Risks of Inexperience and Why Expertise is Worth It

When it comes to ERP support, implementations or projects, choosing the right ERP expert is as critical as selecting the software itself. After all, a failed implementation can cost you more than headaches. Look at Revlon in 2018: their new software caused fulfillment issues, costing the company a net loss of $70.3 million. So, when you know you need help for your team to prepare your company for a big technological shift, what sort of contractor do you hire? While not everything comes down to cost, let’s explore the cost/benefit and the risks of each hiring option to see the true value of the investment.

Can You Make ERP Support or Consulting More Affordable?

Cost is often the number one concern for businesses. It’s an interesting Catch 22 in that way: 30% of companies want to adopt ERP to improve their financial management yet cringe at the cost of the process, averaging $9,000 per user across 5 years, according to a 2022 Software Path report. Which is understandable as, beyond the upfront costs of the software itself, you have to factor in the unspoken cost: your people.

So, with tight budgets and pressing deadlines, it’s tempting to go for the most affordable option — lower priced contractors who promise to get the job done for a fraction of the cost of a more experienced contractor or consultant. After all, who wouldn’t want to save money on a project that’s already expensive and time-consuming?

The Hidden Costs of Cheap Talent

Cheaper contractors might seem like a great way to keep costs down but the reality is the phrase “you get what you pay for” exists for good reason (and hard-learned lessons…). The complexities of an ERP system require more than just basic technical skills — they demand deep expertise, industry knowledge, and problem-solving abilities that inexperienced contractors often lack.

For example, too often we’ve seen developers who focus only on technical aspects without understanding the business context. That can create customizations that don’t solve the company’s problems, and if something goes wrong during implementation, the ripple effects can be huge. Incomplete configurations, missed integrations, and a lack of understanding about how to tailor the system to your specific business needs can lead to costly delays, system breakdowns, and even data loss. Those errors don’t just affect your ERP system — they can disrupt your entire operation.

Then there’s the issue of ERP support. When you hire a low-cost contractor, they’re often in it for the short haul. Once the initial project is done, typically the contract ends, leaving you with minimal ongoing support. One big reason why so many implementations fail is because of the lack of internal training, which you might not want to trust with an inexperienced ERP contractor,  and support on the new system. Plus, if something needs adjusting post-implementation (which it often does), you’re left scrambling to find someone to fix the mess — sometimes at an even higher cost than what you would have paid for a more experienced person in the first place. Meanwhile, your growth and scalability stagnate.

Simply put, cheap, often inexperienced labor comes with expensive problems. In the long run, what seems like a budget-friendly option could actually drain more of your resources than you’d expect.

Why Quality Costs More but Pays Off

When you’re investing in an ERP project, it’s easy to get caught up in the seemingly shocking price tags of experienced professionals. Deep down, though, you know there’s a good reason they charge more — they bring value that goes far beyond that initial price tag. Expertise doesn’t just come with technical skills; it’s backed by years of real-world experience, industry know-how, and the ability to foresee problems before they happen. Research results from 2022 showed that 72% of ERP implementations were successful due to the company hiring an ERP expert or consultant familiar with the software.

That’s because experienced contractors and consultants have walked the path before and understand the nuances of ERP systems and how they integrate with various business processes. That level of understanding means they can customize the system to fit your business needs rather than just delivering a generic setup. They also know how to handle the inevitable hiccups that come with ERP implementations, integrations or customizations, from data migration challenges to user adoption hurdles, helping to ease change management within your organization.

So, again, the adage, “you get what you pay for” applies, but in a good way. Expertise translates to faster, more efficient projects. While an inexperienced contractor might spend days troubleshooting a problem, a seasoned professional can solve it in hours — or avoid it altogether. This not only saves you time but reduces the potential for costly delays and business downtime. Unfortunately, even experienced ERP contractors still leave at the end of the contract. So, with that in mind, what do we recommend?

Our Recommendation: Go with the ERP Expert

Expertise is an investment, not a cost. While it’s tempting to go for the most budget-friendly option, hiring cheap, inexperienced talent can end up costing far more in the long run. The risks of project delays, poor system performance, and need for additional fixes far outweigh the initial savings and can lump you into the 41% of organizations that go over budget on their ERP implementations.

Experienced ERP experts bring technical know-how alongside insights gained from years of industry practice. They can identify potential challenges early and guide you through complex processes seamlessly. The extra cost is a small price to pay when your project is done properly, allowing your ERP system to operate more efficiently, driving business value and increasing ROI over time. When you need some more advice on staffing for your ERP support or projects, our experts are here, so please reach out and we’ll help you find the best solution to keep business running smoothly.