The main criticisms of ERPs are often referred to as rigidity, high costs, inability to evolve rapidly at the pace of business, and heavy and aging interfaces. All-Inclusive or “monolithic” ERP systems have become static and cannot adapt fast enough to accommodate the changing business world. Customization became a huge bottleneck as companies had to design workflows around their ERPs limitations costing them time, money and overall competitiveness.
The assumption that one complete system will be a comprehensive solution for all businesses is impractical. While monolithic ERP may be the right choice for some businesses, it is not a one-size-fits-all solution.
In 2000, for example, Nike decided to implement an ERP system to forecast the market demands and take on the new millennium with technology. In February 2001, Nike Corporation generated $97.4 million in profits, which was around $48 million below the forecast for that quarter. According to Nike, this was due
Leave a Reply