ERP isn’t what it used to be — and that’s the point.
As we step into the next evolution of enterprise resource planning (ERP), we believe recent predictions from Gartner® signal a transformative shift—not just in technology, but in mindset. According to Gartner, “The projection that 70% of organizations will lack AI-ready ERP data by 2027 creates significant challenges for organizations. The failure of AI initiatives (including GenAI), often attributed to poor data quality and governance, will drive high demand for data ecosystem solutions such as storage, cleansing, integration and governance solutions.”
What’s changing in ERP?
ERP is evolving from a structured, planning-focused system into a more intelligent, automated, and adaptive ecosystem. But to fully harness its potential, organizations need to realign their strategies around several emerging realities.
Data is your biggest risk. And opportunity
Here’s the punchline: “by 2027, only 30% of companies will have sufficient data quality to take advantage of advanced AI capabilities, driving increased investment in data ecosystem solutions.” To us, that means most digital transformation plans will hit a wall not because the technology failed, but because the data wasn’t there to support it. We believe the report walks through how to fix this and how to prepare for what’s next.
ERP must become simpler and more modular
A massive shift is underway. “By 2027, more than 80% of organizations will be in the process of changing their ERP strategies to cater for easier and faster adoption of new functionality.” To us, this means:
- Reducing customizations
- Embracing vendor-standard features
- Adopting modular, composable ERP architectures
GenAI has limited immediate value in core ERP
Everyone’s talking about GenAI, but Gartner® predicts less than 30% of the AI-enabled features within ERP applications will be enabled through GenAI capabilities by 2027. Why? Because GenAI isn’t always reliable enough to drive core operational decisions—especially in the structured, high-stakes world of manufacturing. The report explains what’s next (hint: it involves AI that doesn’t just suggest, but acts).
Agentic AI is the next big leap (but it's early days)
While GenAI generated much excitement in recent years, vendors are pivoting toward agentic AI, intelligent agents that can automate complex workflows. It’s exciting but Gartner® warns that “by 2027, less than 10% of organizations that have implemented agentic AI within their ERP systems will have realized significant measurable value.” Without strategy, governance, and clean data, it simply doesn’t deliver.
Final thoughts: You don’t have time to wait
ERP’s future isn’t just about technology, it’s about agility, data discipline, and strategic foresight. Companies that embrace composability, invest in data quality, and adopt AI with clear intent will emerge as digital leaders.
We believe the insights from Gartner® will help you:
- Spot the warning signs in your current ERP setup
- Build a strategy that’s ready for AI and automation
- Prioritize where to invest to maximize value
Download the full Gartner® report now to understand where ERP is going—and what you can do today to stay competitive.
Discover strategic recommendations and insights from "Gartner® Predicts 2025: Revisit ERP Strategies to Prepare for the Future”
Gartner, Predicts 2025: Revisit ERP Strategies to Prepare for the Future, Johan Jartelius, Dixie John, Robert Anderson, 19 May 2025.
Disclaimer: GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.