VAR vs System Integrator vs ERP Consultant: Who Do You Hire?

A value-added reseller (VAR) sells you the software licence and implements it, earning margin on both. A system integrator (SI) implements and integrates the software without necessarily reselling the licence, earning fees on delivery work alone. An independent ERP consultant advises on selection and oversees delivery without selling software or implementation days, earning only advisory fees. The three roles can overlap in practice, but the payment structure behind each one is what determines whose interest you are actually buying.

This guide defines each role in one sentence, shows who to hire at each stage of a project, and explains why how a firm gets paid changes what its advice is worth.

VAR, SI, and Independent Consultant: One-Sentence Definitions

A VAR resells an ERP vendor's licence under a reseller agreement and typically implements the system it sold, earning margin on the licence plus fees on delivery. See our glossary entry on the value-added reseller model.

A system integrator implements, configures, and integrates ERP and adjacent systems for a fee, without necessarily holding a reseller agreement for the software itself. See our glossary entry on system integrators.

An independent ERP consultant advises on requirements, selection, and delivery oversight without reselling any vendor's licence or billing implementation days, so its fee is its only revenue from the engagement. See our guide to independent ERP consultants.

"Implementation partner" is the umbrella term the market uses for both VARs and SIs once they are doing delivery work; see our implementation partner glossary entry for how the term is used loosely across both roles.

Comparison: What Each Does, How They're Paid, and Conflict of Interest

Conflict of interest is not a verdict on any individual firm's integrity, it is a structural fact about how each role is paid, and it is why programmes commonly use more than one type of firm at once.

Hiring by Project Stage

• Requirements and business case. An independent consultant, so the case for change and the requirements set are built before any vendor or reseller has a stake in the outcome.
• Software selection and RFP. An independent consultant scripts demos and evaluates vendors on the same criteria; a VAR or SI evaluated at this stage is effectively bidding on its own recommendation.
• Contract negotiation. An independent consultant or a client-side project manager, to negotiate licence and implementation terms without the firm negotiating against itself.
• Implementation and configuration. A VAR (if you are buying a partner-only or partner-led product) or an SI (if the product is available direct, or the build spans multiple systems). See our ERP partner vs buying direct guide for which products route through which channel.
• Delivery oversight. An independent consultant stays client-side through go-live, holding the VAR or SI to its statement of work.
• Post-go-live optimization. Either an independent consultant (system and licence audit) or the original implementer (configuration tuning), depending on whether the question is "are we using this well" or "can you adjust the build."

Working out which type of firm your project actually needs? Document your requirements first so VAR, SI, and consultant proposals all respond to the same scope.

Build your requirements list Compare ERP systems

Payment Structures and Why They Matter

A VAR's revenue mixes licence margin (a vendor-paid commission or discount band, not a markup you see on the invoice) with implementation fees, which means the fastest path to more VAR revenue is selling more licence and more delivery days on the same product, not necessarily the path that best fits your requirements. An SI has no licence margin, so its incentive is purely to sell more delivery days, real when scope is genuinely complex, but still worth scoping tightly. An independent consultant's only lever is its advisory fee, so it earns the same whether it recommends the cheapest adequate system or the most expensive one, which is what makes its recommendation on selection the most structurally neutral of the three.

None of this means a VAR or SI gives bad advice, most don't. It means their advice on "what should we buy and how big should the programme be" carries a built-in incentive that an independent consultant's advice does not, and you should weigh recommendations accordingly, particularly at the selection and scoping stage. Our wider guide to ERP consultants and consulting firms covers how the market separates these roles, and our comparison of Big 4 vs boutique ERP consulting firms covers firm size on the delivery side once you've chosen a VAR or SI.

One Firm, Three Roles

In principle, a firm can hold a reseller agreement, deliver complex integration work, and offer advisory services, and some large integrators do all three under one roof. In practice, treat any single-firm claim to be independently advising on a selection it could also deliver as a conflict, not a convenience. If a VAR or SI offers to also run your selection process, the safest structure is to have that firm bid on delivery like any other vendor, with a separate, genuinely independent party running the RFP and evaluating the responses.

The cleanest pattern for larger programmes: an independent consultant runs requirements and selection, a VAR or SI (chosen through that process) delivers, and the independent consultant stays engaged, at a lighter touch, through go-live to hold the delivery firm to its plan.

Frequently Asked Questions

What is the difference between a VAR and a system integrator?

A VAR resells the software licence under a vendor reseller agreement and typically implements it, earning margin on both. A system integrator implements and integrates systems for a fee without necessarily reselling any licence, so its revenue comes only from delivery work.

Is a VAR the same as an implementation partner?

"Implementation partner" is a broader, informal term the market uses for any firm that deploys ERP software, VARs and SIs both qualify. A VAR is specifically a reseller; not every implementation partner resells licences.

Should I use the same firm for selection and implementation?

Generally no, for selection. A firm that will also bid on implementation has an incentive in the outcome of the selection it is helping you run. Keep selection with an independent consultant, then bring in a VAR or SI, chosen through that process, for delivery.

Do system integrators cost more than VARs?

Not inherently, rates depend on firm size, seniority, and programme complexity more than on the VAR-vs-SI distinction itself. An SI on a large integration programme can cost far more than a VAR on a straightforward single-product deployment, or the reverse.

Can an independent consultant also implement the ERP system?

Most stay deliberately client-side and don't, to keep the advisory role clean. Some offer project or change management alongside a separate VAR or SI doing the build. A firm that both recommends and implements should be evaluated as a VAR or SI for that engagement, not as an independent advisor.