Business Challenge

• After the design phase the project team announced that the costs for the new inventory system will be four times higher than expected

Approach

• Stop the current project and conduct a comprehensive As-Is Analysis - Outcome: The real business problem has been miss-understood. The problem is people’s capabilities
• Review all the business requirements to prepare for the future system
• Conduct cost-benefit analysis 
• Reduce business requirements to a reasonable level
• Choose a standard software system instead of fully self-developing a software

Results

• Project could be delivered within original budget and time frame even though sunk costs appeared during first phase (75% cost savings)
• Business gets standard software solution with higher flexibility and lower maintenance costs
• Only the functionality has been realized that really benefits the business