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ARTICLE · 19 OCTOBER 2023

Contracting For ERP Implementation Success

Mayer Brown
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Enterprise Resourcing Planning (ERP) systems have only grown in importance as companies undertake digital transformations and face increasing competitive pressures and legal compliance burdens.

United StatesCorporate/Commercial Law
Paul A. Chandler
Paul A. Chandler
Linda Rhodes
Linda Rhodes
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Enterprise Resourcing Planning (ERP) systems have only grown in importance as companies undertake digital transformations and face increasing competitive pressures and legal compliance burdens. ERP systems revolutionized modern business by giving companies the ability to integrate and visualize data spread across their entire enterprises. Most companies are now aware of the value of ERP technologies and view them as essential for operating their businesses effectively.

Yet, despite the promise of ERP systems, projects to implement them often fail. The stories of failures are so numerous and the resulting losses so large in scale that the successes seem the small minority. One recent study estimated that only 16% of ERP projects were successful and 50% were challenged, meaning they faced budget and delivery date problems.1 The reported costs of abandoned projects can be enormous, in some cases hundreds of millions of dollars. But the costs of an improperly

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