Erp (Enterprise Resource Planning) Software Project Agreements

The project agreement process regarding Enterprise Resource Planning/ERP software that is of crucial importance for businesses requires an extensive cooperation of the Company and the Software Company.

During ERP Project Agreement negotiations, the Company should thoroughly analyze the challenges of adapting software while the Software Company should be aware of the Company procedures. This two dimensional process requires the cooperation of both Parties. In other words, the principle, “the more provisions against the other party, the better”, does not apply to ERP Agreements. This is because failure of an ERP project is not a matter of a penalty clause or damages. Execution phase of an ERP Project Agreement may require a period of time from 3-4 months to a year, based on the scale of the project; and the implementation phase may last between 3-4 months to 1-2 years. For big projects, the term of the project may even be longer. Therefore, failure of such a project