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Lesson 9 of 10

Go-live, change management and cost

Go-live is the day the company actually starts working on the new system. There are four strategies:

Old systemNewBig bangPhasedParallelPilotParallel runPilot siteOther sitesTime
StrategyHowWhen it fits
Big bangThe whole company switches on one day.Small companies with simple processes. Fastest but riskiest.
PhasedModule by module, for example finance first, then inventory.Large projects that want lower risk.
ParallelOld and new run side by side for a while and results are compared.When errors are very costly, such as payroll. But it doubles the work.
PilotOne site goes first; the rest follow once it succeeds.Companies with similar sites, like Nakhla: Jeddah first.

Why do ERP projects stumble? Rarely for technical reasons. The usual causes: uncontrolled scope growth, excessive customisation, dirty legacy data, missing executive sponsorship, and weak training that sends staff back to Excel.

That's why change management is essential: explain to staff why things are changing, pick key users in each department who train first and become their colleagues' go-to people, and train well before go-live.

Total cost of ownership (TCO): the licence or subscription is only part of it. Add up subscription or licences, implementation and consulting, data migration, training, infrastructure, and support and upgrades over 3 to 5 years.

Watch outA useful point for interviews: implementation consulting often matches or exceeds the licence cost itself. So the right question is “what will the whole project cost?”, not “how much is the software?”.
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