New Study Says Companies Most Likely to Replace ERP Vendor When Software can’t Support Business Change Needs And Growth - SYSPRO Canada
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New Study Says Companies Most Likely to Replace ERP Vendor When Software can’t Support Business Change Needs And Growth

COSTA MESA, Calif. – February 25, 2016 – SYSPRO, a provider of best-of-breed, award-winning enterprise resource planning (ERP) software for on-premise, mobile and cloud-based utilization,
today released a new study of several hundred customers on the topic of ERP satisfaction/dissatisfaction. SYSPRO USA regularly conducts mini-surveys of its U.S. manufacturing and distribution industry
customer base to gauge changing business dynamics and collect fresh opinions on a wide variety of ERP-related topics.

In its latest SNAP (SYSPRO Needs Answers Please) survey, the goal was to evaluate four areas from the viewpoint of the user community:

  • What users think are the primary reasons why companies abandon their incumbent ERP solution;
  • What percentage of companies they believe replace their ERP solution for another choice;
  • Why they think companies remain with an unsatisfactory ERP solutions; and
  • Which SYSPRO solution capabilities would make a company changing to SYSPRO happiest.

More than half (50.7%) of survey respondents think that the primary reason why a manufacturing and/or distribution company would make a change from one ERP solution provider to another is when a company growth/change circumstance exposes shortcomings in the incumbent solution.
A little over a quarter believed the primary reason was if the ERP solution either didn’t perform as promised or if customer support lagged.

In alignment with many industry statistics, the majority of respondents (44%) believed that 10-24% of all U.S. manufacturing/distribution companies replace their incumbent solution for another choice. Yet, when asked what they thought would be the primary reason why a manufacturing or distribution company would not make a change – even when dissatisfied – the overwhelming majority (74%) cited two core reasons.
Ranking highest (39.1%) was the belief that companies might fear over business disruption; ranking second highest were financial concerns.

SYSPRO executives were particularly interested in what their user community deemed would be the number one source of satisfaction for companies that replaced their ERP solution with SYSPRO ERP software. Seventy-eight percent of the respondents believed that these two reasons – SYSPRO customization/usability capabilities and the positive impact of the ERP solution on their business overall – would make customers happiest.

“The answers here were the most interesting to us personally,” said Joey Benadretti, President of SYSPRO USA. “We have many ways to communicate with customers, but the anonymity of survey data can sometimes give you a very unique and fresh perspective. For example, SYSPRO is very customer service oriented, and we spend large portions of our focus ensuring our customers are highly satisfied. Our retention and satisfaction numbers reflect that focus.
It is pleasing that the survey highlights that our customers benefit from the impact of our leading-edge technology in addition to our superior functionality and customer service.”

Infographic

SYSPRO SNAP Survey Infographic
SYSPRO SNAP Survey Infographic – Click To Enlarge

About SYSPRO

SYSPRO is one of the longest standing and largest independent, international providers of ERP systems for mid-market manufacturers and distributors worldwide. SYSPRO has for more than 35 years delivered on its promise to provide thousands of its customers globally with the tools required to effectively operate and compete. Backed by a truly dedicated and professional team of employees and partners around the world, the company’s ability to innovate and develop technologies based on the needs of customers is one of the reasons why SYSPRO enjoys one of the highest retention rates in the industry.

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