ERP leaves some users cold, says IDC

ERP applications are falling short of expectations for many users. According to new research, 11% of enterprises are actively dissatisfied with their software. IDC analyst Merv Langby says that whilst 52% of those surveyed were satisfied, the remainder were yet to assess, non-committal or unhappy with their ERP solution - and the numbers of dissatisfied ERP customers could be set to increase.

ERP (enterprise resource planning) applications are falling short of expectations for many users. According to new research, 11% of enterprises are actively dissatisfied with their software.

International Data (IDC) Senior Analyst Merv Langby told Computerworld that preliminary research from a global survey indicated that whilst 52 percent of those surveyed were satisfied or extremely satisfied, the remainder were yet to assess, non-committal or unhappy with their ERP solution.

Langby claimed the numbers of dissatisfied ERP customers could be set to increase.

"The exposure is significant, since 23%are neither satisfied nor dissatisfied; add that to 11% who are already dissatisfied, and add another 14% who are yet to assess their satisfaction and could go either way," Langby said. "The bottom line is: it could get worse."

She said that vendors will come under increasing pressure as they begin to manage new levels of demand from small and medium-sized enterprises, as well as handle demands from larger users entering the second and third stages of their ERP implementations. That pressure could make it hard for vendors to meet customers' expectations, Langby said.

The yet-to-be released IDC survey on ERP was conducted across 1,600 customers and customer prospects in six countries including 400 Australian sites. According to the results, the top three reasons for implementing ERP are to improve customer service, to reduce operational costs, and to achieve Y2K readiness.

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