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CHANGE MANAGEMENT PROJECT REPORT

BY

MARYAM HASHMI

ARBAB SIKANDER

ASAD ABBAS

KAMRAN ASHRAF

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TABLE OF CONTENTS

Introduction . 4

Vision ...6

Mission 6

Human Capital Management .6

Need for Change 7

Change Management Model 8

Application of the Model ..10

Conclusion . 15

References . 16

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INTRODUCTION

Fauji Fertilizer Bin Qasim Limited (FFBL) is a modern Granular Urea

and Di-Ammonium Phosphate (DAP) fertilizers manufacturing

company, built at a cost of US$ 468 Million and located in Eastern

Zone of Bin Qasim, Karachi, Pakistan.

FFBL is the only fertilizer complex in Pakistan producing DAP

fertilizer and Granular Urea thus making significant contribution

towards agricultural growth of the country by meeting 45% of the

demand of DAP and 13% of Urea in domestic market.

Fauji Fertilizer Bin Qasim limited is committed to support countrys

agricultural production and economy by continual improvement

and excellence in all areas of its functioning.

The company management and all employees are dedicated to

practice efficient and environment friendly process for prevention

of pollution and strive to exceed local and international standards ofquality, health, safety and environment.

The management and employees have also committed themselves to

achieve full customer satisfaction, meet legal and moral obligations

through coordinated efforts as One Team.

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VISION

To be a premier organization focused on quality and growth, leading

to enhanced stakeholders value.

MISSION

FFBL is committed to remain amongst the best companies by

maintaining the spirit of excellence through sustained growth rate

in all activities, competitive price, quality fertilizer and providing

safe and conducive working environment for the employees.

HUMAN CAPITAL MANAGEMENT

Like any progressive, growing and dynamic organization, the

Management of Fauji Fertilizer Bin Qasim Ltd. (FFBL) gives due

priority to the Human Resources realizing their vital role in the

overall performance.

Recruitment Policy

The recruitment policy is based on sound planning and correct

assessment. The Human Capital Management Department is careful

of its demanding responsibilities and is committed to hunt "Right

People for Right Job" by adopting transparent, creative, innovative

and well thought out recruitment policy.

Induction & Grooming

FFBL recognize that their employees need to be equipped with

knowledge and skills necessary to meet the challenges of time.

Technical Training Center conducts and organizes technical as well

as management development trainings using in-house and outside

resources.

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Facilities & Benefits

The employees are provided with all welfare oriented facilities.

These include full medical coverage, transport facility,accommodation at plant site or in nearby areas on subsidized basis,

catering of all employees during office hours etc. These services are

provided to ensure that employees are committed fully to their jobs.

NEED FOR A CHANGE

FFBL adopted Enterprise Resource Planning (ERP) system to

sustain competitive edge in the market. ERP system is an integratedset of programs and process for all kind of data and information that

provides support for core organizational activities such as

manufacturing and procurement, finance and accounting, sales and

marketing, and human resources.

An ERP system helps various parts of the organization share data

and knowledge, reduce costs, and improve management of business

processes.

However, successful ERP implementation is not easy nor an

inexpensive, risk-free venture. 7580% of all ERP implementations

around the world fail. The major reason for failure is the resistance

of people to change. FFBLs ERP implementation project is

considered as one of the success stories of SAP (Systems

Applications and Products in Data Processing, one of the largestsoftware companies in the world).

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CHANGE MANAGEMENT MODEL

1.Urgency Creation and Benefit Realization

i. Creating a crisis situationii. Breaking the existing status quo

iii. Identification of project benefitsiv. Putting up processes to ensure benefits are realized

2. Creation of a Winning Teami. Putting together a group with enough expertise and

credibility to implement the change

ii. Getting the group to work together like a team

1.Urgency

Creation and

BenefitRealization

2. Creation of a

Winning Team

3. Managing

Stakeholder

Expectations

4. Work Force

Transition

5. Training

Effectiveness

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3.Managing Stakeholders Expectationsi. Identification of key project stakeholders or

stakeholder groups

ii. Focusing on resolution of issues that may reducetheir level of support for the project

4. Work Force Transitioni. Identify fears among work force

ii. Guiding the work force through the change processi.e., from current to future state

5.Training Effectivenessi. Identification of Learning Needs

ii. Development of Training Materialsiii. Effective delivery of trainingiv. Evaluation

Communication

b.Building Awarenessc. Setting Expectationsd.Outlining the actions required to prepare for the Changee. Reinforce expectations to take action and embrace the

change

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APPLICATION OF THE MODEL

1.Urgency Creation and Benefit Realization Employees were bombarded with information on future

opportunity in terms of implementing ERP, using emails,

newsletters, notice boards, weekly meetings etc as medium.

Management Consulting Firm was hired to carry out the studyand to provide an outside view and an honest appraisal for the

employees.

Employees were involved at an early stage. The employeesdiscussed the pros and cons on an Employee Portalimplemented by the consulting firm to help the employees feel

out technology at the work place.

2.Creation of a Winning Team A group with enough expertise and credibility was made to

implement the change and work like a team.

This included a 3 day team building exercise by a consultingfirm to introduce the One Team concept among the members.The team included:

Project Manager Change Experts Training Experts

ERP Implementation Experts Communication Lead One employee from each department identified as Super User

3. Managing Stakeholders Expectations

People earmarked as stakeholders for the project included:

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Department Heads all directly reporting to theChief Executive

Board of Directors, headed by MD Fauji Foundation Initial assessment regarding their level of commitment to the

project was done.

Formal Interviews with stakeholders were conducted to discusslevel of awareness of project objectives, implementation plan

R-W surveys (Resistance Willingness Surveys) were donethrough out the implementation process.

The survey results received from three R-W surveys carried outin the beginning, after a year and at completion are shown as

follows:

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4.Work Force Transition Guiding the work force from current to future state was the

most important activity for the team.

Initially, surveys showed lot of resistance from employees.Some of the reasons behind this were:

Lack of Skills to effectively use the system. Lack of understanding of the new system due to

changes in processes and workflows.

Upper / Middle Managements fear of re-defining oforganization structures; positional power at risk.

Layoffs. Status quo.

Range of activities carried out by the Change Managementteam

Communication of ideas which helped employees tosee the needs and the logic for the change.

Using newsletters, company website, emails andnotice boards to put the message across.

Using Employee portal for dual purpose a) listen toemployees concerns and addressing them b) giving

employees a feel of the technology.

Presentations to groups as method to educatepeople beforehand.

Incentives to early adopters of the system.

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Use of ADKAR model throughout theimplementation to assess the adoption among

employees (a change management model which

includes following steps: awareness, desire,

knowledge, ability and reinforcement).

Use of R-W Surveys through out the implementation. The survey results received from three R-W surveys.

carried out in the beginning, after a year and at

completion are shown as follow:

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5.Training Effectiveness Training experts were involved in the identification of training

needs through Training Needs Analysis.

More than 250 formal trainings were carried out during theimplementation.

Attendance certificates were given to all employees. Cash incentives were given to the top performer in each

session of training.

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CONCLUSION

These were the steps which FFBL adopted in order to bring a

change which was to have an ERP system. Successful ERPimplementation projects are less about technology and more

about people and processes. FFBL successfully implemented it by:

Using the appropriate strategies and techniques. Non stop communication was done. Appropriate training was given. Continually evaluated the status of change management efforts. Reduced the uncertainty and perceived risk in individuals. Commitment of top management to implement change.

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REFERENCES

http://www.ffbl.com/

http://www.change-management-coach.com/adkar.html

http://en.wikipedia.org/wiki/SAP_AG

http://www.ffbl.com/http://www.ffbl.com/http://www.change-management-coach.com/adkar.htmlhttp://www.change-management-coach.com/adkar.htmlhttp://en.wikipedia.org/wiki/SAP_AGhttp://en.wikipedia.org/wiki/SAP_AGhttp://en.wikipedia.org/wiki/SAP_AGhttp://www.change-management-coach.com/adkar.htmlhttp://www.ffbl.com/