UK Firms Postpone ERP Implementations

A study by the National Computing Center (NCC) in the UK has found that over 65 percent of British firms are postponing their ERP implementations, with 24 percent on hold indefinitely and 41 percent reporting a temporary delay. The economic situation has caused companies to reduce their IT budgets and due to the complex nature of ERP implementations, firms did not have the personnel or money to invest in a long-term project.

However, the NCC did find that 29 percent of firms were not reducing investment in their ERP project and in fact some firms are increasing their investment. But on the whole UK firms were wary of such large projects at this time. Data from the NCC found that only 12 percent of firms said their implementation had come in on time, while 6 percent said it had taken less time than planned. Estimating the cost of an ERP implementation seems to be an issue for UK businesses as the NCC found that 53 percent of implementations had gone over budget.

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