Most UK & Irish CFOs regret costly ERP systems adoption

Most UK and Irish finance leaders regret their organisation's decision to implement enterprise resource planning (ERP) systems, according to new research from AccountsIQ, and are experiencing spiralling costs, stressful rollouts, and poor system utilisation.

The 2025 CFO Mindset Report, based on a survey of 1,000 chief financial officers (CFOs) and finance leaders, found that while 80% of respondents have adopted an ERP system for their finance function, the majority have found the experience challenging, with key issues arising around budget, implementation, and usability.

Widespread regrets

The survey reveals that 94% of finance leaders regret implementing ERP systems. Those surveyed report significant difficulties, including escalating costs, implementation stress, and a disparity between the features paid for and those used in practice. The study found that 60% of respondents use half or fewer of the features they have purchased. Only 2% of finance teams say they use their ERP system to its full potential.

Most teams (95%) report encountering hidden costs after the software goes live. Common unexpected charges include fees for add-ons such as AI assistants, mandatory third-party support packages, and price increases not forecast at the time of purchase. Increases from ERP providers-including a reported rise of over 15% in the last two years by some leading vendors-are significantly impacting customer budgets.

Implementation difficulties

Implementation challenges are another major concern. Two thirds (66%) of organisations described their ERP implementation process as stressful, and one in four (25%) said that deployment took more than seven months to complete. Many finance teams also cited a lack of internal skills, poor user experience, and insufficient training and support as reasons for being unable to make full use of their system.

These complications have broader business implications. The report warns that these issues do not just strain the budgets of finance departments, but also slow down business processes, reduce the visibility of key information, and contribute to team burnout.

Changing priorities

The study found that dissatisfaction with ERP systems is driving widespread intentions to change providers. A significant 93% of respondents said they are considering switching software, with 60% planning to do so within the next three months. Their main reasons include the need for system consolidation, improved reporting capabilities, and better value for money. The report notes that delay in changing systems could lead to continued staff burnout, poor visibility for decision-making, and increased risk of falling behind competitors.

"Too many finance teams who are looking to switch from outdated or starter finance software are being sold an ERP dream that quickly turns into a nightmare," said Darren Cran, CEO of AccountsIQ. "Growing businesses need more than bloated technology. In today's unpredictable market, finance must be a driver of control and clarity. Choosing the right software isn't just a tech decision - it's a growth imperative for the whole business. They need to find the 'golden middle' option: smart, scalable finance tools that work today, not five years from now. ERP vendors overpromise and underdeliver. We're here to change that."

Adapting for the future

The report also highlights a shift in how leading CFOs are responding to ERP challenges. Many are choosing solutions that are appropriate for their organisation's current size, complexity, and growth ambitions. These finance leaders are looking to build more agile business processes that eliminate inefficiency and facilitate faster, more informed business decisions.

The findings underscore the critical evaluation underway within finance departments about the suitability of ERP systems. Hidden costs, underutilised features, and protracted implementation periods are prompting businesses to re-examine their use of these tools and seek alternatives better tailored to their operational needs. The AccountsIQ 2025 CFO Mindset Report highlights this reassessment as a key concern for finance leaders in the UK and Ireland moving into the next year.