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Friday, June 10, 2005

ERP standardisation creating the new dynosaurs
I started to read Open Boundaries (Sherman and Schultz) and it sparked off a number of thoughts. One concentrated around the question of complexity of ERP systems.
 
I'm trying to find exemplars of companies where ERP implementation has been a business success, i.e. not a project success (within budget and on time) or a cost reduction success ("we saved x million IT costs") but some real growth in the marketshare or volume. Surprisingly it is very hard to get those exemplars. If you have heard from one, please let me know.
 
I also started to ask myself whether the standardisation of processes that international companies intend to achieve over the business units with their original diversity of systems is the right way to go. The standardisation creates a monolitic structure (which is admittedly cheaper) but also makes the company monolithic. If an as yet unknown different business model or change in the business environment would occur, the rigidity of the ERP structure would make it hard to admit the change in environment or to develop response to it.
 
I have seen an example of a company with a highly cost efficient IT ERP infrastructure, which prevents new developments that do not fit immediately in the standard environment. In a way a highly optimised dynosaur that isn't flexible enough anymore to adjust to change.
 
The space here is to small to expand this fully, but give me your views if you agreee or disagree.
 
10 jun 05 @ 11:39 am


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