""There's so much that can go wrong," she told The Register. "From the beginning, we're talking with clients, and we're hearing a technology conversation without any type of business input, and that happened today. We're always steering clients back to the fact that this is business transformation. There needs to be executive sponsorship, there needs to be evidence that the organization is actually preparing itself for change - how they're going to operate - and not just replacing an application.""
"The US Air Force, retail giant Lidl, brewer MillerCoors, and cosmetics brand Revlon have all suffered high-profile ERP disasters, but Birmingham City Council, Europe's largest local authority, topped them all by going live with an Oracle system that was not ready, leading to financial crisis and a decision to reimplement the software, taking the total project costs from around £19 million to £170 million."
ERP implementations are inherently complex and often suffer from a widening divide between IT teams and business leaders. High-profile failures include the US Air Force, Lidl, MillerCoors, Revlon, and a major case where Birmingham City Council went live with an unready Oracle system, prompting a financial crisis and reimplementation that increased costs from around £19 million to £170 million. Common contributors to ERP disasters include weak business cases, unrealistic scope, underestimated complexity, scope creep, conflicting stakeholder interests, excessive customization tied to legacy processes, and limited organizational change management. About 70 percent of initiatives fail to fully meet original business use-case goals, and roughly 25 percent fail catastrophically. Survey data from 2023 indicates 73 percent of tech leaders consider their ERP strategy not strongly aligned.
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