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Surviving a Failed ERP Installation: Recovering Your Company’s Lost Costs After a Botched Software Launch

June 4, 2019 • Webinar

Starts: 2:00 PM (EDT)
Ends: 3:00 PM (EDT)

Enterprise Resource Planning (ERP) software installation failures are not only expensive, demoralizing and time-consuming, but the resulting damages can also be an existential threat to an organization. ERP software is the integrated management of core business processes – the virtual Artificial Intelligence that organizations use to collect, store, manage and interpret data from a multitude of business activities. Under any metric, ERP use is extensive, with studies showing that 81% of organizations have either installed or are in the process of installing an ERP system. Considering the centralized importance of a comprehensive ERP system, it is not surprising that such installations are quite costly with 35% of organizations experienced implementation costs of 1% to 3% of annual operating revenue and an additional 20% reporting implementation costs between 3% and 5% of annual revenue. 

Unfortunately, due to a multitude of emerging issues (including increasing customization of ERP products), ERP implementation is also prone to extreme dissatisfaction and, at times, outright failure. Some studies report that 26% of installations were classified by the licensee as a “failure,” 46% of licensees were “very dissatisfied” with their ERP vendor and an astonishing 74% of installations exceeded project budget. 

Join Arthur S. Beeman and Joel T. Muchmore for a one-hour webinar where they will share their experiences resolving disputes regarding troubled ERP installations. Among other issues, we will address the following:
  • Overview of the often-neglected primary responsibility of key software vendors/licensors (e.g., Oracle, NetSuite, SAP, Infor, Quest) to guide and ensure the success of an installation
  • Selected case studies of disputes regarding failed installations
  • Types of expenses that can be recovered (e.g., fees paid to licensor; fees paid to 3rd party vendors; fees paid for unused services, etc.)
  • Navigating concurrent threats of service termination by licensor
  • Confronting contractual limitations on recovery of damages (e.g., limited warranties and draconian limitation of liability provisions)
  • Properly apportioning fault between parties (licensor, 3rd party vendors, licensee)
  • Best practices on protecting record for litigation and involvement of outside counsel

Contact: nsteckman@crowell.com, Nicole Steckman

Crowell & Moring Participant(s):
Arthur (Art) Beeman
Partner – San Francisco
Phone: +1 415.365.7280
Email: abeeman@crowell.com
Joel T. Muchmore
Partner – San Francisco
Phone: +1 415.365.7202
Email: jmuchmore@crowell.com
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