Shane-Kerry-Sanja---The-Art-and-Science-of-Change-in-SAP-Implementations-libre

CONFIDENTIAL
CC Thomas Hawk http://www flickr com/photos/thomashawk/6214329968/
The Art and Science of Change in
SAP Implementations:
Lessons from 3 Continents ACMP November 2011
Kerry Brown
VP Enablement
SAP North America
Sanja Kopajtic
Sr Business Transformation Consultant
SAP Central and Eastern Europe
Dr Shane Hodgson
Business Transformation Principal
SAP South Africa

CONFIDENTIAL
Managing Change and User Adoption:
Lessons from North America
Kerry Brown
VP Enablement
SAP Education NA
Confidential

People
Collaboration
Mobile
Reach
In-memory
Speed

Did you know?
The number of mobile workers is
growing faster than the
overall workforce!
1 Trillion connected intelligent
devices worldwide"
5 Billion mobile phone
subscribers; 7 in 10 adults
worldwide"
Source 1: Remote Worker Communications
Applications Services, Worldwide 2008
Source 2: Marcia Conner, Bricol’eau !
Source 3: Jim Snabe, SAP
4.5 Billion devices connected
through SAP technology (that’s
90% of world devices)3

©! 2011 SAP AG. All rights reserved. 7Confidential
Initial user
support
Installation, realization, and innovation
More change to
business process
and attrition
Change to
Business process Expert
Functional
Version
upgrade Substandard
Year 1 Year 2 Year 3
Source: U.S. Department of Labor
Live
operation
Note: Attrition rates are generally higher for submanagerial positions

The SAP Marriage
Training budgets are based upon pre-SAP cycles
Training budgets seldom include repeat or continuous training
Day 1: The End of the Beginning
1-3 Years
Planning View: The SAP Wedding
20-25 Years
Client Reality: The SAP Marriage
Investment Scope
Planning Design Configuration Migration
Training/
Readiness
Planning Design Configuration Migration
Training/
Readiness
Run, Enhance, Extend
Courtesy: Michael Doane & Associates

Top Issues Organizations Face During Enterprise Resource Planning (ERP)
Source: Benchmarking Partners (Based on a study of 62 companies that have gone live
with an ERP system) Note: Rounded percentages; not all categories are shown as bars
Issues/ObstaclesUntilNow
People 62%!!
Process 16%
Technology 9%
Knowledge assets 3%
People = driver for ROI and success

Adapted from Remy S.Leeuwin, “Organizational Change”
User adoption = key to business value

Learning in the moment
All learning is social . . .
The exchange of ideas between people equals learning . . .
which is . . . intrinsically social
"! Social learning is participating with
others to make sense of new ideas
"! Social media is technology used to
engage three or more people
"! Social learning is an opportunity
to capture the knowledge of
employees not being shared
"! SAP software empowers people
and learners to work together and
perform more efficiently to drive
performance

Documentation
and
collaboration
(SAP
Productivity
Pak)
Successful change: user adoption and collaboration
Customers of SAP software leverage
select tools to accelerate user adoption
and performance:
"! Introduction: user adoption and
integrated gaming (SAP ERP Simulation
by Baton Simulations)
"! Documentation: authoring and user
performance support
(SAP Productivity Pak application by
ANCILE)
"! Acceleration: tool sets to accelerate
enablement (SAP Knowledge Acceleration
software and e-learning)
"! Validation: User performance monitoring
(SAP User Experience Management
application (SAP UEM) by Knoa)
"! Collaboration: SAP StreamWork
application
Gaming and
user
adoption
(SAP ERP
Simulation)
Streamwork

Incorporate innovation to drive user performance
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Enablement
Courtesy:MichaelDoane&Assoc

CONFIDENTIAL
The Culture of the Goose!
Confidential

CONFIDENTIAL
Lessons from Central/Eastern Europe
Sanja Kopajti#
Business Transformation
Confidential

CONFIDENTIAL
The Science & Art of Change
Management in CEE
Sanja Kopajti#
Confidential

Includes
methodologies,
approaches,
tools and
templates.
Provides
structure and
frame.
The Science of Change Management

SAP´s Systematic Approach to Organizational Change
Management (OCM)
OCM Setup &
Governance
Change
Monitoring
Performance Management
Communication Management
Training & Enablement
Stakeholder Management
Organizational Alignment
OCM framework for SAP implementation projects
MeasuresSetup ControllingAnalysis

It is the “way” each organization adopts changes –
“beauty is in the eyes of the beholder”.
Change becomes the feeling exulted by the poetic metaphors –
the “ meaning between the lines”.
The Art of Change Management

The Role of CM in CEE organizations
TThhee rroollee ooff aa
ppssyycchhooaannaallyysstt::
hheellppiinngg cclliieennttss
ttoo ccooppee wwiitthh
cchhaannggee..

Set up and Governance
TTeeaamm bbuuiillddiinngg::
RRiittuuaallss
TTrraaddiittiioonnss
CCoommmmoonn
ccuussttoommss
HHaabbiittss......

Stakeholders
Make people appreciate the “other” point of view!

Communication
It is not about “what we say” but “how we say it”...It is important to ensure that the
receiver not only has received the message, but has also understood it.

Change Monitoring: Make Change Stick!

CONFIDENTIAL
Lessons from Africa
Dr Shane Hodgson
SAP South Africa
Confidential

One reason for continued project failure is the
notion of management. We talk of “change” or
“knowledge” as though we can ‘manage’ it. We
can accompany change and promote knowledge,
but to suggest change and knowledge
management is presumptuous “
(Gunson and De Blassis, 2002)

5 Key Components of Change Programmes in Africa
1.! Use Narrative and Mythology
2.! Start with Executive Education
3.! Don’t over-complicate or speak
SAPpinese
4.! Sponsorship can’t be delegated
5.! Build Capacity as a policy not a
side-effect

Use Narrative and Mythology
Proponents of This Approach
#!Storytelling – creating shared meaning to mitigate impact of different viewpoints on an ERP project
(MacLeod and Davidson, 2007)
#!Use of Narrative – (Hedman and Borell, 2004) – different kinds of stories are needed. For example:
(1) Chartering stories are aimed at selecting and funding an enterprise system. These stories can can be
used to promote a certain system or the opposite. Stories about the benefits of ERP systems can promote
the idea. Furthermore, stories can be used to obtain the commitment of top management.
(2) Project stories are aimed at supporting the configuration and implementation of the system. The role of
mentors (super users) and stories in knowledge transfer is important - also these stories should have two
target groups.
One group is the consultants, who actually
carry out the implementation. The other
group is the users, who require different
types of stories. User stories should include
and convey the meaning and role of the
system by addressing questions such as
what problems we are solving, why we
selected this solution, how the system works
and what role the user plays in this.

Narrative and Mythology (2)
(3) Shakedown stories are crucial, since these are at the beginning of use and
often associated with productivity dips, which can be overcome through extensive
training. The aim of these stories is to overcome problems and issues associated
with learning and using a new technology.
(4) Onward and upward stories are aimed at obtaining payback by improving the
use. These stories will continue to grow and be disseminated until the enterprise
system has been replaced by a different system. Stories are probably even used in
the replacement of ERP systems, e.g. all the Y2K horror stories used in the
replacement of legacy systems by ERP systems.

Narrative and Mythology (3)
#!Mythmaking – using narrative around ERP selection
and implementation to reconstitute company values;
(Alvarez, 2002)
#!Story Listening – (Sole, 2002 in Tobin, 2007) -
monitor the reception, use the feedback for design and
content of future stories
#!Learning Histories (Roth and Kleiner), as used in
software development (da Silva 2003;2004) – use the
technique to capture the campfire tales of the project
and use this to provide a foundation for constructing
stories and interventions.
#!Lekgotla – Diwaniya – Imbizo - Town Hall Meeting
Include informal leaders / use social network analysis to
determine these and to back up stakeholder mapping

Start With Executive Education
Welch and Kordysh (2007) highlight executive alignment as key for ERP
implementations; this however needs to be preceded by a targeted
programme of educating the executives in concepts such as
"! How an integrated ERP is different from traditional systems
"! Key differences between functional and process-based
organisations, and the concepts of end-to-end process and of
process ownership
"! The organisational impact of moving to an integrated system –
flattened hierarchies and busted silos; altered authorities and
delegations; real-time visibility of company performance and more
"! How to extract value from the ERP system – learning to play
"! How to encourage user adoption
"! How to retain and improve ERP and process knowledge
Workshops, site visits, focus groups, simulation games, video material, webcasts
and one-on-one sessions are all useful techniques for this.

Don’t Over-complicate and speak SAPpinese
SAP implementations are complex, and involve lots of new
concepts and corresponding new language; all too often the
project team members quickly adopt or even parrot technical
terms and phrases learned from the consultants, and a
culture of “Emperor’s new clothes” develops where nobody
wants to show ignorance.
This can seriously obscure some important building blocks
of major ERP implementations, such as ensuring the scope
is clearly defined and understood; the organisational
architecture has been considered and the true impact of the
programme is being anticipated and planned for.
“You see, the modern zombie is a cube-dweller that visits your
workplace to work on your SAP HR implementation.! They use
urban camouflage to blend in with their surroundings – jackets
and blue ties, button downs and pinstripe pants.! They have
learned to mimic our speech patterns by parroting technical
jargon, but if you listen closely, they don’t actually SAY anything”
(from http://aspireopenmic.com/2011/05/31/the-zombie-apocalypse-has-begun/ thanks to Joe Hillesheim)

Sponsorship can’t be delegated
A key problem of implementations in Africa is the absentee sponsor – very often the senior
executive charged with the role hands off to a more technically-savvy subordinate which can
effectively delay decision making and cripple the project.
“No leader should ask employees to demonstrate the courage to face a
suddenly changed, newly outlined future without having the courage to face
those same employees directly: (Dan Hill, 2009).
“Research shows that three key social enablers—strong and committed leadership, open and
honest communication, and a balanced and empowered implementation team are necessary
conditions/precursors for successful enterprise resource planning (ERP) implementation. In a
longitudinal positivist case study, we find that, while all three enablers may contribute to ERP
implementation success, only strong and committed leadership can be empirically established
as a necessary condition” (Sarker and Lee, 2003).
Consider splitting the sponsor role into venturing and sustaining
(as done by Mutual of Omaha)

Build Capacity as a policy not a side-effect
This requires a deliberate transfer of knowledge, embedding skills in the organisation for
upgrades, extensions and further implementations as well as for continuous improvement.
Effective SAP knowledge transfer requires the ability to make the complex seem simple and
has the end result of allowing the target company to achieve operational independence
http://www.r3now.com/a-cautionary-tale-about-sap-knowledge-transfer instead of a state of
perpetual vendor dependence.
In Africa, SAP experience can multiply one’s market value so dramatically that a very common
occurrence at the end of implementations is an exodus of all SAP knowledge and talent as the
newly-minted SAP project team leave the building. None of them want to go back to their day
jobs and, more importantly, salaries.
Consider the use of Centres of Excellence, Centres of Competence and Communities of
Practice to give your talent a life after Go-Live, to institutionalise new knowledge and to be
custodians of process improvement.
Also the OCM Team is responsible for the development and well-being of the SAP Project
team, including building their capacity, resilience and flexibility. Make sure that this is done.

CONFIDENTIAL
Thank You!
Confidential

Shane-Kerry-Sanja---The-Art-and-Science-of-Change-in-SAP-Implementations-libre

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