Change management strategies for successful ERP implementation

When implementing an enterprise resource planning (ERP) system, top management commonly faces an unwanted attitude from potential users ± for one reason or another, they resist the implementation process. Top management should, therefore, proactively deal with this problem instead of reactively confronting it. In this paper, I describe an integrated, processoriented approach for facing the complex social problem of workers’ resistance to ERP. Introduction The enterprise resource planning (ERP) system is an integrated set of programs that provides support for core organizational activities such as manufacturing and logistics, finance and accounting, sales and marketing, and human resources. An ERP system helps the different parts of the organization share data and knowledge, reduce costs, and improve management of business processes. In spite of their benefits, many ERP systems fail (Stratman and Roth, 1999). Many ERP systems face implementation difficulties because of workers’ resistance. Al-Mashari and Zairi (2000) assert that effective implementation of ERP requires establishing five core competencies, among which is the use of change management strategies to promote the infusion of ERP in the workplace. Although some studies tried to address this problem by identifying change management strategies that facilitate the success of ERP implementation, many ERP systems still face resistance, and ultimately, failure. Another stream of research that also deals with the introduction of new products (or ideas) puts forth a different story. Despite the large number of new products and services that they introduce every year, marketers can still achieve high rates of success (Bogart, 1984). Why? I believe the answer rests in the strategies and techniques employed by marketing professionals. The goal of the present paper is to demonstrate how marketing and ERP implementation ideas and strategies together could help overcome workers’ resistance to ERP. ERP implementation strategies A quick review of ERP research revealed different strategies for implementing ERP successfully. One can classify these strategies into organizational, technical, and people strategies. Organizational strategies for promoting ERP The research register for this journal is available at http://www.mcbup.com/research_registers The current issue and full text archive of this journal is available at http://www.emerald-library.com/ft