Companies lean toward ERP

By Jacqueline Emigh  |  Posted 2005-03-07 Print this article Print

Yet despite the perceptions of superiority generally accorded to BoB, companies often opt for ERP instead. "Lets put it plainly. Today, business/operations managers almost never want the ERP solution, while IT is much more likely to push for the ERP module," according to Gilmore.
Moreover, decisions in favor of ERP are often made at high levels of the enterprise, even when hands-on managers have already recommended BoB.
"ERP vendors tend to have high-level contacts," Gilmore told Sometimes, an ERP vendor will nail down a supply chain contract because the customer hopes the vendor "might do the company some favors in other [IT] areas," he said. "The [selection] process can be rife with politics." Also, according to Gilmore, the integration costs of BoB are often overrated as a justification for using ERP. "Clearly, integration costs can sometimes be an issue. But these costs have been coming down," Gilmore said. By and large, customers would like to see improvements in ERP and BoB software alike, according to the analyst. To read more about Microsofts recent delays in shipping its ERP software, click here. "Theyd like ERP vendors to bring more domain expertise to the table. But they also want BoB vendors to wrap more consulting capability around their products, and to do a better job of articulating the differences they can provide. A software module is not a solution," he said. Moreover, BoB vendors also need to learn how to compete against ERP better, Gilmore told "The main focus [of their] sales training has often been to battle each other, instead." Check out eWEEK.coms for the latest news, reviews and analysis about productivity and business solutions.


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