Leading Change: Getting Your SAP Initiative Over the Finish Line

Leading Change: Getting Your SAP Initiative Over the Finish Line A Case study from Hewlett-Packard, delivering tremendous value

Today’s Approach: Theory and Practice • I. Barry Goldberg- Founder, Entelechy Partners. Leadership Coach working with “C” chair executives and leaders of large change initiatives. • Julie Anderson- Program Manager for the first SAP implementation at HP, the da Vinci Program. Retired from HP, after 24 years of management, including acting CIO for the Consumer Business Organization. Currently consulting on the management/strategy for the systems that have grown from the original da Vinci SAP instance.

Focus and Align PMI* View of Change Focus and Align Plan and Secure Track and Evaluate *Taken from PMI Project Map

On average, success rate for enterprise change initiatives is around 20%. While variances in research and reporting standards make this a “soft” number. It remains shockingly low! Summarized from Conquering Organizational Change: How to Succeed Where Most Companies Fail. So- How’s That Working For US? Success Rates for Change Initiatives By Type*

And the Survey Says! $240 Billion

The Finger Pointing- Most Commonly Cited Reasons for Failure* • Insufficient budget • Vendor/ integrator failure • Apathetic end users • Organizational “noise” • Change in operating environment • Unrealistic expectations by executive sponsor *Survey of 85 major technology supported change projects conducted by Entelechy Partners in 2003

If The Reasons Given Are the Bullets Fired, Who is Holding the Gun? “If you want to build a ship, do not divide the men into work teams and send them to gather wood. Instead, teach them to long for the vast and endless sea.” -Antoine St. Exupery

(then Andersen Consulting) What Is the da Vinci Program? “A Merger of Business Art & Computer Science”

Integrated Approach • Software structure • Vanilla software • Zero interfaces • Industry “standards” • Vision in customer terms • Success in business terms • Process scope end-to-end Technology Business Process Team Organization • No blood donor staffing • Team is cross-section • Process knowledge • Learning environment • Own results

Integrating Requires Making Time and Space for Conversation “Where information is the raw material and ideas are the currency of exchange, good conversations become the crucible in which knowledge workers share and refine their thinking in order to create value-added products and services. The most important work in the knowledge economy is conversation.” Alan Webber What’s So New About the New Economy Harvard Business Review

Improved Business Results Process Change The Intended Outcome The Unintended Outcome Rapid Iteration Technology = Business Process + Team/Organization The Integrated Approach

Get the Right Sponsor I am NOT the CIO! • Span of control/ influence • Create consensus… or • Enforce it. • Credibility with business users • Willing to be visible and proactive with support and risk management

Final Thoughts… Neither leadership nor management alone is sufficient to deliver business change. They are equal halves of a necessary whole.

Thank You! BROOKE-KNIGHT DESIGNS Questions or Arguments? Julie Anderson Brooke-Knight Designs +1.650.248.1435 julie_anderson@pacbell.net I. Barry Goldberg Entelechy Partners +1.501.219.0837 barry.goldberg@entelechypartners.com

Leading Change: Getting Your SAP Initiative Over the Finish Line