The Project
Starting in October 2024, our team led the rollout of Microsoft Dynamics 365 Business Central, the new ERP system, across ten departments within the manufacturing industry. The ERP implementation team aimed to implement Dynamics 365 Business Central—a cloud-based Enterprise Resource Planning (ERP) system—to streamline existing complex processes such as; business efficiency, data centralisation, and overall organisational collaboration in the new future state.
Covering over 200 employees and users, this was a significant investment as the project scope sought to replace outdated legacy systems (including a large number of paper-based processes) with a modern, integrated solution that would support new processes like; better decision-making, automating existing business processes, and cross-departmental collaboration. The rollout was particularly complex due to the highly regulated nature of the industry, requiring a structured approach that included a carefully curated ERP implementation plan, an effective communication plan, and engagement across various business functions, from manufacturing and finance to supply chain management and quality control.
We played a pivotal role in ensuring the business understood all the benefits to a successful ERP implementation of Business Central, overcoming key challenges related to the change management strategy including; addressing employee concerns via an effective communication plan, project milestones and timelines, training resources, user and key stakeholder engagement, and financial management, all ultimately driving the ERP project forward.
The Challenges
During this Enterprise Resource Planning (ERP) implementation, we encountered several challenges, with communication being the most significant. During the Persona Study (which you can read more about in our E-book), we received numerous comments from business leaders and other employees about internal communication issues and the lingering effects they had across the entire organisation. This raised concerns among users, who feared that the new system, Business Central, would not be effectively communicated to them, in situations like this an effective Change Management strategy is really useful to an ERP change.
Another major challenge we faced was the project timeline; our team joined the initiative later than a typical Change Manager would in an ERP transformation, finding that crucial elements of an ERP project plan such as process maps, desired future state plans, training materials, readiness assessments and strategies had not yet been developed. With the ERP project already underway, user acceptance testing starting and a tight deadline before go-live, we had to build these foundational ERP change management components for these complex systems from scratch.
Finally, as the intended go-live date approached, the project manager and our team encountered unexpected resistance from users who had initially been supportive. This ultimately led to a structured approach where a Chala session across the impacted business areas had to be conducted, this provided a platform for employees to voice concerns and criticisms about; the new ERP system, project milestones, business processes, and general ERP implementation project worries. While a Chala is typically a last resort, it proved to be a valuable and cleansing change management exercise, allowing all impacted users to express their frustrations and engage in the change process.
The Solutions
Effective Communication
Our team tackled these challenges with a strategic and proactive approach. To address communication concerns, we implemented a regular Business Central Bulletin, providing updates on the ERP project progress across the entire organisation. This provided the organisation with oversight of the project’s key performance indicators, the ERP project scope, as well as help general ERP adoption as we tried to breakdown those legacy communication issues.
As part of the communication plan, our team also visited site multiple times to record informative videos, that explained different aspects of the business processes that Business Central will have an impact on in each department. Videos are a great change management strategy to use when engaging stakeholders with the change process, especially if you can get the Champions involved.
Additionally, we established a Champion Network (to read more about a Change Management Champion Network, take a look at our E-book), which held weekly connect sessions, to ensure continuous engagement throughout the ERP implementation. The Champion Network is a structured approach that can be a crucial component for effective Change Management as the role of a Champion is to advocate and encourage employees about the new system for a successful ERP implementation.
Change Management Strategy
These solutions were further reinforced with posters, emails, and meetings, creating multiple touch points about new business processes to keep employees informed and involved. Regarding the tight project timeline, the initial go-live date was postponed—a common occurrence in large-scale ERP implementation projects. While this could have been a setback, it instead provided us with a valuable opportunity to deepen user adoption and acceptance. We used this extra time to build meaningful relationships with the project team, leadership, key stakeholders, and employees, fostering trust and openness. One of the ways we built connections was by conducting frequent readiness assessments that allowed end-users to provide feedback and suggestions about the new system which she took action on. Over time, this trust led to greater cooperation and a more receptive environment for change.
By implementing these change management measures, our team were able to achieve expected benefits of the ERP implementation, overcome resistance using different management strategies, establish clear communication channels to convey new ERP system processes, and build a strong foundation for the successful rollout of Business Central.
