Customer Story – ERP implementation
A publicly traded retail organization was in a multi-year, multimillion-dollar, strategic initiative to implement an ERP system with a major industry vendor. This multi-year, multimillion-dollar strategic initiative required program oversight, management, governance, and controls.
Call for Help:
- The organization lacked the resources for full-scale planning and execution of a new ERP implementation.
- Vendor management expertise to ensure performance and adherence to project scope and cost was imperative.
- Measurement and reconciliation of vendor performance to contractual controls were critical to determining the resolution and negotiation of financial obligations.
Farwell Advisor Support:
- The advisor performed a root-cause analysis and created a vendor delivery performance dashboard for executives to use for vendor negotiations.
- The advisor collaborated with sponsors and stakeholders to inform them of SOW controls, document financial obligations, and create a financial model to determine a range of schedules of payments for negotiation.
- The advisor facilitated full program management by addressing program execution and performance, vendor management, risk management, and resource allocation.
Results:
Vendor payment savings of up to 58% on a $1.5M contract.
- Minimized financial loss and exposure by fully measuring and providing business cases to facilitate negotiations.
- Provided full document of SOW controls and lack of fulfillment of contractual obligations by vendor, preventing the customer from being charged for services not rendered.
- Ensured transparent communication with stakeholders, sponsors, and leadership for successful collaboration with and negotiation by financial and legal experts.
- Retained focus on expected value and growth plan to minimize risk and allow for go-forward options.
