How your council can get it right
Councils are under constant pressure to manage growing communities and maintain critical infrastructure, all while operating within tight funding envelopes. At the same time, many councils continue to rely on ageing core systems that were never designed to support today’s operating environment.
Upgrading ERPs and other core business systems is increasingly positioned as inevitable. Yet outcomes vary widely. Some councils use these programs to simplify operations and build long-term capability. Others find themselves locked into lengthy, costly delivery cycles that preserve existing problems rather than resolve them.
To understand why, TechnologyOne commissioned independent research from Intelligent Business Research Services (IBRS). The Fast-Tracking Economic Advantage report examined 23 real-world core system upgrades across government, local government, and education.
Its findings provide clear, evidence-based insight into the delivery choices that consistently undermine council ERP programs, and the approaches that lead to faster, lower-risk outcomes.
What councils can do differently
The IBRS research shows that many council ERP programs struggle for the same underlying reasons; repeatable patterns seen across nearly two dozen programs analysed.
The most significant finding is counterintuitive. Heavy reliance on tier 1 consulting firms was the single factor most closely correlated with poor outcomes. Programs led primarily by large consultancies were more likely to run for years rather than months, exceed budget, and delay value. In several cases, projects with 55 to 65 per cent tier 1 consultancy involvement extended beyond 35 months.
These programs were often characterised by lengthy planning phases that prioritised documenting existing processes over simplifying them. As scope expanded, legacy behaviour was reinforced rather than challenged. IBRS found this approach significantly increased complexity, with integration costs reaching up to 35 per cent of total project spend in fragmented environments.
The research makes clear that how councils choose to deliver, matters just as much as what they choose to implement.
“Relying heavily on tier 1 consultants introduces delays for two reasons: there is little or no imperative to minimise effort and reduce time to value for the client because of their time and material pricing model, and it introduces coordination challenges.”
“In contrast, a strong in-house team leading the effort expedites the process.”
– Dr Joseph Sweeney, Research Director Advisor, Future of Work, IBRS
Example: When planning replaces progress
One council program examined in the IBRS research (number 22) shows how good intent can drift into delay. The project entered an extended planning phase focused on exhaustive requirements gathering to document every existing process before delivery began. Over time, this effort shifted from clarifying priorities to preserving the status quo.
Despite the significant time and cost invested in planning, the program struggled to reach agreement on what was essential and what could change. Ultimately, the council chose to stop the program before delivery even began.
While difficult, this decision avoided further cost escalation and operational disruption.
What successful council upgrades do differently
The IBRS research shows that successful council ERP programs take a different approach to delivery. They keep scope tightly focused, retain ownership within the organisation, and use external support selectively.
The following examples show how these choices translate into practical outcomes for councils.
Scaling services without increasing headcount
One council examined in the IBRS research migrated from a legacy ERP environment first implemented in 2003, to a SaaS platform designed to support a growing organisation. The program was delivered on budget at approximately $2 million, led largely by an internal team of six, with limited specialist support.
After go-live, the council digitised its field workforce through mobile-enabled work orders, timesheets, and requisitions, reducing manual processes and reliance on disconnected systems.
Over the following three years, the organisation absorbed sustained growth without increasing headcount, showing how disciplined delivery and internal ownership can unlock measurable productivity gains.
Moving off unsupported systems without blowing the budget
Another council faced the growing risk of running an unsupported on-premises ERP platform that underpinned finance, assets, property, and ratings. Rather than delay until failure forced urgent action, the organisation chose to migrate to SaaS in a controlled program delivered on budget at approximately $1.25 million.
The project was led internally, with specialist consultants engaged only for targeted data preparation and integration work.
By proactively managing vendor relationships and focusing on risk reduction rather than broad redesign, the council avoided the cost blowouts often seen in reactive upgrades and secured a modern, supportable platform without escalating delivery spend.
| How successful programs behaved | How failing programs behaved |
|---|---|
| – Clear scope focused on business outcomes – Strong internal leadership and accountability – Consultants used for targeted, specialist tasks only – Minimal customisation and platform-first thinking – Change management aligned to delivery, not documentation – Faster delivery timelines and measurable cost reduction | – Extensive upfront requirements aimed at replicating legacy – Heavy reliance on tier 1 consultancies – Time-and-materials models with no incentive to reduce effort – Customisation preserved outdated processes – Integration complexity driving cost and delay – Weak or unclear return on investment |
Source: IBRS, Fast Tracking Economic Advantage from Core Solution Upgrades, 2026. Commissioned by TechnologyOne
Applying these lessons in Australian local government
For Australian councils, ERP upgrades cannot afford to become multi-year exercises in the current environment. The report’s recommendations for avoiding this are highly practical, with one clear finding: delivery choices play a key role in shaping outcomes.
Programs that preserve legacy processes, rely heavily on tier 1 consultancies, or allow scope to expand unchecked, are more likely to run long and exceed budget. On the other hand, councils that keep ownership and engage third-party expertise selectively are far better positioned to realise value sooner with less risk.
This is where delivery models matter. SaaS+ is ours: it provides a single accountable partner, a defined scope, and a single pricing model aligned with outcomes rather than time-and-materials. By reducing reliance on large consulting programs and aligning incentives to a faster time-to-value, SaaS+ supports councils in modernising core systems with greater certainty.
Combined with OneCouncil, TechnologyOne’s integrated local government solution, SaaS+ offers a structured path to upgrade ageing systems without escalating cost or losing control.
Turn evidence into action today
The IBRS Fast-Tracking Economic Advantage report provides a detailed analysis of 23 real-world core system upgrades, including the council examples highlighted above. It outlines the delivery choices that consistently reduce risk and those that drive cost and delay.
