In any large-scale business transformation initiative, there is change. Such transformations, often essential for progress and growth, can understandably make people a bit weary. When it comes to navigating this change, experienced change management experts go beyond just theoretical models for organizational change management (OCM) by employing practical knowledge to lead and help businesses manage major business transformations. During major ERP transformations, like an SAP implementation, change management assumes paramount importance. Organizations undertaking an ERP initiative often encounter several obstacles, from critical systems and process disruptions to cultural resistance and executive buy-in challenges. These hurdles underscore the critical need for a robust SAP Change Management Plan, as in large ERP transformations, employee jobs, job descriptions, and role responsibilities often are impacted. Let’s explore some key principles to consider when prioritizing OCM for an ERP business transformation.

Relying on Theory Alone Isn’t Enough 

Preparing an organization for change related to an ERP initiative is critical to the success of the transition; however, many leaders grapple with unfamiliarity regarding the process – how to address it, how to get started, how to execute – and may begin to research OCM. This research often leads to confirmation of their business transition concern, and their research may point them to many theoretical solutions, partners, or options to conduct change management, which often yields a more theoretical or ‘by the book’ approach.  

While theoretical frameworks for OCM offer guidance, practical experience is indispensable in tailoring change management strategies to align with the organization’s strategic vision. Relying on theory alone can result in the inability to customize the SAP Change Management Plan and coordinate actual mitigation activities. SAP projects, with their vast scope and transformative potential, necessitate a nuanced approach that integrates theory with real-world application to ensure seamless implementation and organizational adaptation. 

OCM Theory vs. Practice 

There are many quality change management models and methodologies in use today. Some of these models include ACMP (Association of Change Management Professionals) Standard for Change Management, Prosci Change Methodology, and ADKAR (Awareness, Desire, Knowledge, Ability and Reinforcement) Change Management model. Information developed in the various change management models teaches organizations about leading theoretical methodologies that could be employed in their change projects as a good starting point. Though lacking in practical application, these principles or models can serve as a foundation to support an organization’s efforts to implement and manage change.  

Building on these foundational elements, practical experience provides the critically missing component to planning and deploying the most effective form of change management programs needed to support ERP implementations, which carry with them significant change at both the organizational level and individual role level. Relying predominantly on change theory doesn’t sufficiently address the organization’s need to support change – only real-world experience based on applied lessons learned and knowledge can truly drive an organization’s change journey. 

Putting Theory into Practice: OCM for an ERP Business Transformation  

So, what does putting theory into practice look like? Below are three considerations for successfully navigating organizational change management for an ERP business transformation. 

1. Engaging experienced change experts means bringing a real-world understanding and knowledge to your implementation project.

Proficient change experts possess practical expertise – obtained from exposure to and experience from many previous engagements. This continued growth of knowledge base and skill is carried over from one project to the next, combining experiences from a multitude of different business entities and industries. In a global scenario, for example, a country’s business practices and cultural differences need to be recognized and factored into the overall change program, allowing the project team flexibility to respond to any applicable nuances.

Successful change practitioners leverage proven change methodology and apply actual lessons learned to build a flexible change plan that will meet the changing organization’s multiple business needs.

2. Producing a well-crafted change management plan with pragmatic goals evolves from insight into the changing organization’s business, culture, and stakeholders.

Adding the practical experience component – complete with functional knowledge and lessons learned – contributes considerably to this planning process. For example, experienced change managers start by understanding the methodology’s purpose and recognizing how, when, and why it can be used successfully, connecting with the organization’s culture and stakeholders. They don’t rely on a “one-size-fits-all” approach. Practical experience enables the change leader to apply suitable flexibility to the process and thus tailor the change management plan to address the organization’s transformation needs.  

A flexible plan should also enable the change team to react to unexpected impediments that often occur throughout the implementation. Practical experience enables the change leader to outline the approach to effectively identify changes and impacts, mitigate or minimize those impacts, and ultimately facilitate long-term adoption and sustainability.
 

3. Understanding an organization’s future vision is critical to enabling that organization to prepare for and embrace change.

Each organization’s transformation differs. Identifying, articulating, and aligning transformation benefits with the organization’s strategic direction enables an experienced change management leader to design and deploy the appropriate change program to directly support the overall organization’s strategic vision. The tasks of identifying and managing change impacts on the people, processes, and technology elements shouldn’t be underestimated; rather, they should coordinate with and advance the strategic vision.

In this manner, adding the practical experience component contributes considerably to the execution of change management. This directly supports the ERP implementation benefits as well as alignment with the organization’s future growth and transformation vision.  

Moving Forward 

Supporting change presents business leaders with numerous challenges. Beginning with the understanding that there is not a “one-size-fits-all” solution to managing change, change leaders leverage the basic theories from change management models and methodologies, knowledge gained from studying the changing organization’s strategic vision, and application of their practical experience.  

Relying considerably on the practical experience component during transitionary phases enables them to build and execute a customized change program that is effective and responsive to the changing organization’s adoption needs and, ultimately, manage organizational change in support of the transformation.  

Partnering with an experienced SAP change management expert will help your team put theory into practice. If you’re looking for guidance on your next ERP business transformation, reach out to us today.  

Contributions from Bill Hansen