Tag Archive: project managers

ERP Project Success: How to Be Part of The 20%

November 2nd, 2016
ERP Success

More and more clients are pursuing ERP implementation projects as executives realize they need better tools to support business objectives – growth, service, margins, cash and the like.

When implemented well, ERP systems can support substantial business growth without the additional investment in resources. Certainly, as the minimum wage goes up and workers’ compensation and healthcare are such significant issues, it is something many executives are thinking about! However, ERP systems can do much more – they can help collaborate with customers and suppliers. Those with the best-extended supply chains will thrive in the end, and so it makes sense to take a look at upgrading ERP.

Thus, finding a way to successfully implement an ERP system is of paramount importance, yet the statistics dictate less than stellar performance. Typically, 80%+ of ERP system implementations fail to achieve the expected results. As experts in this space, we can attest that several of these are due to unrealistic expectations without the associated resources and efforts to ensure success; however, either way, ERP success can prove elusive.

Therefore, understanding how to give you a leg up with strategies for success can be vital. Ignore all the best practice mumbo-jumbo and focus on what will really matter:

1. It’s all about the people: As with almost every business success, ERP success is no different. It goes back to the leader – and the team. Have you assigned whoever is available to lead the project team? Or have you put thought into it? Have you freed him/her up from their regular activities or made sure he/she can dedicate the time required? Are you saving your “A” players for growing the business and your day-to-day responsibilities instead of ERP? Sound odd? Well, we come across this on a daily basis in our consulting business. How about the software supplier’s project team? Why should you be worried about them? You shouldn’t unless you are interested in success.

For example, we’ve been involved in several ERP selection projects lately and have stayed involved to ensure the process designs would support business objectives in the best way possible, and, unfortunately, we can convey countless examples of the 80% that run into issues with people. For example, in one case, the project leader was on top of things – truly much better than the average project leader for the size company yet the project still struggled due to people issues. The software supplier ran into trouble with their project manager. You never know what can go wrong and so it’s smart to remember to keep your eye on the importance of people.

2. Focus on design: The reason we often stay involved with the design process is that this is one of the critical success factors to ensuring ERP implementation success. The quandary is that this type of role requires a broad and diverse skillset, rarely found in project managers.

The skills required include a broad, cross-functional process expertise, an understanding of database design, an understanding of down-the-line impacts of typical system transactions, an understanding of report writing/ programming and the ability to communicate effectively and bridge the gap between the technical and application resources. In our experience, we run across this type of resource 5% of the time in our clients. On the other hand, we run across this type of skillset perhaps 30% of the time with the ERP resources; however, the really bad news is that even though the capability exists 30% of the time, it is used perhaps 10% of the time. The ERP supplier does not want to dictate the design as it will be “their solution” instead of the “client’s solution”, and it is a trick to communicate effectively enough such that the client believes it is their idea or is accepting of the information.

Is it any wonder ERP projects fail miserably?

3. Focus on what could go wrong: It is often rather difficult to keep the ERP project team positive and moving forward because they are causing disruption to the day-to-day success of the business and pushing the envelope with new ideas (sometimes perceived to be threatening or ill-conceived) and process changes which might or might not be accompanied by organizational changes (another key issue with ERP success). Thus, no one wants to create more havoc by deliberately creating tension, thus, forcing practice when mistakes are made and transactions go awry is overlooked. However, this is exactly what must occur to ensure success. Deliberately try to screw up the system when testing. It is not to be a “naysayer” (which can sometimes be the perception) but it is to make sure the team knows how to back out of bad situations. It is far better to “break” the system in test than with your #1 customer!

We cannot tell you how much nonsense we’ve heard about “system XYZ” is set up to perform best practices and so the team just doesn’t want to deal with change. In 95% of the situations, this statement isn’t true. Instead, forget about all the hoopla about best practices and focus on these 3 keys to success; results will follow.

Did you like this article? Continue reading on how to strengthen your Eagle Eye:

“I’ve Been Thinking” About How Challenging ERP Can Be!

Leadership during Busy Times

 



Lisa Anderson Reaches Publishing Milestone with Project Times, an Online Hub for Project Managers

August 2nd, 2016

70ProjectTimes

LMA Consulting Group President Lisa Anderson adds another key achievement to her many accomplishments by providing advice, guidance, strategic tips and assistance to those in supply chain, manufacturing, project management and distribution in over 70 blog post articles in Project Times, an online resource for project managers. Since 2009, Anderson has been a regular contributor to this ultimate PM destination for news, tips, resources and articles and regularly publishes on topics of project planning, project management software, project leadership and project manager skillsets.

“I’m partial to the plight of the project manager since so much is contingent on the successful oversight of a project’s implementation,” explains LMA Consulting President Lisa Anderson. “Solid project leadership delivers dramatic – and critical – results for manufacturers and distributors in today’s Amazon-impacted business environment. Thus, equipping your resources with knowledge of the best tools and strategies to ensure success delivers key customer initiatives, improves service, increases profit and accelerates cash flow. Project Times is an excellent resource that project managers can use 24/7, and I’ve been pleased to provide content for the past seven years.”

Celebrating its eleventh year, LMA Consulting Group helps growing companies make and keep bold customer promises while elevating overall business performance and profits. Anderson, who was named to the top 100 best global supply chain management blogs bySupplyChainOpz, and also recognized as the 16th most influential in supply chain management and sustainability by technology leader SAP in the “Top 46 Resource and Optimizations Influencers (Plus a Few Others),” started LMA Consulting Group as a regular content contributor in topics including supply chain, ERP and SIOP. Anderson has been interviewed for articles in publications like Industry WeektED Magazineand the Wall Street Journal. She actively posts educational blogs three times weekly and has two newsletters, Profit through PeopleSM and “I’ve Been Thinking.” For information about Lisa Anderson, go to https://www.lma-consultinggroup.com/ or call 909.630.3943.