ERP/SCM projects fail all the time. The reasons include, but are not limited too, lack of top management commitment, unrealistic expectations, poor requirements definition, improper package selection, gaps between software and business requirements, inadequate resources, underestimating time and cost, poor project management, lack of methodology, underestimating impact of change, lack of training and education, and, last but not least, poor communication. In other words, human factors cause these projects to fail much more often than they should.

However, as per a recent article in Supply & Demand Executive on preempting ERP/SCM failure through project assurance, there is a way to minimize the risk. It begins with a blueprint of strategic project assurance at critical points in the implementation project’s evolution. It establishes clear understanding of expectations among all people involved — from the executives, to the business and IT management, to the software vendors and end users.

A Project Assurance plan, that

• identifies the real issues,
• sets realistic timeframes,
• aligns the work streams
• looks beyond the indicators for early warning signs,
• manages the expectations,
• seeks objectivity,
• communicates the expectations, and
• measures progress regularly

reduces the risk of failure by

• trakcing milesontes,
• controlling costs, and
• minimizing surprises.

It requires a lot of up-front planning, and a willingness to be realistic at all times, but is worth the effort. For details on how to create one, see Rob Prinzo’s No Wishing Required that will hep you identify six critical points in every project and get you on your way.