It is very important here to indicate that defining the ERP implementation budget needs clear understanding of cost drivers.when a company decides to go ahead with an implementation with a lack of clear cost driver understanding, this might result in a budget shortfall during the implementation and hence put the whole project at risk of cancellation.companies implementing an ERP should develop their own cost drivers in isolation of the vendor, as the vendor will always try to enforce it ‘s model, could lead to the budget being overinflated