In the realm of ERP implementation and digital transformation initiatives, projects are no longer solely technical in nature; they have become organizational endeavors. Consequently, the question arises as to who bears the final responsibility for the success of these projects. While many organizations still assign this responsibility to the IT manager, an increasing number believe it is more effective to anchor it within the management team or the board. This prompts an interesting question: is a "group responsibility" approach truly effective, and what are the alternatives? Here, we delve into an analysis of this matter.
Shifting Responsibility: IT Manager vs. Management Team or Board
Customer preferences hold significant sway in today's markets. Organizations are under pressure to modernize their business processes, shift their teams' mindset, and place the customer at the center of everything they do. Installing or technically activating a new IT tool is likely one of the simpler tasks in an implementation project. The real challenges lie in changing business processes, breaking down internal silos, and improving internal cooperation. These aspects are far from easy and often exceed the capabilities of the average IT department.
The Effectiveness of Group Responsibility
Hence, it is crucial to fully engage the leadership team. They should be assigned specific roles and responsibilities and be prominently featured at the project's kick-off event. They must accept overall responsibility and be supported in preparing for their new role. Regrettably, this concept is often implemented incorrectly by diffusing responsibility among a group, where no single individual feels truly accountable, and anyone can easily avoid accountability. It is akin to sending an email to five colleagues, asking for immediate action, but with little chance of anything happening. Many failed ERP projects have adopted this model.
The Need for an Individual Board Member
Our recommendation is to always designate a single board member as the ultimate responsible party. Ideally, this person should possess sufficient internal influence, be highly engaged, and wholeheartedly committed to achieving the desired results. They should be capable of detecting early problem signals, making tough decisions, and overcoming obstacles. You need someone who loses sleep over your project challenges. Interestingly, the first step this designated individual is likely to take is to lower expectations, limit the project's scope, and carefully assess whether the available financial resources are adequate for success.
By assigning one board member as the ultimate responsible party for the defined project results, your chances of success will significantly increase.