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PeopleSoft as the Heart of a Hybrid ERP Strategy

4/52 Why Hybrid ERP Has Become the Default Reality

Aaron's avatar
Aaron
Jan 31, 2026
∙ Paid

Very few enterprises today run on a single monolithic system. There are so many niche software suites that tackle complex business problems; over time, organizations add these best-of-breed tools for HR, analytics, customer engagement, and industry-specific needs. The result is an ERP landscape that is already hybrid, whether leaders planned it that way or not. While the term Hybrid ERP may be new, this concept is not. Hybrid EPR is the current operating model for most CIOs.

What has changed is how leaders think about that reality. Instead of forcing everything into a single platform, CIOs increasingly focus on orchestration, integration, and clear ownership. Hybrid ERP enables organizations to continue innovating while preserving stability in core systems. This balance matters because it helps ensure that the pace of change is manageable across all systems. Treating every system as equally disposable creates unnecessary risk.

Stability and Innovation Are Partners

A common misconception in ERP strategy is that stability and innovation sit on opposite ends of a spectrum. In this framing, stable systems are slow, and innovative systems are fragile. This thinking leads organizations to push core platforms aside in pursuit of speed. Over time, that approach undermines both reliability and confidence.

In practice, stability enables innovation when intentionally used. A reliable system of record provides clean data, predictable processes, and trusted outcomes. Innovation builds more effectively on that foundation than on constantly shifting platforms. When leaders recognize this relationship, strategy shifts from replacement to enablement.

Hybrid ERP works because it assigns different roles to different systems. Core ERP remains focused on transactional integrity and governance. Surrounding platforms handle experimentation, user experience, and rapid iteration. Each system plays to its strengths instead of competing for relevance.

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