ERP Implementations Exceed Budgets, Schedules

ERP Implementations Exceed Budgets, Schedules

Schedule ChangeSchedule Change

72% of ERP implementations experience duration overruns, compared to 61% which did in 2010.

Footloose FiscalsFootloose Fiscals

54% exceed their planned budgets, which is actually down from 74% in 2010.

Diminishing ReturnsDiminishing Returns

66% of organizations gain no more than one-half of the anticipated benefits of their ERP implementations, compared to 48% which did in 2010.

Payback PeriodPayback Period

It takes an average of 30 months to recoup the cost of an ERP implementation, up from 25 months last year.

Top Reasons to Implement ERPTop Reasons to Implement ERP

To improve business performance: 15%, To better integrate systems throughout multiple locations: 14%, To better serve customers: 12%, To ensure reporting and regulatory compliance: 11%, To replace an old ERP or legacy system: 11%

Thumbs UpThumbs Up

More than half of survey respondents are satisfied with the overall software functionality of their ERP implementation, as well as the software’s ability to meet business needs.

Thumbs DownThumbs Down

About one-third are dissatisfied with both the implementation services and documentation practices of their vendors.


85% of ERP software exists on-premise, while only 11% is hosted in the cloud.

ROI ImpactROI Impact

Nearly two-thirds of survey participants say they’re saving more than 20% on costs through a cloud-based ERP initiative.

Top Consulting Needs of Organizations Pursuing ERPTop Consulting Needs of Organizations Pursuing ERP

ERP implementation: 21%, Training: 19%, Change management: 14%, Software selection: 11%, Contract negotiation: 9%

Dennis McCafferty
Dennis McCafferty
Dennis McCafferty is a contributor to CIO Insight. He covers topics such as IT leadership, IT strategy, collaboration, and IT for businesses.

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