🧩 Why ERP Projects Fail in Bangladesh — Real Causes, Examples & Lessons for Businesses

 

🧩 Why ERP Projects Fail in Bangladesh — The Real Story

ERP (Enterprise Resource Planning) systems promise automation, efficiency, and real-time decision-making.
But in Bangladesh, over 70% of ERP projects fail or never deliver the expected ROI.

Let’s uncover the real story behind these failures — packed with humor, realism, and valuable lessons for every business owner, IT manager, and developer.

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⚙️ 1️⃣ Lack of Clear Business Requirements

🗣️ “Software Banailam, Kintu Ki Lagbe Buji Nai!”
💬 We built the software, but didn’t know what we actually needed!

Many Bangladeshi businesses jump into ERP without documenting their workflows —
no clear understanding of costing, approvals, or reporting needs.

📊 Teams can’t even answer:

• What are your approval steps?

• Who owns inventory reconciliation?

• Which KPIs should your dashboard show?

🧠 Lesson: ERP isn’t magic — it mirrors your process.
Unclear process = unclear system.

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💸 2️⃣ Management Expecting Instant ROI

🗣️ “Ek Mash-e Sob Automate Hoye Jabe!”
💬 Everything will be automated in one month!

Many executives expect ROI within weeks. In reality, ERP payback comes after 6–18 months.

⏳ Result: Unrealistic deadlines → poor testing → half-baked go-live → frustration.

🧠 Lesson: ERP is like planting a tree 🌳 — water it regularly before expecting fruit.

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🧍‍♂️ 3️⃣ Employee Resistance

🗣️ “Ekhon Sob Record Kortey Hobe?”
💬 Now we have to record everything?

Employees often fear that ERP will track their inefficiencies or make their job harder.
Without training, they simply avoid using it.

🧠 Lesson: ERP success = user adoption.
Train, motivate, and involve staff from day one.

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⚒️ 4️⃣ Over-Customization

🗣️ “Sob Kichu Amader Moto Korte Hobe!”
💬 Make everything our way!

Too much customization makes ERP fragile, slow, and unmaintainable.
Example: A company added 30+ custom reports — after update, half broke.

🧠 Lesson: Use standard ERP logic. Customize only what’s truly necessary.

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🧹 5️⃣ Weak Data Discipline

🗣️ “Old Data Clean Nai!”
💬 Our old data is messy.

Duplicate customers, wrong codes, missing balances — ERP becomes useless.

🧠 Lesson: Clean your data before migration —
like cleaning your house before moving 🧽.

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💰 6️⃣ Vendor Selection Based on Price

🗣️ “Cheapest Nilam, Quality Nai.”
💬 We hired the cheapest vendor, got zero quality.

ERP is not a one-time website.
Choosing the lowest bidder often means no documentation, security, or support.

🧠 Lesson: Cheap ERP = Expensive failure.
Quality costs less in the long run.

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🧑‍🏫 7️⃣ Lack of Continuous Support & Training

Many systems die after go-live because users forget how to use them.
No refresh training = system abandonment.

🧠 Lesson: ERP is not install-and-forget — it’s a continuous learning journey.

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⚡ 8️⃣ Technology Gap & Infrastructure Issues

Old PCs 💻 + weak internet 🌐 + no UPS ⚡ = ERP disaster.
If infrastructure fails, data sync fails.

🧠 Lesson: Use cloud or hybrid ERP with stable hosting and backups.

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🧱 9️⃣ Uncooperative Stakeholders

🗣️ “Each department acts like its own kingdom.”
💬 HR, Accounts, and Production don’t share data.

ERP fails because departments don’t cooperate.

🧠 Lesson: ERP = Enterprise Resource Planning, not Individual Resource Planning.

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🕵️ 10️⃣ Hidden or Critical Requirements Raised During UAT

🗣️ “We didn’t mention this earlier, but now we need it.”

Users reveal major requirements after the system is built —
causing cost overruns and rework.

🧠 Lesson: Capture everything early.
Use workshops, mock screens, and flow diagrams.

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💳 11️⃣ Budget Constraints

🗣️ “Cheapest vendor nilam, abar customization chai!”
💬 We took the cheapest vendor but now want premium features!

ERP needs investment — in software, training, and support.

🧠 Lesson: Don’t treat ERP like a cost — treat it as a long-term investment.

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🕰️ 12️⃣ Unrealistic Time Calculations

🗣️ “3 months e full ERP chahi!”
💬 We want full ERP in 3 months!

ERP implementation includes design, migration, testing, and adoption.
Shortcut = system collapse.

🧠 Lesson: Quality takes time.
Fast projects often fail.

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🧩 13️⃣ Poor Project Management & Coordination

🗣️ “Meetings holo, kintu action nai.”
💬 We had meetings, but no results.

Without a dedicated project manager, communication breaks and timelines slip.

🧠 Lesson: Every ERP needs a strong project manager linking IT, vendor, and business.

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👓 14️⃣ Unskilled or Less-Skilled Business Analyst

🗣️ “BA didn’t understand the workflow.”

Weak analysis = weak ERP logic.
When the Business Analyst can’t convert user needs into technical specs, everything collapses.

🧠 Lesson: A skilled BA is your ERP translator — hire domain experts, not just coders.

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🔄 15️⃣ Data Migration Disaster

🗣️ “Old system theke data ashe nai!”
💬 Data didn’t migrate properly.

Inconsistent formats, wrong codes, and missing links destroy system accuracy.

🧠 Lesson: Test migration multiple times before go-live.
Validate every master file and opening balance.

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🌍 Final Thoughts

ERP failure is not about bad software —
it’s about weak planning, unclear processes, and lack of ownership.

Bangladeshi companies can succeed by:
✅ Documenting workflows
✅ Training users
✅ Cleaning data
✅ Setting realistic timelines
✅ Choosing skilled partners

💡 Remember: ERP success begins when leadership says,

“Let’s fix our process first — then automate.”

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