ERP Implementation Completed on Time and On Budget?

I read an article on Proformative called ERP Implementation Failure Cost Me My Job- Here is What I learned. After the initial shocker of this headline I had to read more. Basically, the author, who opted to stay anonymous wrote the post as a benefit to other looking to embark on their own ERP implementation journey.  His concerns are not without merit.

Last year, a McKinsey report found half of IT projects with budgets of over $15 million dollars run 45% over budget, are 7% behind schedule and deliver 56% less functionality than predicted.  We look at those numbers and wonder: does it have to be like this? The answer of course is not a simple yes or no.  Implementing ERP software is an extensive process, which takes time and a clear up-front understanding of the projected costs and timetable.

Here are some key-takeways to keep an ERP Implementation on Track

• Clearly define and outline the benefits of the system
• Assume the project will cost more than initially expected
• Keep customizations to a minimum, finish the project first before embarking on costly customizations
• Keep a clear and open dialogue between the implementation partner
• Make sure both parties are willing to admit and move on from mistakes and miscommunications
• Set aside enough time to review and test the software
• Plan on an education period for the staff users
• Delegate and have a solid in-house IT department on board prior to the start of the project
• Make sure the executive team is on-board for the duration of the process

Let me know what you have experienced in your ERP implementations.