Adopting an Enterprise Resource Planning (ERP) system is a major milestone for companies undergoing digital transformation. But the gains in productivity, data quality and efficiency depend on employees actually using the system.
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Adopting an Enterprise Resource Planning (ERP) system is a major milestone for companies undergoing digital transformation. But the gains in productivity, data quality and efficiency depend on employees actually using the system. Getting people to welcome and use the ERP system daily is crucial, though many firms struggle here. Addressing change management and training is vital for a smooth shift that extracts full value from the ERP investment across the organization.
Implementing an ERP system is a major investment that organizations spend millions of dollars on. Even though it presents many benefits, if your employees don't adopt the system fully, your business won't experience these benefits and won't be able to realize the full ROI. Research and studies show that most ERP implementation projects (50% and more) fail to achieve the projected returns because of poor user adoption.
"We invested heavily in our ERP system, but it wasn't until we got our employees on board that we started to see the real return on investment. User adoption is essential for maximizing the benefits of any ERP implementation." —Carlos Ghosn, Former Chairman and CEO, Nissan Motor Company1