Agreed. There is a perceived risk with the F500 so they may spend more to do something than is required because they feel they have recourse with the big shops. There are some good teams of folks out there, but there are also some shops that are happy to send a dozen folks @250-300/hr that generate process maps in visio and power point slides instead of delivering/implementing a project. I have seen these big shops deliver in a timely manner and I have seen boondoggles that waste millions. I don't think they are by default "bad", I just think they are not necessarily the right choice in some circumstances, and the right option is to hire the boutique niche firm that specializes in what they need. This lack of awareness is exactly what the article brings to light. CIO shoots down VP who needs timely solution for long protracted big rock implementation.
There's a strong case for decoupling the process flows, requirements, business analysis, scoping, current state understanding; from the implementation. Maybe even having a separate consulting firm do that work up front before going to bid on the ERP.
Many ERP implementations fail because of wrong assumptions about the business, or inflexibility of the client to modify their business process to fit the ERP. Enter expensive customizations.
These types of projects also affect peoples' jobs and that can bring up fears of being replaced that can quickly derail morale on a project. Successful projects empower the people with hands on the keyboard who know and live those processes, to own and define their future process too. When the consultants or executives are making future business process decisions without that experience, it is risky.