How to earn executive support for an ERP change
Information technology teams can easily identify an enterprise resource planning system nearing its expiration date. However, business leaders are less inclined to declare an expensive piece of company infrastructure dead. Last year, implementers spent an average of $1.3 million per ERP project, according to research from Panorama Consulting Solutions. With this much sunk capital on the books, it can be difficult for those in the executive suite to walk away and green-light the search for another solution.
Of course, most internal IT specialists understand that an unsustainable system can result in maintenance overruns and lost opportunity costs that far outweigh initial implementation expenses. With this inevitable situation in store, technology teams must push past initial C-level resistance, craft a strong case for change and ultimately gain the executive support needed for an ERP upgrade. Here are some tried-and-true techniques for achieving this goal:
Begin with directors and managers
The process of gaining executive by-in often begins with a trip to the corner office. However, in this case, IT workers and others searching for change should start with mid-level management, according to ERP Focus. These individuals actually engage with the ERP platform on an operational level, allowing them to offer demonstrable insight into how the system affects day-to-day business processes. If the ERP is falling apart, they can speak to how its diminishing features are weighing on the bottom line. Plus, the simple fact that these individuals, many of whom would normally be opposed to disruption, are advocating for change will get the attention of business leaders.
In addition to simply recruiting managers and directors for support, project leaders should also request any key performance data they might have on platform efficacy, as these figures will further bolster the case for change.
Offer multiple options, including alternatives
For IT teams watching once-functioning systems crumble before their eyes, it can be easy to look past simple improvements and move on to robust platform replacement initiatives. However, many executives bristle at this kind of single-solution scenario – they want options, Panorama Consulting Solutions found. With this in mind, project stakeholders should not only gather supporting information for an ERP swap, but also look into alternatives.
"Technology teams must push past C-level resistance and gain the support needed for an ERP upgrade."
System upgrades and business process improvements are the most common options. If replacement is truly the better choice, this should show through in the research. Of course, this evaluation could also yield a different conclusion.
Select a strong project leader
While planning and preparation can certainly make it easier to convince change-weary executives that an ERP swap is warranted, project teams must also organize internally to present a united front and broadcast a cohesive message. This usually involves assigning roles, starting with the most important position: project leader. Enthusiasm is not the only requirement for individuals assuming this role. First off, ERP project leaders must be able to multitask and possess the soft skills required to facilitate a collaborative environment, according to IT Toolbox. More importantly, these employees should have institutional knowledge and political chops to navigate the organization and cull support in the C-suite.
Additionally, team leaders with effective communication skills are especially useful in early planning sessions involving executives, as they can easily discuss the project and answer any questions – even the tough ones.
IT stakeholders and others in the business who believe an ERP upgrade is necessary can use these strategies to take their concerns to the C-suite and ultimately win support. Of course, once the project receives a stamp of approval, the solution planning and vendor selection phases come next. Enterprises across the country connect with Accent Software when this time comes. Why? As a Microsoft businesses solutions partner, we offer the Dynamics NAV platform, the perfect ERP solution for enterprises of all sizes. Learn more about our offerings today.