Gartner Research

Two-Tier ERP Suite Strategy: Considering Your Options

Published: 28 July 2010

ID: G00205287

Analyst(s): Nigel Montgomery

Summary

Adopting a two-tier ERP strategy can dramatically reduce implementation times and improve operational cost savings while providing greater agility and faster user acceptance. So if it's so beneficial, why do so many companies go for a single-instance strategy? Before deciding, consider your options.

Table Of Contents
  • Overview
  • What Is a Two-Tier ERP Strategy?
  • ERP Deployment Options
    • Zero Tiers
    • Single Tier — Options 1 and 2
    • Two Tiers, Different Suites, Same Vendor — Option 3
    • Two Tiers, Different Suite/Vendor, One Second-Tier Version — Option No. 4
    • Two Tiers, Different Suite/Vendor, Second-Tier Shortlist — Option No. 5
    • Two Tiers, Laissez-Faire — Option 6
  • Why Are Two Tiers Considered an Option?
    • Cost Imperative
    • Manufacturing Plant Agility
    • Fully Loaded
    • Sledgehammer to Crack a Nut
    • Connecting the Enterprise
    • Business Transformation Opportunity
    • Mergers, Acquisitions and Growth
    • Value Perception
    • The Lure of SaaS
    • Divestiture
  • Considering Your Options
    • Availability of Resources
    • Duplication of Effort/Process Overhead at Subsidiaries
    • Partner Involvement
    • Need For External Services
    • Purchasing Power
    • Cost to Subsidiaries
    • Vendor Stability/Ongoing Support
    • Governance and Ability to Achieve Master Data Management Goals
    • Ability to Localize, Version Control/Upgradability
    • Connectivity

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