Organisations seeking a two tier ERP approach may do so for a variety of reasons.
·Budget & Resource: Some organisations lack resources and budget in the subsidiaries to maintain the HQ ERP system.
·Business Process Simplification: Others require simpler business processes at the subsidiaries leading to an ERP system requirement based on standardised best practice processes.
·JV / M&A: Yet others need to deploy an ERP system rapidly due to either execution of a joint venture, or a new acquisition.
·Governance: organisations that have had subsidiaries fail audits, and require an ERP system deployed rapidly in order to continue business operations.