Why ERP projects fail: Finding the gaps in your program plans

Skipping steps in the implementation process can cost your company dearly. Here's what to look for—and look out for.

bridging a gap
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In recent years, CEOs and CFOs are being held to greater account for the financial, operating, and brand damage that is being delivered by poorly executed ERP replacement initiatives. 

In 2016, the CEO of Israel Chemical Limited (ICL) resigned in part due to the cost overruns associated with the company's SAP deployment.  And the CEOs at Sleep Number and Hertz have had to personally step in to address flawed ERP and digital transformation initiatives.  There have also been multiple class-action shareholder lawsuits against at least 7 past CEOs and CFOs of Revlon due to the material accounting practice weaknesses identified as a result of their SAP implementation.

The market is ruthless when ERP replacement projects fail, and CEOs are neglecting to protect shareholders from the risks that are clearly present.

Why is this happening and what's missing?  

As cost pressures increase and rapid time to deployment is required to meet competitive pressures, companies are skipping or failing to identify steps in their implementation process, steps that have been around for ages.  These gaps are likely the results of:

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