9 Confessions of an ERP Addict: The Rush of Going Live

I still fondly recall my first go live. I was a mere cog in a cold and indifferent corporate machine. I was employed by a monolithic institution that was going from spreadsheets, sticky notes, stone knives and bearskins to a real, new, grown-up ERP system. I was part of a project team that toiled for over a year and a half on a software selection, implementation and go live. I recall a month of Sunday's worth of late-late nights followed by zero dark early mornings, bad pizza, greasy burgers, and a BMI increase of 5%. My ex-wife had to drive me home on go-live day, perhaps that was why we divorced later.

As much fun as a go-live can be, it can be a lot more fun – if you take some earnest advice. 

Here is how to dodge the bullet, surf the wave of success, get in front of the eight ball, and become a cutting edge, state of the art, bi-coastal, multi-tasker that can migrate a gigabyte of master data in a nanosecond!

1. Project Governance: Sure, it is a boring concept spouted by boring guys in boring suits. However, governance is the foundation for the iron triangle of accountability, responsibility, and authority. During all my implementations, good and bad, the C-Suite has usually kept a hand on the wheel of the business and the ERP implementation took a back seat until a crisis emerges. A thoughtful project charter, RACI chart, and weekly status meetings will ensure the ERP gets the attention it requires, and leadership will have the capability to share their vision with the project team.
   
   
2. Appetite Suppressant: It is almost proverbial that ERP projects run over schedule and budget. Here is an insider’s tip – it is usually not the ERP software or the software provider’s fault. Rather, it was because the project was poorly scoped, and schedules were not realistic. Once the gaps have been identified in Business Process Re-Engineering, the Steering Committee, Project Team, and the Software Provider need to come to terms with what is in-scope and take a diet pill for all the “nice to have” features. It is important from the start to set expectations on how much the company is willing to pay (in time, resources and money), and a no-foolin’, truly realistic go-live date. The schedule should include at least a 10% contingency budget because no implementation is without hiccups, illnesses, or business emergencies.
   
   
3. Scoping: Most ERP projects have time and cost overruns because of improper scoping. Sometimes, the project team takes a bit longer to decide on the correct ERP software solution and want to make up the lost time during implementation. Other times the software provider is over-scheduled and cannot begin right away. As mentioned previously, these issues are usually coupled with time and cost estimates that do not have a contingency budget and require flawless execution. The result is scope and requirements creep that directly translates into increased cost and a slip in the go-live date. The smoothest implementation has a consensus on the scope and minimizes changes during the implementation.
   
   
4. Communication. Communication. Communication. Do I need to emphasize how important vertical and horizontal communications are to the success of the project? I will not claim that all your ERP helmet fires or sweat grenades could be avoided by excellent communications; however, clear, concise, and memorable communications help manage expectations and help get the team through the tough spots. The closer to go-live a team gets, the more communications needs to be emphasized. The word on the street is that during cutover and go live, multiple meetings a day may be required to get the word out.
   
   
5. Change management is not just for newborns, and often involves a package a noxious material. I am a new grandfather and I can tell you empirically how much change is required with a brand-new human being and how good change can be when it comes to diapers. An ERP implementation is a lot like a newborn that needs lots of love and diaper changes. It is an all-hands effort to change the day to day operations, long term strategy, and often the culture of the company. Go-live is a change in how your business and processes will function, a transformation if done correctly. All employees as well as customers and vendors are part of this change and need to be involved, in varying degrees, in the outcome. There is no room for silos, egos, sacred cows, or bad attitudes in this new way of working.
   
   
6. Modifications and Customization: I am a firm believer in minimizing changes to the core software. Some ERP vendors call this customization, others call it modification, I call it a necessary evil. All businesses are different in their own “special” way. Sometimes a customization to the core code is necessary, but that is highly recommended to be a decision made by the steering committee after much careful deliberation. Often companies want to customize the software to make it behave like their current processes. This is a mistake. Any potential customizations need to be identified early and agreed upon by the elephants in the C-suite. A good rule of the thumb is that you should not customizer more than 5% of your requirements. If you find yourself in the double digits for customization, Danger Will Robinson!! You might have the wrong software, or you are trying to replicate your current (and sometimes off-track) processes in the new system.
   
   
7. The Karate Kid school of repetitive and thorough training: Wax on! Wax Off Daniel-San! A classic illustration of the value of repetitive, thorough, and thoughtful training for a climactic event. Even though you won’t physically get your keister kicked during an ERP go-live, your company’s end users will get speed bagged if you don’t put in the time to train properly. A classic mistake is to short-change user training to make up time in the go-live schedule. Don’t. Really. I can speak fluently about how frustrating it is to receive rushed training a few days before go-live. Training is part of the schedule that requires a generous amount of time. New users to the ERP system need multiple exposures to the system and a lot of love. This is especially true after go live.
   
   
8. Drinking from the Keg of Glory: An ERP implementation takes a toll on motivation, family time, mental health, and life in general. You will suck the marrow out of the bones of the project team. Ensure the great members of the team receive the accolades, motivation, and support they need to deliver a successful go-live. Be creative in your rewards, not everyone is coin-operated. Sometimes it is just as simple as public recognition at a meeting or in a newsletter, but that should not prevent the Steering Committee from being generous and creative with their praise. Appropriate and public rewards for people who have worked towards making your company better and appreciating people for their commitment towards the project goes a long way in making any ERP project a winner.
   
   
9. All politics are local: Petty infighting and personal politics can kill an ERP project deader than Julius Caesar. Leaders (at all levels in the organization) need to be proactive at eliminating negative politics, grudges, and hidden agendas. The best disinfectant for this kind of suboptimal behavior is robust and consistent communications as well as transparent decision making.

Who am I to keep you from having so much fun that your smile will have to be surgically removed from your face? You can ERP your way, but I really recommend finding a seasoned consultant the navigate the ERP implementation. That consultant should be experienced in your business vertical and with the implemented software. Finally, you might want to let the fun folks at LTA help you enjoy the good times of ERP go-live events.