Enterprise Planning and Implementation Executive Summary: An Enumerative Study

Enterprise Planning and Implementation Executive Summary The following study tries to understand the implementation process of a new change in an organisation. Contents Executive Summary 2 Introduction 4 Implementation of change for Woolworths 4 Description and Justification of Information Architecture 4 Technology architecture 4 Work breakdown structure and work package decomposition 5 Activities and Processes 6 Critical success factors 7 Governance- Stakeholders Management 7 Governance- Costing and budget management 9 Pre implementation plan 10 Post implementation Plan 10 Risk Assessment 11 Conclusion 12 References 14 Introduction Woolworths is one of the largest

Enterprise Planning and
Implementation
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Executive Summary
The following study tries to understand the implementation process of a new change in an
organisation. The study enumerates upon the case of Woolworths to illustrate how a new change
can be implemented. To substantiate upon its findings the study takes the example of
implementing cloud computing to ERP and CRM systems at Woolworths.
At the onset the study explains the meaning and importance of information and technology
architecture and its dynamics with cloud computing. Further, the study tries to break down the
work into smaller units through a work break down structure. Further, the study tries to illustrate
various activities and their time limes required for implementation of cloud computing.
Additionally, the study also tries to throw light upon governance issues like stakeholder’s
management and budgeting for the change. The study also makes an effort to understand the
various critical success factors for the change implementation. In continuation the study
illustrates pre and post implementation plan. Lastly the study assesses risks of the change
implementation along with methods of mitigating them.
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Contents
Executive Summary.........................................................................................................................2
Introduction......................................................................................................................................4
Implementation of change for Woolworths.....................................................................................4
Description and Justification of Information Architecture..........................................................4
Technology architecture..............................................................................................................4
Work breakdown structure and work package decomposition....................................................5
Activities and timelines...............................................................................................................6
Critical success factors................................................................................................................7
Governance- Stakeholders Management.....................................................................................7
Governance- Costing and budget management...........................................................................9
Pre implementation plan............................................................................................................10
Post implementation Plan..........................................................................................................10
Risk Assessment........................................................................................................................11
Conclusion.....................................................................................................................................12
References......................................................................................................................................14
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Introduction
Woolworths is one of the largest retail outlets in Australia (Woolworth, 2018). The firm is doing
well and its revenues are rising by 5.1% annually (Woolworth, 2018). However, the firm has in
place older technologies to manage its Enterprise resource planning (ERP) and customer
relationship management (CRM) systems. Cloud computing can improve these systems. Cloud
computing is an IT service where data, software or any other information is shared on a third
party server over the internet (Erl, 2013). Cloud computing reduces costs, increases accessibility,
increases data processing speed and restricts data loss caused due to hardware failure (Jamsa,
2012). Cloud servers are safeguarded with security locks to prevent breech of data. Woolworths
can apply cloud computing to its ERP and CRM system to make them more cost effective and
accessible. Following work creates a framework for implementation of change plan for
Woolworths.
Implementation of change for Woolworths
Description and Justification of Information Architecture
Information architecture entails the design of shared information with regards to an organisation
(Betz, 2011). It involves the structure and design of websites, shared communities and other
content which an organisation wants people to find on the internet. Information architecture
helps an organisation in making its content usable and findable (Betz, 2011).
Major change requirement of Woolworths is a move towards cloud computing and management
of ERP and CRM system through the cloud. For optimal functioning a shared community like
the cloud requires proper designing (Scholz, 2013).This can be brought about by information
architecture (Betz, 2011). Hence, use of information architecture is justified for implementation
of cloud computing at Woolworth.
Technology architecture
Technology architecture in enterprise planning involves adoption of latest models, methods,
guidelines and specifications involving new technology (Hausman, 2013).Cloud computing
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implementation at Woolworths would require upgradation of IT infrastructure, power backups,
high volume data hosting servers etc.
Therefore, to enable cloud computing, the firm requires designing of technology architecture
(Hausman, 2013). Through structured designing of servers and other equipment it will become
easy for staff to understand cloud computing.
Work breakdown structure and work package decomposition
Woolworths needs to transit from old ERP and CRM system to cloud computing which can
greatly reduce costs for the company (Jamsa, 2012). For this purpose the firm needs to treat the
change process as a project and break it down into work units.
Work breakdown means dividing the work in hand into smaller units so that each can be
completed separately and more efficiently (Nicholas, 2012). Following is work breakdown and
decomposition of implementation of cloud technology for Woolworths.
Work Breakdown Structure
Steps Stakeholders Work assigned
Defining the project CEO and other directors Defining infrastructure to be
put on cloud such as ERP and
CRM system.
Platform Selection IT manager and his team Choosing a platform which is
fast, easy and secure
Handling security issue IT manager and team Creating a clear security
policy
Selecting service provider IT manager and team Finalising terms and
conditions with service
provider
Staff Training HR manager and team Designing training structure
Table 1: Source: Adapted from (Nicholas, 2012)
This work breakdown structure can help Woolworths in implementing cloud computing
technology in an easy and efficient manner.
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Activities and timelines
The change process of migrating to cloud computing for ERP and CRM should be done in a
sequential and phased manner so that the staff adapts gradually to new mechanism (Bridges,
2017). Following is a sequence of the activities to be undertaken while implementing the change
Activities and Timelines
Steps Person responsible Method Date and duration
Assessing need for
cloud computing and
formulating policy
CEO, managers and
directors
Meeting Last week of May
2018
Informing staff
regarding change
CEO
IT managers and other
managers
Meeting 1st week of June 2018
Training to staff HR manager Training on use and
need of cloud
computing
2nd and 2rd week of
June 2018
Discussion on the
new change policies
and aspects
Various functional
heads
Meetings 4th Week of June
Adoption of the new
change
IT manager Phased
implementation of
cloud computing
into ERP and CRM
system
1st and 2nd week of July
Setting up help desk IT team Discussion Continuous from July
Table 2 Source: Adapted from (Bridges, 2017)
Through these activities the change from old system to cloud computing can be adopted
smoothly.
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Critical success factors
Well planned change strategy can make transition towards cloud technology easier for an
organisation (Cameron & Green, 2015). However, there are a few factors which are very
important to success of the cloud policy (Ruparelia, 2016). Woolworths needs to pay attention to
these factors while implementation. These are:
1. Finding the right partner/service provider- Management of Woolworths would need to
spend time an effort in choosing the right service provider (Erl, 2013). Wrong selection can pose
a threat to data storage on the cloud (Erl, 2013). After in-depth assessment most suitable service
provider should be chosen
2. The security issue- The biggest concern of cloud computing is security of data (Jamsa, 2012).
As the data is kept on third party server there is more possibility of data breach. While partnering
with a service provider the firm must assess each and every aspect of security and enter into a
security agreement with the service provider.
3. Training and technical support- Whenever a firm migrates from one system to another there
are many fears and misconceptions in the mind of the workforce (Goksoy, 2015). Woolworths
needs to undertake proper training and explain benefits of cloud computing to its staff (Jamsa,
2012). Well trained staff is critical to success of new technology implementation.
If the firm pays attention to these critical success factors, it will be able to smoothly transit to the
new cloud technology.
Governance- Stakeholders Management
Stakeholders are the people who affect or get affected by any change of policy in an organisation
(Hill, 2012). Major stakeholders in the process of implementation of cloud computing in
Woolworths would be the management, employees, Government, media, customers and the
service provide (Brinkman, 2014). Any project can only be successful if stakeholders are
satisfied. Organisations can categorise stakeholders based on the power and the interest they
have in the situation (Brinkman, 2014). This can be done through the power –interest matrix.
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Understanding power and interest of stakeholders
The power interest matrix is a helpful management tool to categorise and prioritise stakeholders
while undertaking a new project (Hill, 2012).
Following is a power interest matrix for Woolworths
Power- Interest Matrix
Figure 1: Source: Adapted from (Brinkman, 2014)
Based on this matrix Woolworths can categorise its stakeholders as follows
Service provider- Service provider is a very important stakeholder as the success of cloud
technology is dependent on efficient service by this stakeholder (Erl, 2013). Therefore, service
provider is very powerful stakeholder. However, service providers or suppliers are not interested
in internal function of the organisation (Brinkman, 2014). Strategy for high power- low interest
stakeholder is to keep them satisfied with periodic payments and information,
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High Power Low
interest
Keep Satisfied
Example Suppliers/
Service provider
.
High Power High
interest
Manage Closely
Example: Management
and Employees.
Low Power Low
Interest
Monitor
Example :Government
Low power high
interest
Keep informed
Example - Customers

Management and Employees- Management and employees have an important role to play in
the implementation of cloud computing (Jamsa, 2012). Additionally, they have an interest as
well as power in its successful implementation. Strategy for these stakeholders is to monitor their
efforts closely so that project progresses well (Hill, 2012).
Government- As long as the firm is operating lawfully the Government has no power or interest
in its internal policy implementations (Hill, 2012). Strategy for these stakeholders is to monitor
them to check there approach towards the company.
Customers and media- Customers and media are very interested in policy changes of large
organisations. However, they have low power over internal implementation (Hill, 2012).
Strategy for these stakeholders is to keep them informed about the changes.
Proper stakeholder management can help in smooth transition of the change at Woolworths.
Governance- Costing and budget management
Implementation of cloud computing at Woolworth would require allocation of budget (Cameron
& Green, 2015). Following is an assessment of various activities and their budgetary
requirements
Budget and Costing for change Implementation
Activity Cost/ Budget
Engaging a service provider $15000 annually
Cloud computing trainer $1000
Training room and other equipment $500
Upgradation of computer systems to match the
needs of cloud computing
$5000
Miscellaneous $1000
Total expenditure $22500
Table3: Source: Made by Author (2018) Adapted from (Cameron & Green, 2015)
This budget allocation will help in assessing and fulfilling the financial costs of change
implementation at Woolworths.
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Pre implementation plan
For any change process to be successful it needs to be implemented with proper planning and
clarity (Goksoy, 2015). Amy unplanned change can create chaos and fear in the employees mind.
Cloud computing is a new way of conducting business; therefore, importance has to be given to
planning before its implementation so that nothing goes wrong.
Pre implementation plan for implementation of clouds computing at Woolworths
Activities Person responsible Timeline
Upgradation of servers and application to
suit cloud technology
IT manager and team 1st week of June
Getting clarity on service provided like
technical support, security and recovery
information from the service provider
CEO and IT manager 1st week of June
Setting up cloud infrastructure IT manager 2nd week of June
Training of staff HR manager and IT
manager
3rd and 4th week of June
Final implementation CEO, functional
heads
1st week of July
Table4: Source: Adapted from (Erl, 2013)
Hence, though the above plan there will be easy implementation of cloud computing at
Woolworths.
Post implementation Plan
Change process does not end with implementation (Cameron & Green, 2015). After the change
process the management needs to assess the efficiency of organisational functioning with in the
changed process. Following is the post implementation plan for Woolworth’s change to cloud
computing
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Post implementation plan
Activity Person responsible Time line Impact
Assessment of cloud
infrastructure
functioning
IT manager and team Continuous Addressing any IT
issues and solving
them
Checking employee
comfort level through
feedback
HR manager 1st week of every
month for one year
Finding out if there
are any further
training needs and
arranging for the
same
Interaction with the
service provider to
understand all the safety
and security measures
CEO and IT manager 1st week of every
month for one year
Finding any further
change needs
Table 5: Source: Adapted from (Erl, 2013)
Post implementation planning helps in mitigating any issues which arise due to change (Cameron
& Green, 2015). This planning will help in proper handling of the cloud computing at
Woolworths.
Risk Assessment
Risk assessment is the assessment of any underlying costs or harm that can come about because
of a project (Goksoy, 2015). Risk assessment helps in analysis of costs associated with a project
and mitigating them (Nicholas, 2012). As cloud computing is a new technology there are various
risks associated with it. However, with proper planning these risks can be mitigated (Erl, 2013).
Following is a risk assessment of implementing cloud computing at Woolworths.
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Risk Assessment
Risk
Description
Likelihood of
occurrence
Threat
Source
Impact
severity
Impact Mitigation method
Hacking of
password to
cloud server
Moderate Third party High Third party
obtains
data
Implementing a
strong password and
fingerprint sensor on
the server.
Incomplete
data entry
Low Accident High Incomplete
and wrong
evaluation
of data
Secondary checks on
data entry. Periodic
inspection
Training
Loss of
network or
power
Low Environment High Blockage
of
information
access
Power back up for the
server
Data breech by
inside
employees
Low Employees High Data sold
or shared
by insiders
to third
party
Proper employee
policy with legal
action on wrong doers
Data breech by
service
provider
Low Service
provider
High Data
shared with
third party
Agreement with
service provider for
secrecy
Table 6: Source: Made by Author (2018) Adapted from (Cameron & Green, 2015)
Through this risk assessment the organisation can assess the risks of cloud computing and put in
place corrective measures.
Conclusion
Cloud computing for ERP and CRM systems can reduce costs and improve data accessibility for
staff. However, transition towards this system needs to be carefully planned and implemented.
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Without clear implementation plan the change towards cloud computing can lead to chaos and
resistance by staff. Therefore, proper assessment of all the activities involved along with risk
assessment is required to implement change.
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References
Betz, C. T., (2011) Architecture and Patterns for IT Service Management, Resource Planning,
and Governance: Making Shoes for the Cobbler's Children. Amsterdam: Elsevier.
Bridges, W., (2017) Managing Transitions: Making the Most of Change. Boston: Da Capo Press.
Brinkman, J., (2014) Unlocking the Business Environment. New York: Routledge.
Cameron, E. & Green, M., (2015) Making Sense of Change Management: A Complete Guide to
the Models, Tools and Techniques of Organizational Change. 2015: Kogan Page Publishers,.
Erl, T., (2013) Cloud Computing: Concepts, Technology & Architecture. Harlow: Prentice Hall.
Goksoy, A., (2015) Organizational Change Management Strategies in Modern Business.
Harshey: IGI.
Hausman, K., (2013) Sustainable Enterprise Architecture. Boca Raton: CRC Press.
Hill, C., (2012) Strategic Management: An Integrated Approach. New York: Cengage Learning.
Jamsa, (2012) Cloud Computing. Burlington: Jones & Bartlett Publishers,.
Mastroianni, F., (2017) Technology and innovation. How does the strategic planning process
impact the management of technology and innovation and what consideration is given to the
impact of disruptive technologies in particular?. Nymphenburger: GRIN Verlag.
Nicholas, J. M., (2012) Project Management for Engineering, Business and Technology. New
Jersey: Routledge.
Ruparelia, N. B., (2016) Cloud Computing. cambridhe: MIT Press.
Scholz, J. A., (2013) Enterprise Architecture and Information Assurance: Developing a Secure
Foundation. Boca Raton: CRC Press.
Vaquero, L., Rodero-Merino, L., Caceres, J. & Lindner, M., (2008) A break in the clouds:
towards a cloud definition.. 39(1), pp. 50-55.
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