Cotswold Company ERP Replacement
Overview
We were selected by The Cotswold Company to help them evaluate and select a new ERP vendor to address a number of business challenges driven by their fast growth, complexity in their omni-channel offering and desire to efficiently replenish stock and forecast product demand. The Cotswold Company is a UK based furniture retailer founded in 2005 as an eCommerce pure play whose products are timeless, rural classics. More recently the company has invested in stores with a plan to add more however the vast majority of sales are still delivered through the eCommerce channel. The business is currently seeing significant growth across its operations and the time has come to invest in scalable back office technology and processes to help achieve their five-year growth plan.
Business Challenges
As with all fast-growing retailers the back office processes that were fit for purpose a number of years ago are now becoming inhibitors to growth. Technology can help support new more streamlined processes and automate the manual tasks which make operations slow and cumbersome and this was the main objective of the technology re-platform. In particular the company suffered from no single version of the truth for inventory, for customers and for product with lots of excel based tasks leading to accuracy issues and unwieldy spreadsheets. A key business challenge has been to accurately forecast demand in order to improve associated supply chain efficiencies, minimise waste, develop the right new products and to ensure that customer demand is serviced with the correct supply. The Cotswold Company had multiple systems for price planning, stock levels and availability resulting in discrepancies in key data with the problem growing with the success & growth of the business. Removing manual process is often one of the biggest drivers for ERP change but data accuracy in this case was also very important. You cannot make sounds decisions without sound data!
Challenges with ERP evaluations
Targeting the Right Vendors: Selecting the most appropriate vendors to address back-office challenges is a challenge in itself.
Cloud & Automation Impact: The influence of cloud computing and automation further complicates ERP selection.
Hidden Costs: Many vendors obscure the true cost of ownership, making pricing transparency difficult.
Cloud Misrepresentation: Some vendors market "Cloud-like" solutions that are merely hosted services without true cloud benefits.
Key Cloud Benefits to Look For: Ensure the solution offers elastic scalability, upgradability, and reduced maintenance efforts.
Industry-Wide Trend: Similar misleading cloud claims are seen in other technology sectors, especially eCommerce.
Evaluation Process & Selection Strategy
The Cotswold Company decided to evaluate seven vendors in total, which included a mixture of well-established traditional market leaders and SaaS-based vendors specializing in retail management to full ERP. The first phase of evaluation centered on establishing functional and non-functional fit against the business requirements, with cost and timeline being key metrics for shortlisting.
Shortlisting & Vendor Engagement
We down-selected to four vendors and spent more time with each during a pitch and QA process. We then focused on understanding what each provider was really offering and whether that met the long-term requirements of the customer, which led us to focus attention on two vendors.
Final Selection & Risk Assessment
We then spent time assessing the non-functional areas and identifying the associated risks around project delivery. At the same time, we undertook detailed customer reference calls, which focused more on the project delivery experience. Functional and non-functional matches were relatively similar, so it was the due diligence on customer references, project delivery risks, and timelines where we learned the most about which solution was more appropriate.
Result & Lessons Learnt
Project Execution & Risk Mitigation
The Cotswold Company is now moving forward with the project, supported by our team in project and programme management as well as commercial budget management. The risk was minimized by first procuring a discovery phase to define the exact solution configuration and integration architecture. Only after this phase was completed were the software and services agreements signed, ensuring all costs and risks were identified before any commercial commitments were made.
Lessons from Customer Reference Calls
One of the most valuable insights came from the detailed customer reference calls. Many described the ERP implementation as “open-heart surgery,” highlighting its deep impact on the organization. These conversations revealed key differences between the vendors under consideration. We conducted in-depth discussions with senior decision-makers, spending about an hour per call and speaking with at least three references per vendor. Additionally, we carried out informal, off-the-record reference checks with contacts who had worked with the vendors but were not listed as official references—these conversations provided unfiltered insights into real-world experiences.
Vendor Roadmap & Total Cost of Ownership
Understanding the vendor’s product roadmap, upgrade strategy, and the associated costs, timeframes, and customer impact was a critical factor in the final decision. Developing clear metrics for total cost of ownership helped not only in selecting the right solution but also in setting clear expectations for the ongoing partnership.
Key Innovations
Data Accuracy & Process Automation
Eliminated manual processes and spreadsheet-driven workflows by implementing a system that ensures a single source of truth for inventory, customers, and product data.
Strategic Vendor Evaluation
Conducted a structured selection process, evaluating seven vendors and narrowing down to two based on functionality, risk assessment, and long-term scalability.
Cost & Risk Mitigation
Implemented a discovery phase before contract signing to assess total cost of ownership, integration complexity, and vendor roadmap, ensuring transparency and minimizing risks.
