Check out our FREE Resources page – Download complimentary business frameworks, PowerPoint templates, whitepapers, and more.







Flevy Management Insights Q&A
How to staff an ERP implementation project effectively?


This article provides a detailed response to: How to staff an ERP implementation project effectively? For a comprehensive understanding of ERP Change Management, we also include relevant case studies for further reading and links to ERP Change Management best practice resources.

TLDR Effective ERP implementation staffing requires a strategic approach, combining technical, functional, and change management skills to build a cohesive, well-supported team.

Reading time: 5 minutes

Before we begin, let's review some important management concepts, as they related to this question.

What does Strategic Staffing mean?
What does Change Management Skills mean?
What does Team Cohesion mean?


Staffing an ERP implementation project effectively is critical for the success and sustainability of the initiative. The complexity and scope of ERP systems demand a strategic approach to assembling a team that possesses the right mix of skills, experience, and knowledge. This process involves more than just filling positions; it requires a deep understanding of the project's goals, the organization's culture, and the specific challenges that might arise during implementation. A well-staffed project can lead to significant improvements in operational efficiency, data management, and overall organizational performance. Conversely, underestimating the importance of proper staffing can result in delays, cost overruns, and failure to meet strategic objectives.

At the core of an effective staffing strategy is the creation of a framework that aligns with the organization's strategic goals and the ERP project's specific requirements. This framework should outline the roles and responsibilities needed to support the project from inception to completion. Consulting firms like McKinsey and Accenture emphasize the importance of including a mix of technical, functional, and project management skills within the team. Additionally, it's crucial to consider the cultural fit of potential team members, as the implementation process often requires close collaboration and problem-solving under pressure.

One common mistake organizations make is underestimating the importance of change management skills within the ERP implementation team. Change management expertise is essential for navigating the organizational shifts that accompany the adoption of new systems. A team equipped with strong change management capabilities is better prepared to handle resistance, communicate effectively across departments, and ensure a smooth transition to the new ERP system. Therefore, when considering how to staff an ERP implementation project, leaders should prioritize candidates who demonstrate both technical acumen and the soft skills necessary to drive change.

Identifying Key Roles and Competencies

Understanding the specific roles and competencies required for a successful ERP implementation is the first step in effective staffing. The core team typically includes Project Managers, Business Analysts, ERP Consultants, Data Specialists, and Change Management Experts. Each role plays a critical part in the project, from strategic planning and system design to data migration and user training. A strategic approach to staffing begins with a clear definition of these roles and a thorough assessment of the existing talent pool within the organization.

Project Managers are the linchpins of ERP implementation projects, responsible for overseeing the project's progress, managing risks, and ensuring that the project stays on time and within budget. Business Analysts bridge the gap between business processes and technical solutions, ensuring that the ERP system aligns with business needs. ERP Consultants bring specialized knowledge of the ERP software, guiding customization and functionality to fit the organization's requirements. Data Specialists focus on the critical task of data migration, ensuring data integrity and security. Lastly, Change Management Experts facilitate the organizational transition, focusing on communication, training, and support to minimize disruption.

While identifying these roles, it's also essential to evaluate internal capabilities versus the need for external expertise. In many cases, organizations benefit from partnering with consulting firms that specialize in ERP implementation. These firms can provide seasoned experts to fill gaps in the internal team, offer proven templates and methodologies for project management, and bring valuable insights from other implementations. The decision to leverage external consultants should be based on a strategic assessment of the project's complexity, the internal team's experience, and budget considerations.

Are you familiar with Flevy? We are you shortcut to immediate value.
Flevy provides business best practices—the same as those produced by top-tier consulting firms and used by Fortune 100 companies. Our best practice business frameworks, financial models, and templates are of the same caliber as those produced by top-tier management consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture. Most were developed by seasoned executives and consultants with 20+ years of experience.

Trusted by over 10,000+ Client Organizations
Since 2012, we have provided best practices to over 10,000 businesses and organizations of all sizes, from startups and small businesses to the Fortune 100, in over 130 countries.
AT&T GE Cisco Intel IBM Coke Dell Toyota HP Nike Samsung Microsoft Astrazeneca JP Morgan KPMG Walgreens Walmart 3M Kaiser Oracle SAP Google E&Y Volvo Bosch Merck Fedex Shell Amgen Eli Lilly Roche AIG Abbott Amazon PwC T-Mobile Broadcom Bayer Pearson Titleist ConEd Pfizer NTT Data Schwab

Building a Cohesive Team

Once the key roles and competencies have been identified, the next step is to build a cohesive team. This involves not only selecting individuals with the necessary skills and experience but also considering team dynamics and the ability to work effectively under pressure. A common strategy is to form a core team of leaders who can drive the project forward, supported by functional experts and technical specialists who can address specific challenges as they arise.

Effective communication is the backbone of any successful ERP implementation project. Establishing clear lines of communication and a structured reporting framework is essential from the outset. This ensures that all team members are aligned with the project's objectives, aware of their responsibilities, and able to collaborate effectively. Regular team meetings, clear documentation, and the use of collaborative tools can facilitate this process.

Finally, investing in team development and support is crucial. ERP implementations are marathon efforts, not sprints, and maintaining team morale and motivation is key to sustaining performance over the long term. Providing opportunities for professional development, recognizing individual and team achievements, and fostering a culture of open feedback can all contribute to a positive and productive team environment. Additionally, ensuring that the team has access to the resources and support they need to address challenges as they arise is fundamental to the project's success.

Conclusion

Staffing an ERP implementation project effectively requires a strategic, thoughtful approach that goes beyond filling roles. It involves understanding the project's unique demands, identifying key competencies, and building a cohesive team capable of navigating the complexities of ERP implementation. By focusing on both the technical and soft skills required, leveraging external expertise when necessary, and fostering a supportive team environment, organizations can set the stage for a successful ERP transformation. Remember, the strength of the team is not just in the individual capabilities but in their ability to work together towards a common goal.

Best Practices in ERP Change Management

Here are best practices relevant to ERP Change Management from the Flevy Marketplace. View all our ERP Change Management materials here.

Did you know?
The average daily rate of a McKinsey consultant is $6,625 (not including expenses). The average price of a Flevy document is $65.

Explore all of our best practices in: ERP Change Management

ERP Change Management Case Studies

For a practical understanding of ERP Change Management, take a look at these case studies.

ERP Change Management Revamp for a Global Retailer

Scenario: The organization in focus is a global retailer, experiencing difficulties in managing its ERP Change Management process.

Read Full Case Study

ERP Change Management for Midsize Defense Contractor

Scenario: A midsize firm specializing in aerospace defense is facing significant challenges in adapting to a new Enterprise Resource Planning (ERP) system.

Read Full Case Study

ERP Change Management for Specialty Retailer in North America

Scenario: A specialty retailer in North America is grappling with the complexities of its outdated ERP system, which has become a bottleneck for business scalability and efficiency.

Read Full Case Study

ERP Change Management in Specialty Chemicals Sector

Scenario: The organization, a specialty chemicals manufacturer with a global presence, has recently expanded its product portfolio and entered new markets, leading to increased complexity in operations.

Read Full Case Study

ERP Change Management Initiative for Defense Sector Leader

Scenario: The organization in question is a key player in the defense sector, facing significant challenges in adapting to a rapidly evolving market.

Read Full Case Study

Luxury Retail ERP Change Management Initiative in the European Market

Scenario: A leading luxury retail firm in Europe is grappling with outdated ERP systems that are not keeping pace with dynamic market demands and the rapid evolution of e-commerce.

Read Full Case Study

Explore all Flevy Management Case Studies

Related Questions

Here are our additional questions you may be interested in.

What role does data governance play in ERP change management, and how can it be effectively implemented?
Data governance is crucial in ERP Change Management for ensuring data integrity, compliance, and operational efficiency, achieved through strategic planning, clear policies, and leveraging technology. [Read full explanation]
How can Internet of Things (IoT) devices be integrated into ERP systems to enhance operational efficiency?
Integrating IoT devices with ERP systems boosts Operational Efficiency, reduces costs, and improves Decision-Making by leveraging Real-Time Data, Process Automation, and Advanced Analytics. [Read full explanation]
How can executives ensure ERP change management aligns with global business expansion strategies?
Executives can align ERP change management with global expansion by focusing on Strategic Planning, Change Management, and Regulatory Compliance, ensuring ERP systems support global objectives and operational excellence. [Read full explanation]
How can ERP systems be leveraged to improve customer experience and satisfaction?
ERP systems improve customer experience by Streamlining Operations, Personalizing Interactions, and leveraging Data for Continuous Improvement, enhancing responsiveness and efficiency. [Read full explanation]
How do continuous improvement practices integrate with ERP change management to drive business value?
Integrating Continuous Improvement practices with ERP Change Management drives business value by enhancing efficiency, reducing costs, and improving performance through strategic alignment, stakeholder engagement, and robust Performance Measurement. [Read full explanation]
What key roles and skills are critical for successfully staffing an ERP implementation project?
Key roles and skills for ERP implementation include Project Management, Business Analysis, ERP Consulting, Technical Development, stakeholder involvement, and Change Management expertise. [Read full explanation]

Source: Executive Q&A: ERP Change Management Questions, Flevy Management Insights, 2024


Flevy is the world's largest knowledge base of best practices.


Leverage the Experience of Experts.

Find documents of the same caliber as those used by top-tier consulting firms, like McKinsey, BCG, Bain, Deloitte, Accenture.

Download Immediately and Use.

Our PowerPoint presentations, Excel workbooks, and Word documents are completely customizable, including rebrandable.

Save Time, Effort, and Money.

Save yourself and your employees countless hours. Use that time to work on more value-added and fulfilling activities.




Read Customer Testimonials



Download our FREE Strategy & Transformation Framework Templates

Download our free compilation of 50+ Strategy & Transformation slides and templates. Frameworks include McKinsey 7-S Strategy Model, Balanced Scorecard, Disruptive Innovation, BCG Experience Curve, and many more.