Importance of ERP Partner Independence

𝗘𝗥𝗣 𝗶𝗺𝗽𝗹𝗲𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻𝘀 𝗱𝗼𝗻'𝘁 𝗳𝗮𝗶𝗹 𝗯𝗲𝗰𝗮𝘂𝘀𝗲 𝗼𝗳 𝘁𝗲𝗰𝗵𝗻𝗼𝗹𝗼𝗴𝘆. They fail because of people. After 25+ years helping organizations navigate digital transformations and serving as an expert witness in some of the largest ERP lawsuits in the world, I can tell you the pattern is always the same. It's not the software that breaks. It's the system around it: → 𝗕𝗶𝗮𝘀 in vendor selection — where decisions are driven by relationships and sales influence rather than business fit → 𝗖𝗼𝗻𝗳𝗹𝗶𝗰𝘁𝘀 𝗼𝗳 𝗶𝗻𝘁𝗲𝗿𝗲𝘀𝘁 — where the people advising you also profit from the outcome → 𝗖𝘂𝗹𝘁𝘂𝗿𝗮𝗹 𝗿𝗲𝘀𝗶𝘀𝘁𝗮𝗻𝗰𝗲 — where organizations believe they're "too big to change" → 𝗪𝗲𝗮𝗸 𝗴𝗼𝘃𝗲𝗿𝗻𝗮𝗻𝗰𝗲 — where no one owns the outcome and risks go unmanaged → 𝗣𝗼𝗼𝗿 𝗰𝗵𝗮𝗻𝗴𝗲 𝗺𝗮𝗻𝗮𝗴𝗲𝗺𝗲𝗻𝘁 — where leadership delegates instead of leads The US Air Force spent $5 BILLION on an Oracle ERP implementation before canceling it. A Senate investigation called it an "organizational disaster." The technology wasn't the problem. Haribo nearly killed the gummy bear market when their SAP go-live — timed at peak Christmas season — caused supply chain chaos and millions in losses. These aren't just cautionary tales. They're proof that your transformation strategy matters more than your software choice. If you're about to embark on an ERP journey, ask yourself: Are the people advising you truly independent? Is your organization ready to change? Do you have governance strong enough to catch problems before they become disasters? The answers to those questions will determine your success — not the logo on your software. ♻️ Repost if you agree. Follow me for more transformation insights. #ERP #DigitalTransformation #ERPFailure #ChangeManagement #EnterpriseStrategy #SAPFailure #OracleERP #TransformationStrategy #Leadership #ThirdStageConsulting #CIO #CFO #BusinessTransformation

The mid-market ERP buying journey in Australia is rarely as straightforward as it looks from the outside. That's not a criticism of the ecosystem. It's just worth understanding before moving your business into the middle of it. 𝗛𝗼𝘄 𝘁𝗵𝗲 𝗺𝗮𝗿𝗸𝗲𝘁 𝗶𝘀 𝘀𝘁𝗿𝘂𝗰𝘁𝘂𝗿𝗲𝗱 Global ERP Software Vendors typically work through local Australian Implementation Partners who have invested in software certification and delivery capability. These partners bring genuine expertise, often deep industry knowledge, and they're the ones who will actually implement the solution for you. The complication arises because some of those same ERP Global Vendors also sell directly. Both channels are usually working in good faith to serve their clients. But when a Software Vendor competes against its own partner network, it can be confusing for buyers. 𝗪𝗵𝗮𝘁'𝘀 𝘄𝗼𝗿𝘁𝗵 𝘂𝗻𝗱𝗲𝗿𝘀𝘁𝗮𝗻𝗱𝗶𝗻𝗴 𝗲𝗮𝗿𝗹𝘆 Implementation Partners and Software Vendors bring different things to the table. Partners tend to focus on scoping, design and implementation delivery. Vendors are more focused on software licensing. Those goals usually align, but not always, and not automatically. Some useful questions to consider before you progress too far include: ➡️ Who will be responsible for delivering the end-to-end ERP Solution? ➡️ When do you really need to start paying for ERP licenses? ➡️ Who will support you and resolve issues associated with the ERP Solution? These are not challenging questions. They're simply the kinds of things a potential buyer would want to clearly understand. 𝗪𝗵𝗲𝗿𝗲 𝗶𝗻𝗱𝗲𝗽𝗲𝗻𝗱𝗲𝗻𝘁 𝗮𝗱𝘃𝗶𝗰𝗲 𝗳𝗶𝘁𝘀 𝗶𝗻 ERP is not just a licence purchase. The decisions made before contracts are signed shape everything that follows for many years to come. An independent ERP advisor sits outside the commercial ecosystem. We do not have any allegiances to Vendors or Partners, only our clients. The issue is not that the ecosystem can't be trusted; but because we offer a different vantage point that helps buyers make informed decisions with a clearer view of what they're actually choosing as well as having a clearer understanding of how to best approach the transformation process.

Why your large ERP Transformation should have a neutral Program Lead Today’s keyword: Conflicting interests. Large ERP transformations are not system implementations. They are political environments with different agendas at play. Have you worked on programs where key stakeholders were following their own agendas? Two examples. In-house Business Program Lead: Well positioned for the next career step into top management. There is nothing wrong with high ambitions. But when it comes to program leadership behaviour, incentives matter. Expanding scope increases visibility. Larger teams increase leadership span. A budget increase signals importance. Agreeing to keep legacy requirements makes key business players happy. In worst case, step by step, scope and complexity grow. Not always because it creates more value, but because it supports personal or political interests. Program Lead from the main delivery partner: It is no surprise that a service provider supports a growing program. More scope means more revenue. Longer runtime means higher utilization. Additional workstreams improve commercial performance. Again, this is not about individuals. It is about structural incentives. But who in this setup is structurally incentivized to optimise scope, minimize team size and maximize implementation velocity? Who challenges potential changes and says no where necessary? Have you considered adding a neutral, external Program Lead without internal career ambitions? Someone without revenue and business growth targets linked to delivery volume? The idea is to have someone in the transformation leadership team who consistently asks the why question and challenges business and provider alike. This neutral role focuses on value, feasibility and disciplined execution. Of course budget constraints for this additional key stakeholder and potential added value needs to be carefully balanced. ERP transformations are often very expensive and too critical to be driven by hidden incentives. Think about bringing in an experienced leader. Independent. Clear in communication. Focused on outcomes alone. It is not the most comfortable position, but it can protect and safeguard the program’s success. If you are planning or struggling with an ERP transformation and feel structural tensions in governance, it might be worth discussing whether neutral program leadership without bounds could optimise the implementation. Curious to hear your view.

Why Choose an Independent ERP Consultant? The Question I’m Often Asked. When Ratheesh and I first started Affility Consulting, a common question from prospective clients was:   "Why should I incur the extra cost of hiring an independent ERP advisor? Can’t I just pick a system and work directly with the vendor?" It’s a fair question, but one that stems from a misconception: that ERP selection and implementation is just about choosing software. In reality, it’s about aligning technology with your unique business needs and ensuring a seamless transformation—not just installing a tool.  Here’s the reality backed by numbers:   ⚠️ ERP Project Failures: 55-75% of ERP implementations fail to meet their goals, often due to poor planning, vendor bias, or lack of understanding of the business process requirements.   ⚠️ Cost Overruns: Nearly 57% of ERP projects exceed budget because of misaligned expectations, scope creep, or unanticipated technical challenges.   ⚠️ Time Overruns: More than 60% of projects take longer than planned, leading to operational disruptions and added costs.  What Happens Without an Independent Advisor?   1️⃣ Vendor Bias: ERP vendors prioritize selling their solutions. They may not fully align their recommendations with your business’s long-term goals.   2️⃣ Inadequate Process Reviews: Most businesses skip a thorough analysis of current processes and workflows, leading to inefficient implementation.   3️⃣ Missed Opportunities: Without an independent consultant, businesses often overlook critical features or misjudge scalability needs.     As an independent ERP advisor, our role is to:   ✅ Conduct a comprehensive review of your business processes.   ✅ Define ERP requirements tailored to your business—not just off-the-shelf solutions.   ✅ Provide unbiased recommendations, ensuring you choose the right system and implementation partner.   ✅ Oversee the implementation, minimizing risks, delays, and costs.  The result? A system that doesn’t just “fit” but works seamlessly to support your growth.  Investing in an independent advisor often saves 20-30% in total project costs by avoiding pitfalls like unnecessary customizations, vendor upsells, and project delays.      If you’re considering an ERP or digital transformation journey, don’t let missteps derail your success. Let’s talk about how Affility Consulting can ensure your ERP delivers the results your business deserves.  ▶️ DM me to learn more on how we can help or visit www.affilityconsulting.com to explore our services.  What’s your biggest concern about ERP implementation? Let’s discuss!

Between 55% and 75% of ERP programmes miss their original objectives. Not because the technology fails. Because nobody with the authority to act was looking closely enough, early enough, at the things that actually matter. Your SI is commercially conflicted. FastTrack is scheduled, not continuous, and may not be available to you. Your own PMO usually lacks F&O-specific experience. That's the gap independent review fills. This article breaks down when to call for a second opinion — before you sign, at the gates, or when something just feels off — and what an independent review actually covers: programme health, customisation debt, data and performance readiness, and the honest conversations your delivery partner can't have with itself. If your status report says green but your gut says otherwise, read this. 👇

𝟵𝟱% 𝗼𝗳 𝗘𝗥𝗣 𝘃𝗲𝘁𝗲𝗿𝗮𝗻𝘀 𝗷𝘂𝘀𝘁 𝗮𝗱𝗺𝗶𝘁𝘁𝗲𝗱 𝘁𝗵𝗲𝗶𝗿 𝗶𝗻𝗱𝘂𝘀𝘁𝗿𝘆 𝗵𝗮𝘀 𝗮 𝘁𝗿𝘂𝘀𝘁 𝗽𝗿𝗼𝗯𝗹𝗲𝗺. My post last week about "how your ERP system integrator's revenue model fundamentally conflicts with your implementation goals" went viral. I expected pushback from the SI community, but got overwhelming validation instead. 95% of the responses agreed with my premise: → 70% total agreement → 25% agreed with important caveats → 5% disagreed or were skeptical Most of the comments came from ERP veterans with decades of implementation scars. The most revealing insight: 𝗘𝘃𝗲𝗻 𝘁𝗵𝗲 𝗦𝗜 𝗱𝗲𝗳𝗲𝗻𝗱𝗲𝗿𝘀 𝗮𝗱𝗺𝗶𝘁𝘁𝗲𝗱 𝘁𝗵𝗲 𝗽𝗿𝗼𝗯𝗹𝗲𝗺 𝗲𝘅𝗶𝘀𝘁𝘀. The comments kept circling back to:  • "We need a partnership mentality, not adversarial contracts"   • "Both sides need to share accountability"   • "Clients often sabotage their own projects" But here's what I took from it: 𝗪𝗲'𝗿𝗲 𝗱𝗲𝘀𝗰𝗿𝗶𝗯𝗶𝗻𝗴 𝗮 𝗳𝘂𝗻𝗱𝗮𝗺𝗲𝗻𝘁𝗮𝗹 𝗯𝗿𝗲𝗮𝗸𝗱𝗼𝘄𝗻 𝗶𝗻 𝗵𝘂𝗺𝗮𝗻 𝘁𝗿𝘂𝘀𝘁. When people feel vulnerable, they protect themselves first. When systems reward self-interest over shared success, integrity becomes optional. We've created an environment where everyone's incentivized to point fingers instead of link arms. The result is that projects that 𝘴𝘩𝘰𝘶𝘭𝘥 transform businesses turn into expensive battlegrounds... ...while everyone's more focused on survival than success. And the saddest part is that 𝘁𝗵𝗲 𝗲𝗻𝗱 𝘂𝘀𝗲𝗿𝘀 - 𝘁𝗵𝗲 𝗽𝗲𝗼𝗽𝗹𝗲 𝘄𝗵𝗼 𝗮𝗰𝘁𝘂𝗮𝗹𝗹𝘆 𝗵𝗮𝘃𝗲 𝘁𝗼 𝗹𝗶𝘃𝗲 𝘄𝗶𝘁𝗵 𝘁𝗵𝗶𝘀 𝘀𝘆𝘀𝘁𝗲𝗺 𝗱𝗮𝗶𝗹𝘆 - 𝗮𝗿𝗲 𝘁𝗵𝗲 𝗼𝗻𝗲𝘀 𝘄𝗵𝗼 𝘀𝘂𝗳𝗳𝗲𝗿 𝗺𝗼𝘀𝘁. This isn't some new problem. It's completely systemic. If you're feeling this right now, you have two paths forward:  1. Build trust like you mean it. ✅ Make integrity non-negotiable for both teams.  ✅ Create shared goals where everyone wins when the project succeeds.  2. Bring in an independent advocate whose only job is protecting your outcome...  ✅ Someone who understands both SI tactics and client blind spots. Your SI isn't evil. Your internal team isn't incompetent. But the fundamental incentives are broken, and wishful thinking about "true partnerships" won't fix them. 𝗕𝗲𝗲𝗻 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝗮𝗻 𝗘𝗥𝗣 𝗶𝗺𝗽𝗹𝗲𝗺𝗲𝗻𝘁𝗮𝘁𝗶𝗼𝗻 𝘆𝗼𝘂𝗿𝘀𝗲𝗹𝗳? 𝗦𝗵𝗮𝗿𝗲 𝘆𝗼𝘂𝗿 𝗽𝗲𝗿𝘀𝗽𝗲𝗰𝘁𝗶𝘃𝗲 𝗶𝗻 𝘁𝗵𝗲 𝗰𝗼𝗺𝗺𝗲𝗻𝘁𝘀. 𝘕𝘦𝘦𝘥 𝘢𝘯 𝘪𝘯𝘥𝘦𝘱𝘦𝘯𝘥𝘦𝘯𝘵 𝘢𝘥𝘷𝘰𝘤𝘢𝘵𝘦 𝘧𝘰𝘳 𝘺𝘰𝘶𝘳 𝘌𝘙𝘗 𝘪𝘮𝘱𝘭𝘦𝘮𝘦𝘯𝘵𝘢𝘵𝘪𝘰𝘯? 𝘛𝘩𝘢𝘵'𝘴 𝘦𝘹𝘢𝘤𝘵𝘭𝘺 𝘸𝘩𝘢𝘵 𝘐 𝘥𝘰 𝘧𝘰𝘳 𝘤𝘭𝘪𝘦𝘯𝘵𝘴. 𝘚𝘦𝘯𝘥 𝘮𝘦 𝘢 𝘋𝘔 𝘢𝘣𝘰𝘶𝘵 𝘸𝘩𝘢𝘵 𝘤𝘩𝘢𝘭𝘭𝘦𝘯𝘨𝘦𝘴 𝘺𝘰𝘶'𝘳𝘦 𝘧𝘢𝘤𝘪𝘯𝘨. #ERP #SystemsIntegrator #Trust #Partnership