Managing Conflicting Stakeholder Demands During an ERP Implementation

ERP implementations are as much about people as they are about technology. In fact, managing stakeholder needs is often the most challenging part of an ERP initiative. 

Each stakeholder—from the C-suite to frontline employees—brings diverse priorities that often don’t align. Some focus on cost savings and scalability, while others emphasize usability or worry about disruptions to daily operations.

On one hand, you must select a system that helps you achieve your business objectives. On the other hand, ignoring the needs of end-users can lead to resistance, undermining the benefits the ERP system was meant to achieve.

Today, we’re exploring how to balance business objectives with user needs, align stakeholders across the organization, and turn conflicts into opportunities for collaboration and innovation.

The Dual Challenge: Balancing Business Objectives with User Needs

Every ERP implementation is driven by two often competing priorities: achieving business objectives and meeting the needs of users. 

Business leaders may prioritize high-level outcomes like cost savings, process standardization, and expanding capabilities across global supply chains. Meanwhile, frontline employees—those who will actually use the system daily—care more about usability, workflow integration, and how the system will affect their jobs.

This tension often manifests in conflicting demands. 

For example, finance may push for software with advanced cost-tracking capabilities, while operations insists on a more user-friendly system. At the same time, IT might advocate for a cloud-based solution to simplify maintenance and scalability, while warehouse managers worry about losing internet access during critical operations.

These conflicts are not only natural but necessary—each stakeholder group offers unique insights that, if handled properly, can lead to a more balanced and effective ERP solution. The challenge lies in reconciling these differences.

The secret to balancing competing priorities? Proactive stakeholder engagement coupled with clear communication and data-driven decision-making.

How to Manage Conflicting Stakeholder Demands in ERP Implementations

Stakeholder alignment isn’t a one-time exercise during the planning phase of an ERP implementation—it’s an ongoing effort that requires constant recalibration. As priorities shift and new challenges emerge, conflicts among stakeholder groups are inevitable. What defines a successful implementation isn’t the absence of conflict but how effectively you manage it.

Here are some best practices that our ERP consultants typically recommend to organizations struggling with conflict during ERP evaluations:

1. Identifying Stakeholders and Building a Shared Vision

The first step to stakeholder alignment is identifying all relevant parties and understanding their unique priorities. This includes not just executive sponsors but also department heads, IT leaders, frontline employees, and external partners. Each of these groups will have different stakes in the project and different criteria for success.

Once you’ve identified key project stakeholders, you need to establish a shared vision for the ERP implementation. This vision should tie directly to your organization’s strategic goals, such as improving customer satisfaction, scaling operations, or enabling better decision-making. 

For example, instead of framing the ERP system as a technical upgrade, position it as an enabler for achieving company-wide goals. When stakeholders see how the project benefits the entire organization, they’re more likely to align their individual goals with the larger picture.

In many of our client engagements, the finance team is laser-focused on controlling costs and ensuring compliance with reporting standards, while the sales team emphasizes CRM integration and access to actionable customer data. This dynamic is particularly common in retail and distribution companies, where balancing financial oversight with the need for tools that support fast-paced sales environments is a frequent source of tension.

In these situations, a clear, unifying vision can mitigate the risk of competing priorities derailing the project.

2. Resolving Conflicts with Transparency and Data

Even with a shared vision in place, conflicts will arise. 

For instance, an executive sponsor might set an ambitious timeline that leaves little room for user training, prompting pushback from department leaders.

The best way to resolve these conflicts is through transparent communication and objective data. Consider the following approaches:

• Strategic Communication – If a proposed feature is expected to excessively expand the project scope, lay out the implications clearly and invite input on alternatives. Use data—such as cost-benefit analyses, adoption metrics, or productivity forecasts—to guide decision-making and help stakeholders see the bigger picture.

• Resistance Management – Listen carefully to stakeholder concerns to understand the root cause of their resistance. Addressing these concerns directly—whether through additional training or piloting the system in a limited environment—can turn opposition into support.

3. Ongoing Engagement Post-Go-Live

Stakeholder alignment doesn’t end when the ERP system goes live. In fact, new conflicts often emerge in the post-implementation phase, as users encounter real-world challenges or discover gaps in the system’s functionality.

To sustain alignment, maintain open lines of communication with all stakeholder groups. Conduct regular check-ins, gather feedback from users, and monitor system performance to identify issues early. 

For example, if user feedback suggests that inventory tracking workflows in the new SCM system are overly complex, you can work with the implementation team to refine your warehouse management and stock replenishment processes.

By continuously engaging stakeholders and demonstrating a commitment to meeting their needs, you not only resolve conflicts but also foster a culture of collaboration and adaptability.

Learn More About Stakeholder Alignment in ERP Implementations

ERP implementation stakeholder management is a challenge that tests even the most seasoned CEOs. It’s not easy choosing a system that balances business objectives with user needs, while delivering value for all stakeholders. 

However, by aligning priorities, communicating strategically, and ensuring ongoing engagement, you can manage conflicting demands and identify the ERP system that will deliver the most long-term value.

Contact our independent ERP consultants to learn more about our selection expertise and our unbiased approach.