Supply Chain Leaders Confuse Business Integration with Systems Integration

What's more, more than 82% of organizations took over six months to reach full operational adoption.

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Nearly 12.1% of supply chain organizations delivered their technology implementation on time, on budget, and achieving their expected outcomes. The other 88% missed at least one of those marks, and in most cases, more than one. That’s because many supply chain leaders confuse the difference between a system that simply runs and a system that runs the business, according to a report released by JBF Consulting.

“Systems integration installs the ovens. Business integration teaches people how to run the restaurant,” says Brad Forester, founder and CEO of JBF Consulting. “I’m proud to release this whitepaper because these findings challenge the assumption that a fully deployed system is the same as a successful one and prove that the real cost of an implementation isn’t the technology, it’s everything organizations fail to build around it.”

Key takeaways:

 

·        7.7-12.1% of organizations reported executing any single discipline of business integration well.

  • Budget overruns in the 11–25% range where the norm, reported by 62% of all respondents.
  • More than 82% of organizations took over six months to reach full operational adoption.
  • Only 10% of organizations designated a single program lead with real decision-making authority, making it the leading reason organizations sought outside advisory help, cited by 44.4% of respondents.
  • Just 8.2% of organizations provided role-specific, workflow-tailored training. 
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