ERP Users need third-party support providers

By Neil Zawacki
Updated: August 17, 2011

Constellation Research, an advisory firm that specializes in emerging technologies, has conducted a survey that indicates more and more ERP software users are considering switching to third-party support providers.

More than half (57%) of the people surveyed stated that they were interested in third-party support. This is a notable rise from the 42% of respondents that gave the same answer the previous year, and the 20% of ERP users who showed interest in making the change back in 2009.

The high cost of ERP software was cited as the predominant reason that users were interested in making the switch. Many of the respondents also indicated that were dissatisfied with the overall value of vendor-provided support they were receiving. Most vendors get the majority of their revenue from yearly maintenance fees that pay for technical support and product upgrades.

Ray Wang, the CEO of Constellation Research, spoke about ERP implementation at a webcast sponsored by Rimini Street. He stated that most ERP systems were more than a decade old and were starting to show their age, and that companies were facing increased demand for consumer-like experiences and tools. He also indicated that switching to a third-party support provider could free up money that could then be used for other projects.
 

Featured Research
  • How to Buy an ERP Solution

    Congratulations on making the decision to beginning the process to research and ultimately purchase an ERP solution for your business. Studies have shown that through accurate information about daily operations, companies can make decisions that reduce operational costs by as much as 23% AND administrative costs by 22%. more

  • The Future of ERP

    Today's business decisions are data-driven and the difference between success and failure can be boiled down to utilizing the correct data. Now more than ever, companies have access to not only robust data but consumable data as well, through Enterprise Resource Planning (ERP) software. more

  • Top ERP Trends of 2017

    No matter the size, success or industry in which you do business, data is vital. Because of this, data-driven technologies such as Enterprise Resource Planning (ERP) systems are becoming more important for the streamlining of quantitative data and gaining/analyzing key insights. Even better, as of 2017, ERP tools aren’t only for enterprise companies in the manufacturing and distribution sectors—they’re for everyone. But that’s not the only keynote change that’s taken place this year … Download our latest guide to see what else is happening with ERP! more

  • Making a Business Case for ERP

    Are you in the market for an ERP solution but hesitant to purchase due to the potential financial risks associated with implementing such a tool? While costs may seem prohibitive, and make it difficult to get stakeholders on board, an ERP system can add SIGNIFICANT value to your organization, regardless of what industry you are in. more

  • CIO eGuide

    Data is becoming increasingly important in business. As a result, more and more organizations are becoming attractive targets for hackers. Data breaches caused by stolen credentials are on the rise. You need smarter tools to protect your organization against the monetary and reputational damage caused by a data breach. This guide will explain how Okta Adaptive Multifactor Authentication (MFA) provides the security that IT needs, while also providing the simplicity end users want. more

Related Articles