An ERP System functions like the heart of the organization where it has been deployed. Multiple processes are carried out by several concurrent users using the information and functionalities provided by an ERP Software. Over a period of time, users get so accustomed to the ERP System that merely a suggestionof changing the existing ERP System literally pulls the rug from beneath their feet. Some users are so comfortable with the existing ERP System that they can perform most of their functions mechanically without even batting an eye lid.
Changing an ERP System is not an easy decision for an organization of any scale. Switching to a new ERP Software can be like an organ transplant procedure which involves a plethora of complexities. The chances of success are relatively high buta migration failure can bring about tectonic disruptions in the enterprise. When an ERP Software is implemented in an enterprise it slowly adapts and bonds with the system so well that it becomes quite inseparable from the organization’s operational setup.
There are many factors that lead an organization to consider a change or upgrade to their existing ERP System like inability of the system to scale according to the growing needs of the organization. Or when an organization plans a multinational business expansion the absence of a multi-country ERP Functionality can prove to be a setback to the organization’s ambitions. But migrating to a new ERP System is bound to jolt the processes and the organization can only try its best to reduce the intensity of these tremors.
The first obstacle to be negotiated before changing any existing ERP System is to manage employee resistance. Every organization has to face huge resistance from the workforce whenever the management roll up their sleeves to bring about such major change. The prime concern of the workforce is the fear of losing their jobs. This concern is born from the fear that the new ERP System may automate several manual processes leaving many of them jobless. Their apprehensions may be true to a certain extent but they need to be reassured that they would be re-skilled and re-deployed in other processes. The employees must be taken into confidence that the change is for the greater good of the organization and ultimately they would be the one who would be benefited.
The other difficult task that the organization has to take up is to train its employees for the new system. In the course of time, employees get accustomed to an existing ERP Software and their resistance to accept change of any sort increases exponentially. An ERP migration can only become a success if the employees shed their inertia, accept change and get them selves trained well on the new system to make the ERP migration a success. Companies should not skimp on the training cost of the employees when they have already spent a considerable amount on getting a new ERP System.
But however challenging and painful an ERP migration may be, the organization has to evaluate its odds and take a calculated risk to upgrade to a better and scalable system eyeing its future growth plans. It cannot be impervious to dramatic technological advancements which are changing the global business landscape and must be willing to switch to a next generation ERP when the situation demands.
About the author:
Harshit is a PGDM in Marketing and a B. Tech. in Information Technology. He started his carrier with Eastern Software Systems as a Marketing & Communications Executive and has over the years evolved into a seasoned marketing professional with expertise in Digital Marketing, Conventional Marketing and Social Media Marketing. Harshit loves cooking and is always eager to create unique culinary for his friends.