ERP implementation failures: A case study and analysis

Despite the pervasiveness of ERP systems, there is a serious concern regarding the failure of ERP implementations. One explanation for many ERP implementation failures may be 'escalation of commitment'. Escalation of commitment refers to the propensity of decision-makers to continue investing in a failing course of action. Using escalation of commitment as a framework, this research describes an ERP implementation failure in a packaging manufacturing company and makes two significant contributions. First, this research describes the dynamics of 'real world' ERP implementation failures. Second, in studying these dynamics, relevant insights for improving ERP implementation successes are provided for both academicians and practioners.