Transparent tried and tested project management methodology to implement an ERP system based on my PRINCE2 and my own experience.

1. ERP: Avoiding Pitfalls General ERP Implementation Observations Kirill Popadyuk

2. “When anyone asks me how I can describe my experience of nearly 40 years at sea, I merely say – uneventful. Of course, there have been winter gales and storms and the like, but in all my experience, I have never been in an accident of any sort worth speaking about... I never saw a wreck and have never been wrecked.” From a paper presented by E J Smith, 1907

3. On 14 April 1912, HMS Titanic sank with the loss of 1500 lives. One of which was its captain… …E J Smith

4. Statistics Is Far From Encouraging 79% benefit realisation 59% money 93% time worse than planned as planned source: Panorama Consulting Group 2008 ERP Report

5. Top 7 ERP Failure Factors Failure to train users sufficiently Attitude to implementation as an “IT” project Inability to secure cross-functional commitment Lack of disciplined project management Unclean data Risk management being patchy Excessive customisation source: ERP Asia

6. Early Warning Signals Deadlines missed Ambiguous requirements No visible executive commitment General absence of milestones Employee turnover Reporting is poor source: ERP Asia

7. project governance project management Implementation Methodology risk management change management

8. project governance project management Implementation Methodology risk management change management

9. The Ship Will Not Sail Until…  Board takes clear ownership of the project  Board provides dedicated resources  Board determines the quality criteria and tolerances  Board commits for contingency planning and audit

10. The Ship Will Not Sail Until…  Board takes clear ownership of the project  Board provides dedicated resources  Board determines the quality criteria and tolerances  Board commits for contingency planning and audit

11. So What This Mighty Board Is? project board roles manages provision of resources from multiple suppliers governs the entire project to ensure delivery of benefits delegated by the users to represent their interests senior supplier executive senior user can well be IT or consultants shall not be IT, as conflict of interests is possible can be sales, marketing, finance, etc.

12. The Ship Will Not Sail Until…  Board takes clear ownership of the project  Board provides dedicated resources  Board determines the quality criteria and tolerances  Board commits for contingency planning and audit

13. Stable Crew Throughout The Project team member profile in-depth knowledge of functional area ability to see beyond functional area excellent communication skills does not have to be a process owner a team player

14. The Ship Will Not Sail Until…  Board takes clear ownership of the project  Board provides dedicated resources  Board determines the quality criteria and tolerances  Board commits for contingency planning and audit

15. Perfect Clarity On Where We’re Going implementing an ERP to turn it into a star later automating key processes we’ll see, we have time implementing a benchmark ERP

16. The Ship Will Not Sail Until…  Board takes clear ownership of the project  Board provides dedicated resources  Board determines the quality criteria and tolerances  Board commits for contingency planning and audit

17. Contingency Planning Cortez was sent to colonise Mexico in 1518. On April 22, 1519, he landed with a large armed contingent near the site of Veracruz. There he disassembled his ships – thus ensuring that his team would stay and fulfil their objectives.

18. Prevention Is Better Than Cure But… contingency options start late and then... run implement partially change the scope delay go-live

19. project governance project management Implementation Methodology risk management change management

20. Taking The Ship To The Destination  the “what” – getting the system up and running  the “how” – project manager’s toolkit

21. Taking The Ship To The Destination  the “what” – getting the system up and running  the “how” – project manager’s toolkit

22. From The General To The Particular % completion original requirements and gap analysis risk analysis start-up & familiarise time

23. Enough Detail To Freeze Scope % completion signed-off requirements (incl. reports & interfaces) plus fully integrated prototype draft transition strategy design & prototype start-up & familiarise time

24. The System Is Ready For Go-Live % completion fully configured solution that passed testing by project team final data transition plan develop design & prototype start-up & familiarise time

25. Go-Live And First Period Closure % completion data converted UAT passed users trained power users placed first period closed implement develop support plan design & prototype start-up & familiarise time

26. Handover To Support % completion close implement support contract develop design & prototype start-up & familiarise time

27. Taking The Ship To The Destination  the “what” – getting the system up and running  the “how” – project manager’s toolkit

28. Project Manager Thinks Work Packages work packages finance sales purchasing and inventory  payroll data conversion transition

29. Functional Work Packages Are Similar work package content capturing/validating requirements a functional area defining user roles (SoD) creating test case scenarios controlling prototyping and development customising training materials identifying interfaces

30. Data: Volume Brings Complexity work package content enriching masterdata data conversion cleansing masterdata developing masterdata strategy liaising with technical consultants re data specs transferring opening balances transferring transaction data

31. In The Suit Of a Transition Manager work package content  overseeing user integration test transition overseeing user acceptance test overseeing handover to support prioritising remaining issues with technical consultants coordinating ramp-up plans by area maintaining go/no go checklist

32. project governance project management Implementation Methodology risk management change management

33. Making The System Stick  knowledge transfer strategy  communication and involvement strategy

34. Making The System Stick  knowledge transfer strategy  communication and involvement strategy

35. Particularly Important For Dynamic Business pumping knowledge in managing training overseeing user manuals creating power user institute placing project team back

36. Making The System Stick  knowledge transfer strategy  communication and involvement strategy

37. Mapping All Stakeholders Affected high impact low impact high influence low influence

38. project governance project management Implementation Methodology risk management change management

39. Risk Identification From The Beginning sample risk log

40. Raising Issues ASAP By Anyone sample issue log

41. Monitoring Project Risk Profile 2 high impact 1 4 low impact high probability low probability