One of the critical services offered by the JAR&A ERP team is strategic ERP project leadership – guiding and managing the project to deliver a high value project outcome. The following factors are taken into account:
- Approach is critical — the manner in which an ERP implementation or turnaround project is managed is critical.
- Critical factors causing failure — the ERP Doctor has identified seven critical factors that cause ERP implementation failure. Foremost of these is Mythology, hype and tradition (1) which accounts for 30% of failures and Inappropriate or ineffective executive custody, governance and corporate policy (2) which accounts for 19%. Lack of effective strategic alignment and strategic solution architecture (3) accounts for 16% and lack of precision configuration (4) contributes 14% of what causes failure. Technology issues (7) account for only 3% of what causes failure.
- Critical factors for success — the Critical Factors for Successful ERP implementations include Effective Executive Custody (1) 25% of what is required for success. Effective strategic definition and alignment, understanding of the essence of the business (2) is 22% of what gives rise to a successful outcome. Effective engineering solution design and implementation approach (3) accounts for 17% followed by effective precision configuration (4) at 16% coupled to effective business simulation laboratory operation (5) at 12%. Technology is only 2% of what contributes to success – all mainstream ERP technologies are mature, stable, highly configurable and entirely capable of being successfully implemented.