Applying Organizational Change Management Ensures Exceptional ERP Adoption

Application of Proven Organizational Change Management​

A major global pharmaceutical company had been using SAP ECC since its release. They realized that they needed to migrate to SAP S/4Hana to benefit from the business performance improvements associated with this new version of the ERP. They also needed the resilience and simplification provided by S/4Hana as they started planning the merger with another pharmaceutical company they had acquired.

This migration has a major operational impact on more than 5,000 users – employees and outsourced business partners – within in the company’s Finance Department. The impacted individuals require training in the use of the new version of the ERP. The company realized that they would need support to manage these significant changes ensuring full adoption and turned to Magic Hat Consulting to provide Organizational Change Management (OCM) services to ensure the success.

Challenges

  • Broad organizational business risk caused by the use of an outdated ERP system.
  • Technology capability and security risks inherent with using non-supported software versions.
  • Retired platform usage posed a major risk to an upcoming merger with another large pharma company.
  • Significant business units with thousands of users (employees) impacted by the change.

REGION
Mid Atlantic

SECTOR
Pharmaceuticals

COMPANY SIZE
25,000 employees

ENGAGEMENT DURATION
12 months

KEY OUTCOMES
Reduced time to completion and adoption.

Consistent Business and Technology Team alignment.

Upgrade completed in record time.

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Roadmap

Overlapping highways

Created and maintained awareness and support for the change by:

  • Long digital campaign development and deployment cycle times.
  • Diluted focus and competing priorities caused by siloed and matrixed delivery teams.
  • Slow to embrace mindset and cultural changes.
  • Unrealized return on investment in digital engagements.

Provided impacted employees with the knowledge, ability and reinforcement required to continue to perform their responsibilities after the upgrade by:

  • Designed and shared comprehensive training material for new hires and delta training material for existing team members.
  • Developed extensive work instruction updates for business functions that are outsourced to a business partner.

Key Outcomes

"With complex changes, the focus is rightfully on the technical aspects of the change, but success can only be achieved if people are enabled and supported to adopt the change. A structured approach to managing this people-centric aspect of change plays the most critical role in accelerated adoption."
  • The upgrade was completed in record time due to the effective application of a proven Organizational Change Management (OCM) approach by experienced OCM subject matter experts.
  • Impacted users only required 3 weeks of post-upgrade hyper care due to the extensive and effective training provided. This greatly minimized the operational impact on business functions.
  • The application of Organizational Change Management guaranteed that Business and Technology units were aligned throughout the upgrade process, further contributing to the velocity and success of the engagement.
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