and workloads. In addition, in the project work, the motivation of employees is very important, since it is necessary to produce a result in a short period of time with limited resources. Fortunately, each member of the project team understood the importance of the project and their key role.
In general, this project was quite successful. There are negative examples of the implementation of such projects, some even ended in major failures. Of course, there are still difficulties and problems over which to work. But now the storm has passed, the crisis has passed.
Help ERP-system (Eng. Enterprise Resource Planning System - Enterprise Resource Planning System) is an integrated IT-based system for managing internal and external resources of an enterprise (significant physical assets, financial, logistical and human resources). The purpose of the system is to facilitate the flow of information between all business units (business functions) within the enterprise and information support for relations with other enterprises. Wikipedia
I had to take office at the time of the actual launch of the project into commercial operation. This is one of the most difficult and crucial stages of any project. The specificity of this project was that the launch deadline was not shiftable, that is, the project needed to be launched on a specific date, without the possibility of transfer.Brief description of the project
System: Oracle eBusiness Suit, Oracle Hyperion
Project duration: 1 year, 3 stages
Budget: $ 800K - $ 1,000K
Customer: Air Astana
Developer: BAS (25 people)
Project group: 20-30 people, IT team 6 people
Business functions: Finance, Purchasing, Warehouse, Budgeting and Planning, Human Resources Management
This project was an interesting and rewarding experience for me. I learned very important lessons that I will try to reveal in this post. I do not plan to discuss specific technical solutions and features in this post. My task will be to share aspects of implementation that are usually not described in presentations, brochures and books.
')
Getting ready for the storm
It was not an easy task to assume the position of project manager when the project had already lasted 7 months. Many key design decisions have already been made. There was no way to change them, and there was no constructive meaning to challenge and question them. I had 1.5 months to get ready to take over the management of the project.From the first days on the project, it became clear to me that a perfect storm was coming. The number and scale of changes in existing business processes could create a serious crisis in the company. Since I did not participate at the initial stage of system design, the only thing I had to do was prepare for the inevitable cataclysm as best I could. For me as a new person on a project at first, the most important thing was to build good relationships with business users before difficult times come. I assumed that during a crisis, established communications will play a key role. The first few months I spent working closely with end users, helping them to master the system, conducted trainings, providing work on the technical implementation of the project team.
I think this tactic worked quite well. As a result, during the launch I often had to ask business users to do more than they should and wanted to do. Then strong relationships and communications helped out more than once. In conflict situations, I could find solutions and negotiate trade-offs.
People are not just elements of the system
Another lesson I learned from this project is the importance of the human factor. We planned various business processes, complex schemes, hierarchies, structures. Practice has shown that people are not just elements of the system. Literally in each case, it was necessary to take into account the human factor. At this stage, it was necessary to work more with people, to negotiate, persuade, reconcile, stand up, and sometimes even threaten. In addition, people can get sick, go on vacation, resign, swear, spoil relations, do not understand, refuse to learn. In such complex projects, the human factor should be taken into account in the initial design stages. Unfortunately, in many design techniques nothing is said about this aspect.
People are the most important asset.
When key employees leave, companies suffer heavy losses and damages. When people leave a complex and time-limited project, this complicates implementation at times. During the implementation of the project, key employees left who designed the entire system modules. The loss of such employees created huge black holes that could not be closed within a few months and the negative effect of their leaving is still felt. The question of how to evaluate and retain key employees is a whole separate problem that deserves a separate discussion.
Conflict management
Initially, I clearly defined the role for myself in this project as a project manager - this is to create all the conditions for the project team to fully function. At that time, it was not work on the technical implementation of the system, but conflict management and crisis management. Very often I had to act as negotiator or arbiter between different business units. In the absence of direct powers and formal levers of pressure, it was necessary to negotiate and resolve conflict situations not formally. There were situations when interested persons could communicate only through a neutral intermediary. Often had to play the role of peacemaker.Failure of the sociotechnical system. Moment of truth
The biggest problem I encountered while working was the failure of the sociotechnical system.
Help Sociotechnical systems - ... approach to the design of the labor process in the aspect of human interaction and technical and technological factors of labor. ... the term refers to the study of the interaction of the infrastructure elements of society, the objective realizations of society, on the one hand, and human behavior, on the other. Wikipedia
Technical problems arise and are solved easier compared to when the social system fails. Fatigue, misunderstanding, lack of communication, multiplied by technical problems, system complexity and uncertainty. All this can create a paralysis of the sociotechnical system. There was a moment in our project when emotions, feelings and patience were on the edge, pressure was going off scale and interested parties reached an impasse. In this situation, it is important for someone to maintain composure and try to find points of contact, to recall the main mission and importance of the project. Fortunately, we managed to overcome this problem through long negotiations and mutual concessions.Project team
In such a complex project it is important to have a qualified and motivated team. I was lucky, the team with which I happened to work consisted of real professionals. The team managed to create an atmosphere of trust and support that helped to cope with stressful situations and workloads. In addition, in the project work, the motivation of employees is very important, since it is necessary to produce a result in a short period of time with limited resources. Fortunately, each member of the project team understood the importance of the project and their key role.In general, this project was quite successful. There are negative examples of the implementation of such projects, some even ended in major failures. Of course, there are still difficulties and problems over which to work. But now the storm has passed, the crisis has passed.
Source: https://habr.com/ru/post/116391/
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