Page 52 - MetalForming September 2015
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 Apply Change Management to Leap Over ERP-Implementation Hurdles
• Resistance to computers;
• Resistance to changing how things have always been done.
As we thought about our future with the firm, we decided to attack the process before the technology, perhaps a bit selfish on our part—we didn’t want to write every program twice! The same holds true with ERP implemen- tation—successfully achieving the vision means addressing the process before the technology. There’s more to changing any process than meets the eye...it’s dealing with the people side of change.
From Hero Management to Process-Driven Management
Dealing with the people side of change means attacking the fear of change. Our built-in resistance to change denotes a fear of what’s on the other side. Change means that the expertise our coworkers depend on us to deliver comes into question. We might not be as expert under the new
system as we are under the current one. It means a shift from “hero man- agement” to a more process-driven approach.
Most companies rely on hero man- agement to get things done in their early years. The heroes are people who grow up with the company. They know how the system works, how to work with it and around it to get things done. As a company grows, hero man- agement becomes less and less effec- tive. Growing companies experience what I call the “We can’t find good people” syndrome. New people lack hero knowledge about how to get things done because processes aren’t documented.
That’s when implementing process standards helps. ISO certification becomes something that “might help us out” instead of something that would “tie our hands.” Adopting ISO or other quality-management sys- tems means implementing repeat- able, defined processes. As the firm
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ERP SOFTWARE LEAN PRACTICES, REAL RETURNS:
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and recurrin
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How does our ERP software solution produce these results?
ROI BREAKDOWN
31% - Reduced Labor Costs 22% - Improved Profits
16% - Reduced Indirect Hours 14% - Increase Sales
10% - Impoved Quality
7% - Improved Pricing Accuracy
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implements processes it moves up the ladder a rung or two from hero management.
From Hero Computer Geeks to Process Solvers
At the water-heater manufacturer, it was only when we placed process change ahead of technology that we increased speed and effectiveness. We weren’t the process experts, so we asked for help—and we got more than we expected. Management:
• Called an all-employee meeting;
• Explained a need to be more cost competitive;
• Asked every employee for ideas to save time in their jobs;
• Asked us to implement the time- saving ideas into the new computer system; and
• Announced a 10-percent bonus for the team that saved the most time that year.
A Department Time Save chart was posted in the plant and office, and
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