Question: Why did it choose a Big Bang approach, rather than the 3-to-5 year plan suggested by the consulting firm? December 30, 1997, was the Go-Live

Why did it choose a Big Bang approach, rather than the 3-to-5 year plan suggested by the consulting firm?

December 30, 1997, was the “Go-Live” date at NIBCO, Inc., a privately held midsized manufacturer of valves and pipe fittings headquartered in Elkhart, Indiana. In 1996 NIBCO had more than 3,000 employees (called “associates”) and annual revenues of $461 million. Although many of the consultants NIBCO had interviewed would not endorse a “big bang” approach, the plan was to convert to SAP R/3 at all ten plants and the four new North American distribution centers at the same time. The price tag for the 15-month project was estimated to be $17 million. One-quarter of the company’s senior managers were dedicated to the project, including a leadership triad that included a former VP of operations (Beutler), the information services director (Wilson), and a former quality management director (Davis).

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