Recovering Failed Microsoft Dynamics Projects

5 Reasons Microsoft Dynamics Projects Fail

1. Poor Project Management Leading to Exceeding Costs

The cost of Microsoft Dynamics can vary significantly based on your business's size, the software you choose (Dynamics 365 or Business Central), the number of licenses needed, and any customisations you require.

Implementing the system requires a significant investment, so you would expect a meticulously planned and detailed implementation process considering the substantial price tag. However, this is not always the case, and poor planning by your chosen Microsoft Partner can result in costs exceeding the initial quote.

Additional expenses may arise due to factors such as extended implementation time, extra hardware requirements, customisations, ongoing maintenance, training, and integrating third-party systems.

Furthermore, if the delivery time is underestimated and you are paying a daily rate, it can then end up being eye-wateringly expensive. On top of this, if the system is not configured right for your company, the re-installation is just as costly.

2. Prolonged Installation and Underestimated Delivery Time

Although dependent on the size and scale of the business, any ERP implementation should take no longer than 120-150 days. Microsoft Partners usually charge per day during the installation phase of the project, so the time scale provided to you matters.

Delays are one of the top Dynamics implementation challenges we have heard from customers. We have come across partners who have taken up to 500 days for an installation that should have taken 100.

Unfortunately, you may find that some partners will say they can install and deliver the system within a certain number of days or before a specific deadline, or they may overestimate their capabilities which leads to an increase in costs per day for installations or results in missed deadlines which can compromise the need for the system entirely.

3. Installation Not Aligning With Your Organisation’s Goals and Strategies

There are instances when partners do not install a system correctly as they don’t understand the idiosyncrasies of the market that they are selling into. This results with the wrong system configuration installed for the business’s requirements.

If you haven't selected the right partner for your industry, what is promised and what is delivered can, unfortunately, be two completely different things when implementing Microsoft Dynamics into your business.

Having Dynamics installed and then finding that it doesn’t work quite how you intended just isn’t good enough. It may cause more internal issues with your users or even cause other issues both internally and externally to your business which could further increase costs outside of your budget.

Even when the final objective is defined and agreed beforehand between partner and company, if there is poor communication, the project will likely go wrong and cause more problems.

4. Lack Of Support or Training From Your Microsoft Partner

Many of the companies that contact our Microsoft Dynamics support team have a partner that provides little to no support at all when it is needed. Some companies have found themselves waiting weeks for issues to be resolved while they are left to deal with a failing Dynamics project. Other times it comes down to simply not getting the level of support they need and are paying for.

A lack of support doesn’t necessarily always mean that your Microsoft Partner won’t support you with issues you have relating to the newly installed Dynamics software they have provided you. However, it can be the case that resolving these issues may incur significant costs on top of the price you paid to have it installed. If your business simply does not have the additional funds to rectify problems you're experiencing with Microsoft Dynamics, you may find that your users start resorting back to old methods and systems to be able to get their job done.

5. Failing To Perform An Initial Assessment and Analysis

Failing to perform an initial assessment or analysis can have detrimental effects on ERP implementations. Without a thorough understanding of the organisation's current systems, processes, and requirements, it becomes difficult to identify potential challenges and design an effective solution.
This lack of preparation can lead to costly delays, misalignment with business objectives, and low-quality outcomes.

At Syscom, we have a wealth of knowledge and expertise that enables us to conduct comprehensive assessments, identify potential risks, and develop tailored strategies to overcome implementation hurdles. We have a track record of over 40 years of successful ERP implementations, meaning organisations can trust in our ability to deliver a seamless project that aligns with their unique business needs and objectives. Businesses will receive thorough meetings and demos before any changes are implemented, to ensure everyone is of the same understanding and clear agendas are laid out.

Don't just take our word for it...

First Line, a vehicle component distributor, was due to go live with Dynamics AX, but their Microsoft partner failed to meet the deadlines and costings they had agreed to and were facing staffing issues, which caused severe delays to the project.

Therefore, First Line was introduced to Syscom through the Dynamics Medic Service.

The Group IT Manager at First Line said:

"Having had a bad experience with our previous partner, we were after a new Microsoft ERP partner to support us with additional functional and technical resources in specific areas where we didn’t have the immediate capacity and/or knowledge to do it ourselves. Syscom came in and very quickly understood our unique requirements and were able to immediately fill the gaps needed to develop and support our ongoing system needs ".