Why are we making the same ERP mistakes we did in the 1990s?

Enterprise Resource Planning (ERP) projects are back in vogue. With all major vendors such as SAP and Oracle encouraging their customer base to transition to cloud-based platforms, organisations across Australia are taking this opportunity to re-evaluate their ERP strategy. This shift is also opening doors for new market entrants like Workday, and challenging traditional Tier 1 vendors, as many organisations now question whether the size, cost and complexity of these solutions still serve their evolving needs.

Tier 2 ERP vendors, such as TechnologyOne, are capitalising on this shift, offering industry-specific solutions with lower overheads and more agile deployment models. However, despite significant technological advancements and decades of lessons learned, many organisations are falling into the same traps that plagued ERP implementations in the 1990s.

So why are we repeating history—and what can be done differently?

ERP is back in the spotlight

The renewed focus on ERP is driven by the shift to cloud computing, changes in workforce dynamics, and the need for real-time data across increasingly complex organisations. As legacy on-premise systems become unsustainable and vendors discontinue support for older platforms, the move to cloud ERP has become a business imperative, not just a technology upgrade.

Organisations are also recognising that ERP is no longer just about finance and operations—it’s the digital backbone that supports automation, data-driven decision-making, and future-ready capabilities. It’s this promise of transformation that is drawing renewed attention to ERP investments.

Yet, transformation requires more than just implementing new software—it demands a shift in mindset.

Same mistakes, different decade

While the technology has evolved, the human and organisational behaviours around ERP have not. Common pitfalls from the 1990s are still evident today:

1. Over-engineering the solution with complex business processes

Organisations continue to design intricate workflows and bespoke processes that add layers of complexity to ERP solutions. This complexity increases delivery risk, delays go-live timelines, and drives up total cost of ownership.

2. Re-creating today’s processes instead of simplifying

Rather than using the ERP transition as a chance to improve and streamline business operations, many projects simply digitise the status quo. This leads to missed opportunities for process standardisation and efficiency.

3. Generating hundreds of reports that provide little decision-making value

The proliferation of reports often occurs without clarity on their purpose or audience. Without clearly defined business decisions tied to each report, they become clutter—adding noise rather than insight.

4. Embedding too much configuration and integration

A common misconception in today’s cloud-first world is that “it’s only configuration.” But excessive configuration, often done informally between a consultant and a business user, results in undocumented custom logic, brittle workflows, and future upgrade challenges. In many cases, complex configuration is worse than traditional customisation, which typically follows formal specification and approval processes.

The better approach: vanilla and industry templates

Back in the 1990s, most ERP systems were “vanilla” by necessity—organisations had to build out processes from the ground up, even designing their own chart of accounts. The 2000s saw the rise of “industry templates,” which often over-promised and under-delivered, frequently being little more than marketing slides or basic setups with minimal practical value.

Today, however, vendors have matured in this space. A notable example is TechnologyOne, which has taken a focused approach by delivering deeply configured, ready-to-go solutions for specific industries such as local government, education, and utilities. By specialising in these sectors, they provide true industry templates—based on years of experience and best practice.

This presents organisations with a valuable opportunity: adopt a pre-configured, out-of-the-box solution that meets 80% of requirements with minimal modification. Yes, this may require changing how you work, but that change is coming anyway—even upgrading your existing ERP will introduce a new interface and features.

By starting with the vanilla model or a well-built industry template, organisations can reduce implementation time, lower risk, and improve maintainability over the long term.

The role of change management

Of course, adopting a standardised approach is not without its challenges. The trade-off is that users must change how they work. This demands investment in change management—an area often underestimated in ERP projects.

Change management involves more than just training; it’s about helping users understand why the new system is being adopted and what’s in it for them. A successful ERP implementation must include:

• Clear communication of business drivers and expected benefits
• Early engagement of key users and stakeholders
• Structured training programs tailored to different user roles
• Post-go-live support to address questions and build confidence

By investing in change management upfront, organisations can avoid the long-term pain of underutilised systems, shadow IT, and frustrated end-users.

PM-Partners’ ERP philosophy: keep it simple

At PM-Partners, we believe in simplifying ERP—because most organisations don’t need more technology, they need less.

Our approach is based on three key principles:

1. Start simple

Deploy a base version of the ERP system with minimal configuration. Launch with core processes that meet most needs.

2. Prove value early

Enable key functionality quickly to deliver tangible benefits and secure business buy-in.

3. Evolve over time

After go-live, observe how the system is used and where improvements are truly needed. Then, and only then, make targeted enhancements.

This approach helps avoid the trap of building overly complex systems based on hypothetical scenarios. Instead, it encourages iterative improvement, aligned with actual business needs.

We also bring proven tools, templates, and training materials to reduce project risk and cost. Our frameworks are designed to support both technical implementation and the people side of change—ensuring a smooth transition and sustained adoption.

The bottom line

ERP systems have come a long way since the 1990s, but many organisations are still approaching them with a 1990s mindset—over-customising, over-engineering, and underestimating the importance of change management.

The better way forward is to embrace simplicity. Leverage industry templates, avoid unnecessary complexity, and focus on user adoption. While it may require short-term effort in change management, it ultimately sets your organisation up for long-term success.

At PM-Partners, we’re here to guide you on that journey—with deep expertise in ERP delivery and a commitment to helping you make smarter, simpler decisions.

Ready to stop repeating the mistakes of the past? Let’s talk.