Enterprise System Implementation Implementing an enterprise system, particularly for a large organization, is extremely challenging and requires tremendous amounts of resources, the best IS and business people, and plenty of management support. In spite of all these, many enterprise system implementations fail. Twenty-one percent of ERP implementations worldwide evaluated by Panorama, an ERP consulting firm, were judged to be failures. The following table lists and describes the most significant challenges to the successful implementation of enterprise systems. challenges to the successful implementation of enterprise systems Challenge Description Cost and disruption of upgrades Most companies have other systems that must be integrated with the enterprise system, such as financial analysis programs, e-commerce operations, and other applications that communicate with suppliers, customers, distributors, and other business partners. Integration of multiple systems adds time and complexity to an ERP implementation. Cost and long implementation lead time The average ERP implementation cost is in millions with an average project duration of over a year. Difficulty in managing change Companies often must radically change how they operate to conform to the enterprise work processes. These changes can be so drastic to longtime employees that they depart rather than adapt to the change, leaving the firm short of experienced workers. Management of software customization