100% user adoption of a transformational solution is not a given. And yet getting it wrong risks all the investment in the project.

1. “Change Management has let down
its supporters…outcomes–driven
end user adoption must succeed”
Paul Kell

2. Issue: Change Management has not lived up
to expectations
• BCG has recently published an extensive study on the
success or otherwise of change programs – and the
result is that most programs fail badly.
• What is more, the clients and consultants seem to be
averse to looking back over past performances –
preferring to move on somewhat optimistically, hoping
for a better outcome.
• The change industry seems to be more interested in
thinking up more and newer slogans, whilst missing the
point that they are simply not often delivering real
outcomes and realised benefits for the clients.
• And yet, once a transformation is defined and the
solution purchased (as with ERP) – this is the time for a
drive to the required outcome.
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3. Complication: Too often the defense is that
change is very “hard” – and thus change
programs more often fail
• This point always seems like a doctor blaming the
patient for not getting well – and transformation being
difficult is no excuse for failure on a regular scale.
• Also, when we look at social media, the web, Google,
Book Depository, LinkedIn, ERP advances, on-line
everything – it seems that change is relatively easy
and people grab it with both hands when it is done
well and is meaningful.
• By contrast, people do not like it when they are
expected to NOT change – just look at the demise of
the Ford brand in Australia where customers have
voted for change
• So when change is linked to a meaningful outcome –
and the process is seen to have a purpose - then we
make change occur and outcomes happen 3

4. Perhaps there is a real difference between non-systems change programs
and ones that are linked into ERP (although where do you find non –
systems changes anymore?)
But where there are major systems as the basis for the change – then the
approach is usually clear. So I ask myself why do I go through the huge
laundry list of change initiatives – when many of them are really over-
kill. And where we seem to be encouraging end-user opinions when the
actual solution is pretty clear
Furthermore, with this laundry list – there is definitely change fatigue. And
as the project gets to the really important stuff – training in capability &
confidence and user adoption of the new behaviours/processes/KPI -
driven results………that project seems to run out of steam.
There seems to be a strong case for defining the must-do’s versus the
nice-to-do’s……..assessing the project cost impacts ……..and only
driving towards results linked to the business case.
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5. • Major transformations – especially ERP, CRM and the like – follow this
roadmap. The act of purchasing a solution essentially confirms both
the business case and the required outcomes
• Traditional change management focuses intensively on the Design,
Build and Test elements, with effort on:
Vision
Readiness
Stakeholder engagement
Team empowerment
Change impact
Culture development
Communications
Training
Go-live support
• Most of the above may not really contribute to a successful
transformation outcome – and often promotes needless
stakeholder/end-user involvement 5
Business
Case
Design Build Test Deploy

6. Resolution: Drive end user adoption and
forego most of the traditional change program
Only 4 elements to effective end user adoption
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Element Work Undertaken
1. Deep Dive -
Business Case
•Full discovery of the business case – from both the client and vendor
perspectives
•Objective is to fully grasp the impact on the organization at all levels –
and the delta from “as-is” to “to-be”
•Understand at this stage – the likely impact by role – and include the
likely org. structure changes and related impacts on KPI’s
•Scope and present high-level draft of the profit- driver tree for approval
to move forward
2. KPI/Profit Driver
Tree Development
•Build an integrated set of profit driver/KPI Trees for all the roles and
processes impacted by the overall business case. This involves multiple
iterations to ensure workability and accuracy - such that the KPI trees
can effectively roll up and roll down whilst maintaining reporting integrity
•Establish the detailed delta from “as-is” in order to define the core of the
end user training to be built and delivered
•Undertake sensitivity analysis to identify the relative impact of changes
in given KPI’s
•Develop the benchmarking approach to promote internal benchmarking
across departments/within like roles etc

7. Resolution: Drive end user adoption and
forego most of the traditional change program
Only 4 elements to effective end user adoption
7
Element Work Undertaken
3. User Adoption
Training
•Develop training using the model to build both key-stroke skills and end-
to-end process ability
•Establish training to build both end user confidence and competence
•Create eLearning capability to enable rapid and trackable training +
single point control over content and delivery
•Use the training to enable KPI – driven case studies so that competence
can be self-assessed and improved
4. Communications
Program
•Build communications as an intensive program leading up to the deploy
stage and the post roll-out period
•Communications is very focused on building “ownership” of the solution
and individual KPI’s
•It is also focused on maintaining momentum through the first 3 months
of the deployment – i.e. messages of the success of the overall program:
resolution of issues impacting end user adoption; metrics on end user
adoption

8. In an ERP solution environment, the transformation
outcome should be embodied in the business case – the
goal is to get this outcome, 100% into action…cost
effectively.
Project
Phases
Project
Timing(wks)
Traditional Change Approach FTE
weeks
End User Adoption
Approach
FTE
weeks
Business
Req’s
8 Full time team – assume 3
people
24 Assume full team of 2
people
16
Design 28 Full time team – assume 3
people
84 No need for involvement 0
Build 28 Full time team – assume 3
people
84 No need for involvement 0
Test 8 Full time team – assume 3
people
24 Assume full team of 2
people
16
Deploy 8 Team disbanded 0 Assume full team of 2
people
16
TOTAL 80 216 48
Illustrative example – change management may not link to embedding 100% end user
outcomes and yet cost much more in overall FTE (up to 300% more cost)

9. The good bit…..the less relevant bit …..and
the hard bit of transforming work
• So the development of the business case and setting the
direction for adoption at the coal-face is key in the
transformation. After all the client has bought the solution –
so there is no doubt that it needs to happen
• The less relevant work (in an ERP world) is much of the
work on culture, team empowerment, engagement and
readiness. This is the focus on changing attitudes in order to
change behavior – but it is a “soft” approach and the
concern is not delivering results
• And the hard bit (which the McKinsey, BCG, Bain etc will not
do) is the work to transform the business case into detailed,
bankable changes in behaviour and results (for example, the
work of individual bankers to offer wealth products to
customers ; the actions between call centre and the
customer to reduce churn) 9

10. 10

11. Our approach has 4 precise elements
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12. 12
Business Case
Deep Dive
The best way for
me to have more
money at the end of
the month is to
spend less through
comparison
shopping
Why? Why? Why? Which?
Comparison
shopping is
an interesting
opportunity
Changing
my lifestyle
is not an
option
Additional
investments
do not wipe
out savings
Savings
are feasible
To compensate for demanding workload, I need to invest
in weekly visits to the spa and the opera
My profession does not allow me to wear
lower quality clothes
To balance the junk food I eat during the week, I need at
least one three-course meal on the weekend
Savings in $
Opportunity cost of
additional time
taken up by comparison
shopping
New formats offer
same quality at
lower price
Key spending
categories have
competition in
new formats
Hypermarkets
Price Club
Home Depot
Auto mall
The Business
Case
End User actions
to be adopted

13. End user adoption works when there is a
rigorous focus on changing what staff do
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14. End user adoption works when there is a
rigorous focus on changing what staff do
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15. Case1: An Asian bank SME division where change failed
Business
Case
• SME bank division where the business case was to lift the level of referred
business
• Key here was more effective needs based selling
Change
Work
• Envisioning of the challenge
• Leadership development
• Sales team planning
• Referral incentives
User
Adoption
• Failed to ever get underway
• No systems in place to support input and output sales KPI’s
• No systems – based tools for needs-based selling (so never a defined approach
• Head space competition from other SME division projects
• No ramp plans to support actions through the post-implementation phase

16. Case2: Logistics company that drove adoption for success
Business
Case
• CEO was annoyed that there were transformation programs without reference to
KPI changes. He often wondered “whether the Tooth Fairy” was going to deliver a
miracle.
• He demanded that the business case for a new ERP was related to a detailed
DuPont profit tree disaggregated down to frontline KPI’s
Change
Work
• Communicated the charts known as “plumbing charts” - down through all levels
• Workshopped so that all staff knew their individual new KPI’s and the
relationships to those of their managers – co-workers – staff
• Set up the process for internal benchmarking of performance within roles and
across regions
• Developed limited focused up-skilling
User
Adoption
• From the go-live the new plumbing charts were embedded in the systems
• The new KPI’s were in place from day 1
• The management/leadership approach was 100% focused on the effective user
adoption

17. Case3: Asian Telco goes for user adoption for CRM
Business
Case
• The Telco bought a new CRM solution with the clear intention of developing a
single view of customers across a number of convergent lines of business.
• The business case was very clear and the company decided that the key to overall
success related to the 100% end user adoption of the solution – and a very rapid
adoption
Change
Work
• Mainstream change work was not deemed to be necessary
• However an intensive program of adoption related KPI development +
communications +training was put in place
• This approach reduced the overall “change expenditure by more than 70% and
enable the overall project to reach effective end user adoption in only several
months into the full rollout
User
Adoption
• Detailed work on the “to-be” KPI’s and the tight time frame to reach 100% user
adoption
• Intensive communications program related to the new KPI’s and operator
behaviour
• Detailed training programs linked directly to the KPI’s and to building measurable
tracking of staff success in using the training.

18. Why Adoption is key – better
results, faster and lower cost
Low
High
Benefits
Performance Improvement
Time (Months)
6 12 18 24
Technology Alone
Technology
+ Process
Technology +
Process + Training
and Adoption
Management
Technology +
Bad Process
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