Implementing an ERP is a significant investment for any business. ERP transformation projects offer massive value by centralizing data, automating key processes, analyzing trends, and providing a single source of truth across the organization.
Yet despite these benefits, ERP user adoption remains a significant challenge for many companies.
A staggering 26% of employees report not using their company’s ERP system, and 51% of companies experience operational disruptions when they go live with an ERP.
These numbers highlight a critical issue: while ERPs are powerful tools, the ERP implementation process can be complicated—often due to a steep learning curve and a lack of proper adoption strategies.
Employees may resist the change or struggle to incorporate the system into their daily workflows. This can lead to a failed ERP implementation, causing disruptions, damaging employee trust, and ultimately undermining the value of the ERP investment.
In this article, we’ll explore the common challenges businesses face when adopting ERPs and share actionable strategies to improve adoption and ensure that your investment in an ERP truly delivers.
8 Tips for Improving Your ERP Adoption
- Involve end-users in the planning process
- Establish a digital adoption platform (DAP) for onboarding and training
- Align stakeholders across departments
- Personalize the ERP user experience
- Offer proactive ERP end-user support
- Monitor adoption rates and gather feedback
- Highlight early wins
- Simplify the technology adoption curve
Why Is ERP Adoption Difficult?
ERP adoption is difficult because it involves more than just a technological shift—it’s a complete transformation that impacts every corner of an organization.
Implementing an ERP system means changing how people work, processes workflows, your employees’ day-to-day tasks, and how data moves across departments. Resistance to change, lack of proper ERP user training, and the sheer complexity of customizing the system to meet unique business needs often create roadblocks.
Add to this the pressure of managing timelines, budgets, and aligning stakeholders, and it’s clear why ERP initiatives can feel overwhelming. Success hinges on more than just the right software—it requires clear change communication, IT strategic planning, and a commitment to continuous ERP user support throughout the transition.
Common ERP Adoption Challenges to Overcome
Implementing an ERP system is a significant step toward digital transformation, but it’s rarely smooth sailing.
While the promise of streamlined operations and unified processes is enticing, the road to successful implementation is challenging. From misaligned strategies to employee pushback, these obstacles can derail even the most well-intentioned efforts.
Here’s a comprehensive look at the most common ERP adoption challenges organizations face, why they occur, and the toll they can take on your business.
1. Lack of an implementation and adoption strategy
A well-crafted implementation plan is crucial for a successful ERP rollout, yet many organizations underestimate its importance.
This plan defines how an ERP will integrate into daily operations, factoring in the company’s size, goals, priorities, and timeline. Without this roadmap, businesses risk facing issues like misaligned objectives, resource constraints, and poorly defined responsibilities.
Equally critical is an adoption strategy that focuses on helping employees transition from their current tools to the new ERP system. Many enterprises treat ERP systems like plug-and-play SaaS products, assuming employees will adapt naturally. The reality is quite different.
Without a thoughtful approach, adoption stalls, and the ERP fails to deliver its potential benefits. Unsurprisingly, 50% of ERP implementations fail at first, with the majority exceeding budgets by as much as 300%.
2. Compliance and regulatory challenges
ERP systems must align with local, national, and industry-specific accounting, data privacy, and taxation regulations. This includes certifications for standards like HIPAA, GDPR, and GAAP, depending on your region and sector. When ERP providers fail to meet these regulatory requirements, businesses face significant legal and operational risks.
Compliance issues also complicate workflows, especially for companies operating in multiple regions. Customizing an ERP to meet varying regulatory requirements can delay implementation and increase costs. Even after deployment, organizations may find that their chosen ERP system needs more flexibility to keep up with evolving regulations, leaving them vulnerable to penalties or breaches.
3. ERP onboarding and training gaps
One of the most overlooked challenges is ERP onboarding and equipping employees with the skills to use the system effectively. Companies often invest heavily in ERP implementation but underestimate the effort required to train employees. A few webinars or one-off sessions with the implementation partner rarely suffice.
Without contextual hands-on training, employees will struggle to fully utilize your ERP system’s capabilities. Some revert to old tools they’re more comfortable with, while others work inefficiently within the ERP due to a lack of confidence. Months after deployment, this lack of engagement can severely impact productivity, leaving businesses questioning the value of their investment.
4. Resistance to change from employees
Employee reluctance to adopt new systems is one of the biggest hurdles in an ERP transformation. Many workers are deeply attached to their current workflows and tools, convinced they’re more effective than the unfamiliar ERP system. This sentiment can lead them to resist change, even if the ERP has the potential to make their work easier in the long run.
Resistance to change is often heightened by fear of a learning curve that might temporarily impact performance. For employees under pressure to meet aggressive targets, the prospect of reduced productivity during the adjustment phase is particularly daunting. This mindset creates friction and slows down the adoption process, undermining the success of the ERP project.
5. Complexity of system customization
ERP systems are designed to be highly versatile, but that flexibility comes at a cost.
Customizing an ERP to align with unique business processes can be daunting. It requires significant time, technical expertise, and collaboration between internal teams and the ERP vendor.
Without proper customization, organizations may find that the system doesn’t meet their needs, leading to inefficiencies or even project abandonment. Excessive customization can also create its own set of issues, like increased costs, prolonged timelines, and challenges in maintaining the system during future upgrades.
6. Lack of alignment across stakeholders
An ERP implementation impacts multiple departments, from finance to operations to IT. Without clear alignment between stakeholders, the project can easily fall apart. Disagreements over priorities, resource allocation, or expected outcomes can stall progress and erode confidence in the ERP initiative.
Stakeholders must also agree on how success will be measured. Misaligned expectations around ROI, timelines, or system capabilities often lead to disappointment and frustration, which can derail the project.
7. Tracking end-user adoption and feedback
Measuring and improving end-user adoption rates is an ongoing challenge. ERP onboarding, training, and collecting employee feedback form the foundation of successful adoption. Organizations often need to establish processes for tracking employees’ use of the system, how they follow ERP process governance, and where user friction is occurring.
Without actionable data, it’s hard to identify and address pain points that hinder adoption. Over time, this lack of feedback creates a negative cycle: employees feel unsupported, adoption rates stagnate, and the ERP’s potential to improve productivity goes unrealized.
8. Data migration and integration issues
Migrating legacy data to a new ERP system is a technical and logistical challenge. Ensuring data accuracy, consistency, and completeness requires meticulous planning and execution. Errors during this process can disrupt operations and erode trust in the ERP system.
Integration with existing systems is equally critical and often underestimated. A lack of seamless integration can result in data silos, duplicated efforts, and inefficient workflows, undermining the ERP’s value as a unified solution.
By understanding these challenges, decision-makers can better anticipate the obstacles they may face during an ERP adoption journey. Identifying potential roadblocks early is the first step toward navigating them effectively.
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How to Improve Your ERP User Adoption
Implementing an ERP system is one thing—getting your team to adopt and utilize it fully is another challenge.
While ERP solutions promise greater efficiency, automation, and centralized data management, achieving these benefits hinges on effective adoption. Without proper planning and ongoing efforts, the technology adoption curve can steeply lead to delayed ROI, underutilized features, and frustrated end-users.
The following strategies address the most common ERP adoption hurdles and provide actionable ways for your organization to effectively embrace its new system.
1. Involve key stakeholders and end-users in the planning process
Your adoption journey begins long before implementation. Including your team in the implementation plan ensures the solution aligns with their daily workflows and priorities. Employees who were involved in shaping changes are more likely to support them.
Engage users by asking:
- Which tools or workflows does the new ERP need to accommodate?
- What current challenges do they face with their ERP?
- What current tasks and workflows are the most difficult to complete?
- What is their average time-to-completion for their core ERP tasks?
- What challenges do they foresee with the switch?
- Which training and support methods will be most effective for them?
This collaboration fosters trust and surfaces critical insights, making your plan more robust. When employees feel heard, they’re less likely to resist change and more willing to embrace new processes.
2. Establish a digital adoption platform (DAP) for onboarding and training
An ERP system’s complexity often overwhelms employees, slowing down adoption. A digital adoption platform (DAP) bridges this gap by providing real-time, contextual guidance directly within the ERP interface.
With Whatfix, organizations can support their ERP end-users with:
- Step-by-step in-app guidance and interactive walkthroughs that guides users through ERP tasks and processes in real-time.
- Task lists and in-app tours to simplify onboarding and familiarize users with essential features.
- Embedded self-help that connects users to training resources, FAQs, and documentation, reducing the need for external support.
- In-app surveys to collect end-user feedback, helping you refine training materials.
With a DAP, employees can learn in the flow of work, minimizing disruptions and accelerating the time-to-value of your ERP investment. It also supports your ERP investment post-implementation, enabling end-users with on-demand support and role-based guidance at the moment of need, in the flow of work.
3. Align stakeholders across departments
ERP adoption isn’t just an IT project—it impacts every department. Misalignment among stakeholders leads to conflicting priorities, inconsistent usage, and bottlenecks during rollout.
To avoid this, establish a cross-functional task force representing key teams. Regular check-ins ensure alignment on goals, timelines, and KPIs. By breaking down silos, you’ll foster a unified approach to adoption, boosting collaboration across the board.
4. Personalize the ERP user experience
One-size-fits-all solutions don’t resonate with diverse teams. Tailoring the ERP experience to individual roles and departments helps employees see its relevance to their daily tasks.
Implement features like:
- Role-based dashboards to surface data and metrics specific to each team
- Customizable workflows that reflect department priorities
- Seamless integrations with tools employees already rely on
Personalization helps employees focus on what matters most, reducing overwhelm and building confidence in the system.
5. Offer proactive ERP end-user support
Effective ERP end-user support is critical for adoption success. Traditional helpdesk models often frustrate employees with delays and complex ticketing processes.
Instead, empower users with on-demand resources. A DAP like Whatfix enables organizations to provide:
- Interactive guides and FAQs directly within the ERP interface
- Contextual pop-ups that address common issues as they arise
- A unified Self Help repository that connects to SOPs, training videos, and other essential materials
This instant, self-service support reduces downtime and keeps employees productive.
6. Monitor adoption rates and gather feedback
Tracking feature usage and gathering end-user feedback is essential to understanding adoption progress. Low engagement can signal the need for additional training, improved workflows, or better communication.
With analytics tools integrated into a digital adoption platform, you can:
- Identify underused ERP features.
- Pinpoint friction points in workflows.
- Benchmark time-to-completion of your most important ERP tasks and processes.
- Segment users by role or skill level to deliver tailored guidance.
Acting on these insights creates a positive feedback loop. Better training and refinements lead to higher engagement, accelerating the path to production adoption. Use this data to also continuously improve and optimize your ERP tasks and workflows to help your employees work smarter, not harder, with frictionless ERP experiences and processes.
7. Highlight early wins
Adoption gains momentum when employees see tangible benefits. Share stories of improved efficiency, automated workflows, or reduced manual errors enabled by the ERP.
For example:
- Highlight how the ERP streamlined invoicing, cutting processing times by 30%.
- Showcase reduced downtime in inventory management after centralizing data.
- Share productivity boosts from improved reporting features.
When employees see tangible outcomes, they’re more likely to embrace the system.
8. Simplify the technology adoption curve
The steepness of the technology adoption curve often depends on how intuitive and accessible the system feels. Break down complex processes into manageable steps and celebrate incremental progress.
By consistently iterating on your adoption strategy and leveraging tools like Whatfix, you can turn ERP adoption into a smooth, efficient process that drives measurable results across your organization.
These strategies aren’t just about making your ERP work—they’re about making it indispensable to your team’s success. With thoughtful planning and the right tools, your organization can unlock the full potential of its ERP system.
ERP Adoption Clicks Better with Whatfix
Implementing an ERP system is a complex task, but successful adoption is what ultimately drives value.
Addressing key challenges is crucial to ensuring a smooth transition. Empowering employees with the right tools and resources throughout the adoption process can make all the difference.
A DAP like Whatfix is designed to help bridge the gap between users and the ERP system. Whatfix overlays your ERP interface, offering contextual, role-based guidance directly within the platform. This ensures that employees have the support they need right when they need it, reducing the learning curve and boosting engagement.
With features like step-by-step guidance, in-app task lists, and real-time support, Whatfix helps organizations accelerate the adoption process, ensuring users are familiar with the system and can leverage its full capabilities. Its self-help resources and in-app surveys provide an intuitive, continuous feedback loop, enabling businesses to improve adoption over time by listening to their users and refining training materials.
Whatfix is more than just a tool; it’s a partner in scaling production adoption. Simplifying the technology adoption curve and providing on-demand support empowers your team to be more confident and efficient with the ERP system.
Ready to revolutionize your ERP adoption process? Schedule a demo with Whatfix today!