How much is correct to spend in "ERP implementation" as % of revenue?
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Hi Priscilla, would you qualify that 4% as an end-to-end cost covering all of the project phases (requirement to go-live), resources (IT, third-party SI, business), change management, and technical components (including integrations and data analytics)? Thanks in advance.
Hi. I'm really interested in your estimate of 4% of revenue. It sounds reasonable, but I'd like to know you you calculated it? We are a relatively large retailer (~1,800 liquour stores) with approximately $12.4B annual revenue. We are wanting to implement a new deployment of SAP S4/HANA and I'd like to see how your estimate compares. Thank you very much in advance.
This depends on what ERP you are implementing. I also depends on whether you are upgrading current ERP or going through a brand new implementation which requires data migration. In our most recent scenario we implemented Oracle cloud ERP as a brand new implementation migrating data from on premise Oracle ERP. The cost was approximately 4% of revenue including licensing costs. Happy to discuss further