As companies brace themselves in a down economy, ERP projects (upgrades, extensions, new implementations) run the risk of being delayed just when they are needed the most. A well-managed ERP implementation can be a continuing source of cost savings and operational improvements which help companies survive and thrive, according to Aberdeen research.
While the total cost of ERP ownership is important to monitor and optimize, focusing on TCO is no longer sufficient.
“Focus must now expand to include ROI of ERP projects in order to justify continued investment and maximum benefits,” says Cindy Jutras, vice president, research fellow and group director, who was primary analyst of this report.
“Companies with ERP implementations that we determine to be ‘best in class’ don't necessarily pay more than poorer performing installations, but measure more and subsequently produce significantly more benefits in terms of cost savings and other improvements, driving the cost of those benefits down,” Jutras says.
Valerie Valentine is senior editor for Information Management. You can follow her on Twitter at @va1va1entine or via email at valerie.valentine@sourcemedia.com.
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