The “2023 Digital Transformation Report” by US consultancy Third Stage Consulting states that implementation time and cost are still the two most important metrics used by executives and project management to measure project success. The report is based on experiences from hundreds of ERP implementations over the last ten years, carried out in a wide range of countries.
Third Stage examined behavioral and qualitative factors. The research shows that there are a number of specific factors that correlate strongly with the duration and the cost of implementation:
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Functional scope: projects with a broader scope of functional areas take more time and incur higher costs.
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Degree of change: projects that bring about the biggest changes in your organization take the longest and cost the most.
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Complexity of operations: implementations in companies with more business units, operations in multiple countries and other complex business models are characterized by the longest durations and the highest costs.
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Scale of software customization: projects with more customizations have longer durations and higher costs.
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Organizational change: companies that invest the most in their change management handle their projects quickly and tend to face lower costs.
Factors that correlate very strongly with the duration and costs of an ERP implementation (simplified illustration).
Avoid High Complexity and support Change Management - consider these Factors in particular for the Success of your Project
In today’s fast-paced business world, no company can afford a complete or even partial fail in ERP implementation. If you want to create the best conditions for your project success, you should try to avoid a high complexity of your project and divide your project into individual phases in the preparation phase.
It is also advisable to carry out as few customizations as possible and to ensure sufficient internal support for change management during implementation.
Do you need support with this? Then please contact us to take the first step on the way to the success of your project.
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