How to Overcome User Resistance to New ERP Systems

This scenario happens more than it should: A company invests in and implements a new ERP, but its users don’t fully adopt it.

Some employees log in when they absolutely have to, but don’t embrace the new features that their employer has painstakingly (and expensively) implemented. Others create their own shadow systems which tend to be inefficient, contain workaround processes and create security risks.

Humans are hard-wired to resist change. Even when change is a tool or process that will make their jobs and lives easier; the human brain often sees change as a threat.

Considering that, there are a number of reasons for ERP resistance:

• They may have used a similar system in the past and found it difficult.
• Users may be unhappy that they were left out of the decision-making process.
• They could be upset about redistribution of responsibilities or displeased with power shifts.
• They may be concerned that their job is at risk.
• They may be peeved that their familiar, established processes are changed.
• And, many times, users don’t adopt the new system because it doesn’t fit their needs.

Regardless of cause, research shows that organizations can mitigate user resistance to new ERP solutions by implementing several key strategies:

1. Building a Business Case to sustain the need for a change
Laying the groundwork for a new ERP system will help users realize its benefits. To start, companies must build the business case by conducting a thorough business analysis and current state analysis. This reveals where the organization can improve and where an ERP system can help. Company leaders must share this insight – and their vision – with all employees.

2. Communicate Thoroughly and Transparently to the Entire Organization
After building the business case, organizations need to communicate with the entire company. This means articulating the vision and direction, and how technology will fit into it. It also requires speaking directly to employees to address any questions or concerns, and gather their ideas on how to improve their job and the company as a whole.

3. Have an Executive Sponsor
Senior management support can go a long way toward mitigating user resistance. Most communications regarding the project should come from the top, and the company’s executives need to present a unified front regarding the necessity and benefits of the new ERP system.

4. Deliver Proper Training
Employees will need to be comfortable with the new system. Training begins with a thorough needs assessment to determine which type of training will be needed, and who will be trained on which modules. Users will need dedicated time for the training, as well as access to support for questions they could have after the new system goes live. It’s also helpful to offer continuous training to reinforce knowledge and help employees develop new skills within the ERP system.

5. Ensure Users Understand Changes
A new ERP system often requires companies to look into existing roles and restructure departments, and users may be wary of these changes. It’s important to ensure that roles, the new org structure and re-engineered processes are communicated – and understood – by all users. In addition, it is valuable to identify process owners who can function as “change agents.”

How Yfos Cloud ERP Can Help
Yfos Cloud ERP can help with resources, experience with similar projects, and business process improvement expertise in many areas.

If you need any advice or quotation please contact with us:

More information:
Phone: + 52 (1) 8118656617