Gartner Research

Ten Factors That Can Affect ERP Total Cost of Ownership

Published: 24 April 2012

ID: G00234560

Analyst(s): Denise Ganly

Summary

Businesses tend to focus on the what (the vendor or the product) when determining total cost of ownership. Yet it's often the how (deployment aspects) of ERP that has a greater impact on total cost of ownership. Consider 10 factors when determining the total cost of ownership of ERP investments.

Table Of Contents

Analysis

  • Strategy and Architecture
    • What Is the Strategic Role of ERP in the Organization?
    • How Will You Deploy ERP?
    • Will Overlapping Systems Be Retired or Retained?
  • Selection
    • Have You Identified Your Organization's Critical ERP Needs?
    • Will You Enable Application Customization or Force Business Process Change?
    • Have You Defined Your Information Requirements?
    • Are You Seeking to Expand the ERP Footprint or Integrate It?
  • Implementation and Support
    • Do You Have a Project or Program Mentality?
    • What Mix of Resources Will Be Used Throughout the ERP Life Cycle?
    • Will Users Accept the New Application and Its Associated Process and Policy Changes?

Recommended Reading

©2019 Gartner, Inc. and/or its affiliates. All rights reserved. Gartner is a registered trademark of Gartner, Inc. and its affiliates. This publication may not be reproduced or distributed in any form without Gartner’s prior written permission. It consists of the opinions of Gartner’s research organization, which should not be construed as statements of fact. While the information contained in this publication has been obtained from sources believed to be reliable, Gartner disclaims all warranties as to the accuracy, completeness or adequacy of such information. Although Gartner research may address legal and financial issues, Gartner does not provide legal or investment advice and its research should not be construed or used as such. Your access and use of this publication are governed by Gartner’s Usage Policy. Gartner prides itself on its reputation for independence and objectivity. Its research is produced independently by its research organization without input or influence from any third party. For further information, see Guiding Principles on Independence and Objectivity.

Already have a Gartner Account?

Become a client

Learn how to access this content as a Gartner client.