Effective ERP Leadership

11/4/2010 at 12:29 pm by The Sage ERP Team

When asked what determines the success or failure or ERP projects, ERP professionals invariably cite leadership, good project management and a strong core team as being among the factors that influence the outcome of any ERP implementation.

Of course, these factors are also some of the most “human” elements of ERP projects, meaning that they carry the greatest potential for mistakes. While machines, algorithms and software programs rarely make errors, they can’t cZompete with the direction, motivation and information that a human leader provides. Like any leader, however, ERP core teams and project managers carry an enormous responsibility. That’s why choosing the right people for the job is essential.

So what’s important in your ERP leadership team? There are no hard-and-fast rules, but these tips might help increase your chances for success.

Choose level-headed professionals.

In some instances, having a young, hot-headed, even inexperienced person lead a team can be a good way to bring out new ideas and reinvigorate employees. However, this is generally not the case when it comes to major investments such as ERP.

The person leading an ERP implementation project needs to be a calm, rational individual who will be able to handle a challenge. Since employee resistance can sometimes play a role in ERP implementation, ERP leaders should also be adept at fielding questions and quelling employee fears. Choosing an ERP leader who is skilled at change management is a great way to make sure that your ERP leadership team is a uniting, rather than divisive, force.

Look for experience.
In many cases, members of an ERP core team are people who also served on the selection committee. If you choose to select a new core team, it’s important to determine who the “subject matter experts” will be for each functional area, so that responsibility is delegated efficiently and intelligently. Select people who either have a long history with the company and are knowledgeable about many areas, or people who have been involved in a system implementation previously, even if they are newer to the corporation.

Remember, the individuals you select for your ERP core team will be shaping the future of the organization.

Make expectations clear.
One reason that leadership can fail is because leaders don’t understand their own projects. In order to make sure that your ERP core team and project managers succeed as leaders, make sure to adequately define the scope of their involvement early and transition existing projects or responsibilities to other individuals. When ERP leaders understand their roles clearly, they’re more prepared to help others understand their roles. This can help minimize change resistance and keep everybody on track.

The quality of the input and effort of the team have a major impact on the success or failure of the ERP system as a whole.

As with any project, choosing effective leadership for your ERP implementation is an important way of ensuring that the program stays on track. You can’t be everywhere at once, and the leaders whom you delegate to your ERP project will be your voice in the places you can’t quite reach – so choose carefully.