1. Why did Tektronix implement ERP in stages? How should a company decide on implementing in stages or going big-bang? Tektronix implemented the ERP in many waves. Each wave delivered a specific functionality for a particular division or geographic region. The concept of waves was important: * implementing in waves allowed to obtain regular feedback * flexibility in scheduling – e. development at MBD took much longer than anticipated – but due to the wave concept there were no major delays in the whole project * easier to gain overall acceptance – it is able to show already first benefits * implement together what is similar allows a more smooth process * frequent victories kept the team moral high and ensured that the Board continued to support the high cost and long timeline of implementation * start with an area that effects all divisions or the division with the lowest complexity a continues learning process. Roll out started with one country (US) after that was successful with key region in Europe and than in larger waves that were implemented more or less together Big bang implantation only for smaller companies with lower complexity or in strongly centralized organization. With a big bang implementation the company looses some of the flexibility of the wave approach and faces higher risks. 2. How did Tektronix manage the risks of ERP implementation? Project steering committee In order to make sure that the overall goals were achieved, a steering committee was created that refined the company’s vision to develop a global business mode.
The steering committee set out the overarching guidelines to which the system needed to adhere in order to be successful. In addition, they defined “Business Pratice Changes and Guiding Principles” to provide more concrete directions for the implementation. Project organization and management To implement these major changes, each of the three divisions had its own worldwide implementation of Order Management. The project team included strong leaders of each business division and Neun was given unlimited authority on the implementation. Nobody questioned his authority. Project implementation
Risks were reduced by implementation of the ERP in several waves. This allowed a continuous learning process and the independent implementation for the three business divisions. Starting with the division of the lowest complexity allowed later waves to profit from that earlier experience when implementing their special needs. Also there was a more flexible scheduling allowing extended development periods for the individual divisions when required. 3. What is your overall assessment of the Tektronix ERP project? The implementation of the ERP fulfilled all requirements that were initially defined.
They never lost track and after implementation were able to improve several processes. Moreover, complexity was strongly reduced and transparency increased, which allowed reducing overall costs. In addition, Tektronix recognized its own limitations and outsourced the whole implementation process. They worked together with several consulting and service firms and contributed different task according to the expertise provides by these firms. This process allowed them to stay focus and to implement the ERP in the most efficient way possible.