private-equity-erpResearch on ERP Transformation Leadership

Although there is relatively little research based on transformational leadership specifically as a key to ERP organizational change, there is some good ERP research on this topic. However, much more literature suggests that transformational leadership is a key attribute to successful organizational change in general. Objective research to date provides some insight that successful ERP organizational change success comes with strong reflective and observational transformational leadership specifically as opposed to transactional leadership. ERP organizational change success requires far more than information systems and/or a tactical project management plan.

Unlocking Value Through ERP Transformation Leadership

Our Objective: We would like to demonstrate that, in general, organizations potentially underestimated value of organizational culture and ERP transformation leadership during ERP organizational change efforts. We would like to address and bring awareness to the problem of Enterprise Resource Planning (ERP) implementation failures due to inadequate corporate culture, organizational communication, and leadership. (Nestell & Associates has the expertise, means, and tools to measure organizational culture.)

Literature suggests that ERP implementation methods and practices vary greatly. These methods consist of business requirements analysis, business modeling, ERP selection, project management planning and execution, corporate culture, and leadership just to name a few. Are you considering all the right ERP organizational change factors in your context? All of these components are required for assuring ERP organizational change success but often vary by organizational context as to which factors need attention and when.

The Recommendation: Implement a “Getting to know your culture and ERP transformation leadership style” program as a part of your merger and acquisition ERP organizational change project plan.

The Benefits: Studies have found that transformational leadership is significantly higher in successful companies than unsuccessful ones (example: Gh. Jandaghi, H. Zarei Matin, and A. Farjami, 2006).

What’s Unique: We include a proven approach and emphasis on the importance of organizational culture and ERP transformation leadership characteristics and attributes prior to an ERP organizational change effort.

What you stand to lose: Being another statistic. And, unnecessary time, money, and effort expenditures. The time, money, and effort to implement such a program is minimal. ERP implementation failure rates are estimated at 60-90%. Why be another statistic if you can avoid it?