By Suzanna Kerridge, 7 July 1998 16:36
NEWS Andersen Consulting has denied accusations that a flawed implementation of an enterprise resource planning package caused the downfall of a $5bn (£3.1bn) drugs company. FoxMeyer alleged that following the implementation of a customer order system using SAP R/3, it had only been able to process a limited number of orders. The suit also accused Andersen of charging twice the quoted price, pushing the total cost to $30m (£18.7m), and of using trainees instead of fully qualified engineers. Andersen Consulting said the accusation was "outlandish and totally at odds with the truth." It continued: "The suggestion that Andersen Consulting work for FoxMeyer led to its failure is preposterous. Fox Meyer's difficulties were a product of its own business decisions in a highly competitive industry." The company claimed the ERP software had been "one component of a broad-ranging initiative conceived and led by FoxMeyer".
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