Enterprise resource planning (ERP) systems are massive, multimillion-dollar undertakings that affect nearly every business process within an enterprise. Yet only 27 percent of IT leaders say that their ERP initiatives were very successful.
What is behind this problem?
According to a recent survey by CIO, an under-investment in workforce planning drastically affects the quality of ERP outcomes.
In fact, due to inadequate workforce planning, more than 90 percent of organizations report experiencing at least one major challenge, including:
- Missed timelines
- Lower-quality deliverables
- Productivity issues
- Less system functionality than defined in original project scope
- Budget overruns
Despite the many challenges, there are five main ways organizations can appropriately manage their workforce needs to drive enterprise resource planning success.
- Think ahead. Conducting a proactive workforce gap analysis of needed experience, skills and capacity is a critical starting point for your ERP initiatives.
- Invest in change management. Don’t view change management as an afterthought. Plan ahead and give your IT employees the information they need to understand their role in your ERP initiatives.
- Consider the big picture. Adjust sourcing strategies for workforce needs throughout the plan, build and run stages of the ERP program. The skill sets, experience levels and capacity you require in the plan stage is not typically the same during the build and run stages.
- Get comfortable with variety. There is no one-size-fits-all solution. Traditional systems integrators tend not to address critical success factors including data quality, legacy application support and user training. Therefore, various workforce sourcing models, including training, staff augmentation, and outsourcing, are often required to achieve desired outcomes.
- Prioritize people. Given the importance of having the right people—and the right number of people—in place to execute ERP project goals, ensure you evaluate your service provider’s ability to source and deliver high-quality talent throughout your ERP engagement.
When done correctly, workforce planning becomes an essential tool to help companies achieve their ERP project goals on time and under budget. Learn more about how TEKsystems ERP Support Services can help you achieve your IT and business goals by visiting us online or contacting your local TEKsystems office.