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Changing the Ais

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Submitted By pyrat123
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Assignment 4: Changing the AIS
Student: Peter M. Burke
ACC564: Accounting Information Systems
June 13, 2013

Factors contributing to the failure
Whaley Foodservice Repairs hired Epicor to implement an Enterprise Resource Planning (ERP) system. The deal was signed in 2006, but after two years the project never materialized. Whaley finally sued Epicor for compensation of the cost they had incurred in trying to implement the software (Kanaracus, 2011). The main factors that led to the failure of this project were underestimation of the implementation timelines, underestimation of costs, business processes were not clearly defined, lack of organizational change management, and high turnover of employees assigned to the project.
Underestimation of implementation timeline made the company believe that they would have a full working system within the specified timeline (Chen, Law, & Yang, 2009). This was never the case as Epicor had estimated the project would have been completed by March 2007, but the project was delayed multiple times. Having provided a scripted demo on the requirements of the system and how the new software should be mapped to the company's business processes, Whaley believed that Epicor understood and had the capability to deliver. The failure to have the software implemented within the specified timeframe caused delays in the business processes as some documents could not be accessed on time, which resulted in lost business for Whaley.
The project was initially estimated to cost around $190,000, but it ended up costing over $1 million. Estimated costs usually have a clause that states costs might go up by around 10%. The amounts spent on the project were just too high. This was mainly because of project delays, system testing failures, and failure to understand the business processes. Epicor might have been provided

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