Project Failures and Success - Essay Example

With successful implementation, the Avon company could have saved $40M annually (Milton).

However, the project was halted in December 2013 with a write-off of between $100M to $125M. Avon made a filling in early December 2013 to stop the project. The company sought to stop the project that was rolled out in Canada due to significant market and business disruptions. According to the filing made by the company, the system did not show any clear returns on investments, and that the decision to abandon the project was based on the potential risks of further business disruptions (Milton).

Question 2: Example of Project successes

One of the most successful projects in ERP projects of all time is the aluminum company ERP project (Alcoa). The company that was started in 1881 embarked on an automation project in 2001. The company contracted Oracle to install and manage an ERP system for their operations in the company and its branches (Micheau 17). With such a big company with branches all over the world, the project was complex and demanding but Oracle managed to pull it off. The project is considered successful because the implementation was able to address all the critical areas of the company’s operations. These are mainly inventory, sales, production, and human resource modules of the company. Currently, the company uses an ERP system in all its operations including sales management, inventory management, production line management, sales management, and human resource management (Micheau 20).