Enterprise System Implementation Failure: A Strategic Response?

A global manufacturing company needing to upgrade its IT to support rapid growth decides to pilot an Enterprise System implementation in one of its European businesses. This was unsuccessful, but a second attempt in Australia, drawing on the many lessons learnt was regarded as successful. Subsequently, 14 implementations proceeded all over the Asia Pacific region and elsewhere in Europe. The subsequent implementation of the Enterprise System into a recently acquired business in New Zealand proved problematic. The NZ management team and users were highly critical of the system and appeared to strongly resist its implementation. Cutover was eventually mandated and did occur, but the business almost failed due to problems with the new system. Much seemed to depend on the system’s perceived continuing capability to support the business. The CIO in Head Office dispatched a small experienced team to New Zealand to review the situation.