Topics: SAP AG, Technological change, Change Pages: 4 (1526 words) Published: November 12, 2013
Problem Statement
2.0 Resistance to Change
ATLAM main idea is to upgrade its accounting system with the PETRA group-wide SAP system. SAP accounting system is claiming to be the best software known to industry. The move was anticipated to be overwhelming to most employees including top management. The main concern is whether ATLAM’s staff would be ready to embrace the new system going to be implemented. SAP system was proposed to be phased in by April 2002 which is the start of new financial year for ATLAM. Most of the people working in ATLAM, in the management structure have been long service since the start of company in 1981. Changing or upgrade new system would be burdensome to the employees. Most employees are facing the same problem in concern of resistance to change. It is human nature for people to resist change. Regularly, the resistance is due to the fact that people are afraid of the unknown, which is what change can represent. To implement the SAP system, it is a need to educate the senior accounts clerks to participate in a pilot session to familiarize with the new system before progressing to other employees. Lim, the user representative resist to change for the new system in concern of money saving. He worried with the money flow out where SAP system will consume lots of money considering both financial and non-financial information and strategic implication in long-run. Lim worries that the response will be miserable and mentioned that SAP is impractical and almost impossible as they are lack numbers of PCs in department. There is major concern where some staff has never used a PC before where it indicates training for them will cost a lot and consume a lot of time. Zulkifli, manager of Finance and Accounting Department emphasized the use of SAP system will benefit the organization but Lim major concern is about adaptation of new system to the employees and perhaps for his own personal matters as well. It is believed that employees resist...
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