When it comes to ERP implementation, you cannot overestimate the importance of project management. Employees in this role coordinate all processes within the team and monitor the overall progress of the project. They report the current status to the management and make technical decisions as part of the implementation. In short, they play a key role in the success of the project.
If you find the right person for this position, they can make a significant contribution to the success of the project during system implementation. If, on the other hand, you choose the wrong person, this can lead to conflicts, delays and rising costs.
In this article, you will find out what you should pay attention to when making personnel decisions. We also explain the optimal interaction between management and ERP project management.
How to find the right person for ERP project management
1. choose a strong personality
For the position of project manager, you are best looking for a person who can lead the ERP project to success without the constant attention of the management. They should be able to make decisions, resolve conflicts and coordinate the project team. Ideally, this should be a person who exudes authority and reliability and enjoys particular respect among the staff. They may even be a kind of mentor figure for younger colleagues.
If you pay attention to the following character traits when selecting personnel, you are on the right track:
Assertiveness
A good ERP project manager must be assertive and highly motivated. They must be able to demand the performance of their colleagues so that they do not let their cooperation on the ERP implementation slide and possibly prioritize other tasks higher. If they lack the necessary authority, conflicts will quickly develop and delay the project schedule.
Empathy and understanding
A good knowledge of human nature and social skills are at least as important as assertiveness. Don’t forget: An ERP project is first and foremost a change management process and not a pure IT project.
ERP project management should therefore not only implement the ERP implementation strictly according to instructions from above, but also listen to the concerns and problems of the workforce and the project team. Otherwise, conflicts and resistance are inevitable.
Incidentally, to prevent major conflicts from arising in the first place, it is extremely important to build the project team carefully. This also requires a great deal of sensitivity: the team members should not only have a balanced mix of technical expertise and social skills. They should also harmonize interpersonally and resolve disputes productively. Mutual trust is extremely important in a team.
Find out more: Project team for ERP implementation: the optimal composition
Strong communication skills
The project manager should resolve fears and resistance within the workforce and the project team through constructive communication. They should have the ability to approach colleagues openly, ask about concerns personally and negotiate compromises skillfully. They should also have a good relationship with senior management and keep stakeholders regularly informed about project status, goals and results.
Contrary to the fears of many managers, employees with such versatile qualities are not that difficult to find. If you think about it for a moment, you can probably think of a few middle management employees who have their area firmly under control.
2. pay attention to professional competence
The best character traits are of little use if the necessary expertise is lacking. A pilot who leads the crew but cannot steer the aircraft will inevitably bring the plane down. ‘In other words, the right ERP project manager must not only have a wide range of soft skills, but also the right hard skills. You should pay particular attention to the following skills when selecting personnel:
Cross-company expertise
Comprehensive specialist knowledge across all areas of the company is essential. The person does not need to have the in-depth know-how of an IT expert. However, they should have a technical understanding and be very familiar with the processes, products and services of the entire company.
A trained view of the big picture is so important because an ERP system not only maps sub-areas, but also connects all areas of the company. The project manager must therefore be able to precisely define the requirements for the ERP system, taking into account the cross-departmental business processes. Otherwise, they may miss mistakes in the design.
Knowledge of day-to-day operations
However, a broad knowledge of the entire company is not enough. A close connection to day-to-day operations is at least as important. This is the only way to assess whether the functionality of the ERP system is practical and useful.
Experience in project management
The ERP project manager is basically responsible for all project management tasks. They should therefore be familiar with the relevant tools and methods and be able to use them effectively. Project managers keep an eye on objectives, risks and costs as well as the specified time frame.
3. do not hand over ERP project management to IT
Even if it may sound illogical at first, IT managers are generally not a good choice of personnel. This is not due to their skills or personality. It’s more a question of perspective.
In most companies, IT plays a supporting role: it provides the technical infrastructure for its colleagues. However, this collaboration rarely takes place at a technical level. IT does not find out what the other departments are doing in detail. However, it is precisely this ability to think outside the box that is an important characteristic of perfect project management.
However, this does not mean that IT only plays a minor role in the ERP project . On the contrary: without their expertise and active support, even the best manager cannot be successful.
4. do not entrust the management with the project management
Have you ever thought about entrusting a member of management with project coordination? At first, this idea may not seem so far-fetched – after all, management inevitably has a bird’s eye view.
In practice, however, this approach almost always leads to problems. In larger companies in particular, management is too far removed from day-to-day operations. This makes it difficult for them to assess the actual benefit of a function. In other words, the management is unable to assess whether a feature of the ERP system really makes sense or is not relevant to employees’ everyday work.
In addition, the management usually has little time to manage an ERP project alongside their day-to-day business. However, the introduction of an ERP system is very time-consuming and requires the full commitment of the project manager.
3 tips for correct management behavior
Have you found the right person to manage the project? Then it’s time to become aware of the role of the management. Because even if top management is not directly involved in the ERP implementation, they should not underestimate their influence under any circumstances. Their behavior ultimately determines whether or not the project managers can successfully fulfill their tasks. You should keep the following tips in mind:
1. the management provides sufficient support
All parties must pull together. Project management can only develop the necessary authority over the team if it receives sufficient backing from the management.
If, on the other hand, there is a lack of support from top management, employees are more likely to question the project manager’s decisions. This leads to conflicts, unnecessary delays and, in the worst case, project failure.
2. the management trusts the ERP project management
The trust of senior management in the skills of the manager is essential for the success of the ERP implementation. A lack of faith in professional competence leads to unnecessary micro-management. Management repeatedly interferes in decision-making processes and thus disrupts the smooth running of the project.
3. the management level grants the necessary authorizations
In order for the project management to be able to fulfill its tasks, it must be given a range of powers by the management. These include
- its own budget,
- permission to withdraw employees from projects,
- A say in the selection of suitable key users,
- the possibility of temporarily changing processes within the department.
It is theoretically possible for the management to retain all authority for itself and only use the project managers as intermediaries. In practice, however, deputies with authority to issue instructions are the better choice.
Conclusion: Project and management work shoulder to shoulder
The right ERP project manager has a good overview of the entire company and its processes. They know the day-to-day business and have sufficient experience in project management. They can assert themselves confidently with employees and managers, while always remaining friendly and empathetic.
These are diverse requirements. In some cases, it can therefore make sense to divide the role of project management between several people. For example, you can then separate the technical tasks from the organizational tasks.
However, even the best project managers will only lead your ERP implementation to success if they have the full support of the management. The backing of the management gives the project the necessary urgency and strengthens the position of those responsible. At the same time, however, the management must not interfere too much in the project coordination, as otherwise significant delays are to be expected.
