Your browser does not support JavaScript! Schlumberger: ERP Success With Scrum - Scrum Inc
  • Google
  • RSS

CASE STUDY

Doing What A Billion Dollars Couldn’t: How Scrum Inc. Partnered With Schlumberger To Solve Their ERP Implementation

Enterprise Resource Planning (ERP) software can be a critical component of business success. But customizing and implementing these complex systems can be difficult and extremely expensive.

This case study examines how Scrum Inc. consultants partnered with Schlumberger to turn around an ERP implementation which had already spent $1 billion but had little progress to show for it.

Background

Working in more than 85 countries and employing approximately 100,000 people, Schlumberger is the largest oil services provider in the world. The company had already tried to use the standard playbook for ERP implementations. None of that worked.

After spending roughly $1 billion on the ERP, the implementation was failing to meet the goal of 70% data readiness. Schlumberger had witnessed two back-to-back failed ‘go-lives’ in the autumn of 2017 alone. In addition, the initial cohort of 600 employees and contractors working on the ERP had jumped to 1,300.  The project was now costing Schlumberger around $20 million a month.

So Eric Abecassis, Schlumberger's new CIO told stakeholders "We can’t afford to continue the way we are." Abecassis decided it was time to make a big bet. “If we fail, okay,” he told them, “But if we are successful it will be a major breakthrough in terms of efficiency for the company.”

Abecassis was told, “Go for it.” That’s when he called Scrum Inc.  

Key Takeaways

After one year of using Scrum to implement their ERP, Schlumberger CIO Eric Abecassis says “We’ve seen an increase of about 25% in terms of productivity with 25% of cost reduction on a massive program.” Abecassis adds all this came with a significant improvement in terms of quality. “Defects are roughly half of what they use to be.”

These results, he says, are just the beginning. “I think we can continue to push the envelope and we can definitely get to maybe 30 - 40% of cost savings and 30 - 40% of productivity improvement.”

Schlumberger’s launch of the ERP in North America, the company’s largest market, successfully went live on April 1st, 2019.

Schlumberger: Successful ERP Implementation With Scrum

This case study examines how Scrum Inc. consultants partnered with Schlumberger to turn around an ERP implementation which had already spent $1 billion but had little progress to show for it.

A bar chart that shows 3 bars with a steep ramp up and the words 3 X or 3 Times to denote a team delivering 3 times the value

Deliver Value Faster

From Fortune 100 companies to the newest of start-ups, Scrum Inc. transforms companies into Agile enterprises. The market changes fast. We can build innovation into your process.

Stay Connected

Stay Connected

Sign up to receive the latest Scrum news, special offers, and our monthly newsletter.

You have Successfully Subscribed!

Login to your ScrumLab Account

You have Successfully Subscribed!

My Account

You have Successfully Subscribed!