1. What about IT-consulting? Jos Benders & Stefan Heusinkveld (University of Nijmegen & Tilburg University) “Innovative Capabilities and the Role of Consultants in the Information Economy” Mannheim, 19-20 November 2007

2. Wrong title !

3. What about ERP-consulting? Jos Benders & Stefan Heusinkveld (University of Nijmegen & Tilburg University) “Innovative Capabilities and the Role of Consultants in the Information Economy” Mannheim, 19-20 November 2007

4. Combines two interests: –Organization concepts, and role consultants –ERP-systems in moulding organizations “Discussion presentation”, including “investment proposal”: part VW-project

5. Case Informants: acquainted with manager for about three years, with consultant half year, engaged in same project Meet frequently, often with informal component Documents including Master theses Two inter-linked parts

6. “Technical isomorphism” (Benders, Batenburg & Van der Blonk, 2006) ERP aims at control, i.e. centralistic philosophy “best practices”, “industry solutions”, “templates” inscribed into software Pre-defined “solutions” not deterministic, yet are likely to become enacted: pressures to conform SAP: mechanisms to stimulate conformance (Batenburg, Benders & van der Blonk, 2008)

7. Case; part I: the “Business case” Decision: Global blueprint Reasons: show conformance to external institutions, credibility to analysts, IT- hobby Proof profitability!, post-decision, that is Internal: insufficient skills to formulate business case convincingly: consultancy!

8. “the business case” (2) First calculations: Total Cost of Ownership Net Present Value (NPV) positive, yet small Find more!

9. “the business case” (3) “benefits from best practices and common process” helpful: original NPV times 21 however…. “benefits from the global platform”: NPV lifted to 44 times the original NPV Arguments “credible, and hard to attack” “

10. The case, part 2: Implementation Blueprint included: standard applications will not be supported unless an exception; the blueprint consists of common structures, data definitions and processes for all participating business units; there is one central maintenance organization; all solution changes are subject to strict control; the implementation methodology and toolset are standardized.

11. Implementation (2) Example of procedure Distant location, controlled from elsewhere, enabled by SAP Maintenance essential …, And disastrous…, According to SAP-data!

12. Implementation (3) Last step in procedure, to “report ready”: “remove scaffolding” Yet: inefficient if scheduled maintenance later at same spot Operator dilemma: –remove scaffolding, and be inefficient; –be efficient, report ready yet keep scaffolding. choice between inefficiency and data integrity

13. Implementation (4) Example of creation “virtual reality”: dangerous in ERP-system yet feels safe to present staff Authorities threaten to close! Consultant: “creates a lot of work”, doubts about proper solution yet overruled: ‘”client likes IT

14. Concluding remarks Consultants help creating & solving ERP- problems; link in “materiality” Once again: “political rationality” prevails Internal actors & consultants are well aware, and play the game ERP-added: study of how consultants operate in local decisions to “stick to standards”, certainly in case of potential misfit(s)