Pros and cons of two-tier ERP

Two-tier enterprise resource planning (ERP) offerings can reduce the total cost of ownership (TCO) and increase the return on investment (ROI) for ERP, but also have some disadvantages that companies need to take into account when considering adopting them. An analysis of the pros (IT cost reductions, tighter integration, and increased productivity) and the cons (business and operational disruptions, vendor lock-in) is required to understand either a two-tier ERP strategy makes sense form both a technological and business perspective.