Research shows that more than half of all ERP projects fail on their first attempt, often due to underestimated or insufficient internal resources. Success rarely depends on the technology itself, but on the conditions built around the project.
“Consultants are rarely the bottleneck in these projects. It’s the availability of internal resources that determines both the pace and, ultimately, the success,” says Thomas Backmark, Solution Architect.
Focus on resources and motivation
A key success factor is access to internal resources. Consultants can often deliver as planned, but when employees are expected to participate in the project while also handling their regular work, time quickly becomes a bottleneck.
Equally important is understanding the motivation behind the investment. Replacing a system just to get rid of technical debt rarely leads to success. The projects that succeed almost always have a clear link to business value and long-term goals.
Customer ownership is key
A new ERP system is never “delivered” as a finished product. It requires ownership from the client – both in knowledge and responsibility. That includes processes, test results and documentation. The more ownership the organization takes of its solution, the fewer resources are needed for maintenance. That frees up time and capacity for development and innovation, ensuring the system continues to support the business as it evolves.
The courage to change
A classic pitfall is trying to make the new system mimic the old one. This often leads to costly customizations and upgrade issues later on. The true value of a new ERP system emerges only when the organization dares to change its processes and embrace new ways of working.
Leadership, project management and vision
Strong executive support is one of the most critical success factors – not just by approving the budget, but by clearly communicating that the project is a priority.
The project manager also plays a key role. In addition to being structured and results-driven, they need system knowledge. A project manager who understands Microsoft Dynamics 365 can lead discussions more effectively, speak the same language as the consultants, and contribute operationally – creating both pace and quality.
“A project manager who truly understands the system can speak the same language as both the business and the consultants. That’s when the pace and quality of the entire project improve,” says Thomas Backmark.
A clear vision is also essential. When everyone knows both what needs to be delivered and why, it becomes possible to measure success, track progress and celebrate results.
Building the project structure
Once the foundation is in place, the next step is building structure: defining roles, budget and methodology. Here, details matter more than most expect – even small tasks need clear ownership.
Budgets should be based on realistic estimates and include a margin for the unexpected. The methodology can draw inspiration from established frameworks like SureStep or Success by Design but must always be adapted pragmatically to the organization and context.
Communication is another key factor. Transparency around status, challenges and progress builds trust and engagement within the organization. Involving key people early not only brings insights but also creates ownership: “I’m part of this.”
Staying within the scope
In the end, discipline is what determines success. Scope creep – when new requirements sneak in without reassessing the whole picture – is one of the most common reasons projects go off track. That’s why the scope must be clearly defined from the start, and all changes or iterations handled through a structured change management process.
Checklist: The right conditions for ERP projects
- Allocate sufficient internal resources.
- Identify and anchor the project’s motivations.
- Take ownership of processes, testing and documentation.
- Dare to change – avoid unnecessary customizations.
- Ensure leadership engagement.
- Appoint a strong, system-savvy project manager.
- Set clear goals and role definitions.
- Define the scope and follow change management.
Do you have questions or need support with your current Microsoft Dynamics 365 solution? Please don’t hesitate to contact us, we’re here to help.