DuPoint Chemical Company's ERP system implementation and organizational change management

Transitioning to ERP: Organizational development and change

Summary of the case

The DuPoint Chemical Company is in the middle of changing its software implementation system by transferring to an enterprise resource planning (ERP) system. The DuPoint Chemical Company, being a large organization and the complexity of the scheme being massive, the organization took its project piece-meal dividing it into four consecutive terms starting with January 2004 and ending with August 2004. The change management and communications itself were conducted in three steps so as to ensure smooth incorporation of the system. The three steps involved appointing individuals to responsible positions; trips to each of the 15 major plants in order to communicate the importance of the project to plant personnel; and precautions to deal with potential negative implications of change.

Proposing a solution

Change can be best managed by applying the organizational development (OD) framework to the case. OD sees the organization as a holistic system, with the leader or change agent applying some sort of catalyst from the outside to move it in a certain direction. The change agent is usually a behavioral scientist employed to assess and ascribe change to the organization. He or she attempts to implement this change in as easy and persuasive a manner as possible (French & Bell, 1973). In this case, the change agent would be the plant manager of each of the 15 plants, with the global operations director applying the overarching catalyst from the outside. The change agent would use some metaphor to encourage his or her team as a whole to see the change in appositive light and to accept the training and implementation of the system as a positive step in the organization's direction. The change metaphor that the agent uses is a concept that the team are familiar with and that is in sync with the company's cultural perspective since OD views the organization as a complete system rather than as a distinctive aggregate of individuals (French & Bell, 1973). Only when it is viewed as a whole, can the organization be more feasibly moved forward. Viewing the company in terms of its distinct employees may make the prospect more complex, and more possibly create and reinforce conflict.

OD is ideal for dealing with this situation since OD aims to improve overall organizational effectiveness. In an OD scenario, the organization is willing to solve the problem or to optimize its performance and the relationship is seen as a 'helping relationship' in the manner that all -- experienced line managers, vice president, project sponsor, global operations direction, professional trainers, plant manager, and employees - are all involved in the change (French & Bell, 1973).

Learning application

I find DuPont's steady and prudent transition to change impressive. Its breaking up the project into three gradual steps, monitoring each of these steps, delegating tasks to each member of the company and ensuring that all hold separate responsibility is worthy of imitation. DuPont seems to have each of its bases covered. Change should hardly pose a problem.

Reference

French, W.L. & Bell, C. (1973). Organization development: behavioral science interventions for organization improvement. Englewood Cliffs, N.J.: Prentice-Hall.