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What are the most common ERP customer retention challenges?

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Enterprise resource planning (ERP) software is a powerful tool that helps businesses manage their core processes and integrate data across different departments. However, ERP implementation and adoption can also be challenging and costly, and require ongoing support and maintenance. As a technical sales professional, you need to understand the most common ERP customer retention challenges and how to overcome them. In this article, we will discuss four of these challenges and some strategies to address them.

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Bertrand Desreumaux

Senior Business Consultant, Capgemini

1 Challenge 1: User resistance

One of the most common ERP customer retention challenges is user resistance. This occurs when the end-users of the ERP system are reluctant or unwilling to adopt the new software, either because they are comfortable with their existing workflows, they lack the necessary training or skills, or they fear the change will negatively affect their performance or job security. User resistance can lead to low adoption rates, poor data quality, reduced productivity, and increased frustration.

To overcome user resistance, you need to communicate the benefits and value of the ERP system to the end-users, involve them in the design and testing phases, provide adequate training and support, and solicit their feedback and suggestions. You also need to monitor the usage and satisfaction levels of the end-users and address any issues or concerns promptly.

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Bertrand Desreumaux

Senior Business Consultant, Capgemini
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Un nouvel outil se met en place avec l accord des parties prenantes. Il existe toujours des réticences aux changements, mais la solution finale a été pensée avant par une phase de pré cadrage.

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2 Challenge 2: Customization and integration

Another common ERP customer retention challenge is customization and integration. This occurs when the ERP system does not meet the specific needs or preferences of the customer, either because it lacks the functionality, features, or flexibility they require, or because it does not work well with their existing systems, applications, or data sources. Customization and integration can lead to increased complexity, costs, risks, and errors.

To overcome customization and integration challenges, you need to understand the customer's business processes, goals, and pain points, and recommend the best-fit ERP solution that can meet their requirements and expectations. You also need to ensure that the ERP system is compatible and interoperable with the customer's IT infrastructure and data standards, and that any customizations or integrations are done properly and securely.

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3 Challenge 3: Performance and reliability

A third common ERP customer retention challenge is performance and reliability. This occurs when the ERP system does not deliver the expected results, speed, or quality, or when it experiences frequent downtime, glitches, or failures. Performance and reliability issues can affect the customer's operations, efficiency, and profitability, and damage their trust and confidence in the ERP system and the vendor.

To overcome performance and reliability challenges, you need to ensure that the ERP system is scalable, robust, and resilient, and that it can handle the customer's current and future data volumes, transactions, and workflows. You also need to provide regular updates, patches, and upgrades to the ERP system, and offer proactive and reactive technical support and troubleshooting to the customer.

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4 Challenge 4: Value and ROI

A fourth common ERP customer retention challenge is value and ROI. This occurs when the customer does not see or feel the benefits or outcomes of the ERP system, or when they perceive that the costs or efforts of the ERP system outweigh its advantages. Value and ROI challenges can affect the customer's satisfaction, loyalty, and retention, and increase their likelihood of switching to a different ERP solution or vendor.

To overcome value and ROI challenges, you need to demonstrate and quantify the impact and value of the ERP system to the customer, using metrics, benchmarks, and testimonials. You also need to help the customer optimize and leverage the ERP system to achieve their business objectives, and provide ongoing consultation and guidance to the customer.

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5 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?

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What are the most common ERP customer retention challenges?

1

2

3

4

5

1 Challenge 1: User resistance

2 Challenge 2: Customization and integration

3 Challenge 3: Performance and reliability

4 Challenge 4: Value and ROI

5 Here’s what else to consider

Technical Sales

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What are the most common ERP customer retention challenges?

1

2

3

4

5

1 Challenge 1: User resistance

2 Challenge 2: Customization and integration

3 Challenge 3: Performance and reliability

4 Challenge 4: Value and ROI

5 Here’s what else to consider

Technical Sales

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