Bbi Inc Case Study Summary

The legal truth of this case is that should BBI Inc. seek litigation, it will be a long and difficult road with no guarantee that they will see any significant recoupment of their financial and time value losses resulting from the attempted implementation of a fully integrated ERP system by their selected vendor SupERP. However, looking back on the case, BBI Inc. could have made some crucial changes to their pre-implementation strategy which could have saved them from traveling down a road that would incur approximately $8,000,000 in losses before remedial actions took place. Some of the most common problems with implementing ERP system include vendor and risk management, as well as the lack of formal processes for assessing risks by the project manager (Chen, Law, & Yang, 2009). These common ERP implementation …show more content…
This could have been a crucial risk mitigation tactic used by the project manager, especially since SupERP had never implemented their software on the AS/400 platform with working order processing and operations modules. BBI's failure to concretely confirm this functionality via a robust proof of concept demonstration left BBI exposed to the failures they ultimately encountered. By managing the vendor and demanding the actual proof of functionality using all the modules requested by BBI, the company could have driven SupERP to reassess their capability in producing such a product. This also would have limited BBI's potential for large downside outcomes which were contained in the fine print of SupERP's written SLSA and IPA documents by addressing the most negative outcomes, i.e., inadequate system functionality and performance and non working modules, prior to the signing of the legal