Few ERP replacements go according to plan and meet expectations. And not one of the organizations listed in this failure gallery ever thought they would experience these problems.
Some industry observers say that fewer than ten percent of ERP replacements fully meet expectations, while more than ninety percent experience partial to outright failure.
Note: We define ERP as the software that manages how a business delivers products or services and tracks the money, from orders and operations to billing and financials.
Why you don’t hear about ERP failures
The ERP failure problem is like an iceberg. Most people don't like talking about their failures. That is why you only hear about them if they end up in court, involve the government or impact the stock price of public companies. But, if you ask around, you will find them in your network.
The examples linked from this page are but the tip of the ERP failure iceberg. Since people seldom hear about these failures, they underestimate the difficulty of selecting the software in the first place.
Where the problems start
The seeds of an ERP failure are usually sown at the start of the project with inadequate requirements, and by not building buy-in through involving users with requirements development.
If you don’t know what you want, you won’t be happy when you get it.
However the fruit of those shortcuts only becomes apparent when implementation dates slip, costs spiral out of control and there is serious business disruption when the software goes live. To make matters worse, the new software doesn't come close to meeting expectations and you can forget about supporting the business strategy.
On the top right, this page links to failure examples grouped by the size of the failure. Go directly to the section corresponding to the size of your purchase
Reduce ERP replacement risks
If you are concerned about the risks of an ERP replacement project, click the [Contact Wayferry] button below. Wayferry is an independent consulting firm specializing in ERP replacements. We are paid by our clients, and never by software vendors when you purchase the software. Let’s explore how we can help you minimize your risks.