ERP and organizational change

2016 ◽  
Vol 24 (3) ◽  
pp. 487-515 ◽  
Author(s):  
Mostafa Kamal Hassan ◽  
Samar Mouakket

Purpose The study aims to explore the processes of implementing an enterprise resource planning (ERP) system in a public service organization operating in an emerging market economy, namely, the United Arab Emirates (UAE). Design/methodology/approach The study draws on Laughlin’s (1991) model of organizational change to highlight how the introduction of an ERP system, particularly its accounting modules, disrupted the adopting organization’s modes of thinking and its members’ practices. It uses a case study methodology. Data collection methods included semistructured interviews, documentary evidence and personal observation. Findings The case study findings show that despite implementation and customization problems, the organization’s employees were forced to use the ERP system. The findings also highlight how the ERP system was acted upon to mobilize the organization’s members toward a new era of information technology. However, the misfit between pre- and post-ERP system accounting practices led to some organizational members to form absorbing groups that questioned accounting-based ERP system organizational changes. The top management’s persistent desire to adopt the ERP system through forcing the organization’s employees to use the system’s modules led the organization to undergo what Laughlin (1991) calls “colonization” organizational change. Research limitation/implications The use of a case study methodology inherently limits the generalizability of the study’s findings. The case study was carried out over a relatively short timeframe, namely, ten months. Therefore, the use of a longitudinal case study to examine accounting-based ERP organizational change is recommended. Practical implications The study provides insights that can assist top management in formulating organizational change strategies. It also provides insights about emerging economies’ regulatory particularities that influence ERP system implementation. Originality/value The study is one of the first studies that utilizes Laughlin’s (1991) model of organizational change to examine accounting-based ERP organizational change in an emerging market economy.

Author(s):  
Joseph R. Muscatello ◽  
Diane H. Parente

Enterprise resource planning (ERP) systems, if implemented correctly, have shown that a firm can gain strategic and tactical advantages over their competition who do not implement such systems. However, with failure rates estimated to be as high as 50% of all ERP implementations, companies can be negatively impacted by a poorly performing ERP system. The research on ERP has focused on events leading to the selection, evaluation, and implementation of the ERP system. The intent of this updated research effort is to capture new theories that can help practitioners successfully manage ERP systems by performing a post-ERP implementation examination of eight corporations and a pertinent research review. This chapter is based on a qualitative research design involving case-study methodology. The propositions derived from the case study form a broad set of considerations that influence the success of an ERP system.


2011 ◽  
pp. 1358-1378
Author(s):  
Joseph R. Muscatello ◽  
Diane H. Parente

In today’s intensely competitive marketplace, companies can benefit strategically and tactically from enterprise resource planning (ERP) systems, if implemented correctly. However, with failure rates estimated to be as high as 50% of all ERP implementations, companies can be negatively impacted by a poorly performing ERP system. The research on ERP has focused on events leading to the selection, evaluation, and implementation of the ERP system. The intent of this research is to identify new or lightly researched theories regarding the difficulties of ERP implementations that can help practitioners successfully manage ERP implementations by performing a post-ERP implementation examination of eight corporations. We examine operations management (OM) literature rather than information systems (IS) literature in order to provide IS readers with an alternative yet valuable analysis. Further, we purposely avoid well-established findings by performing a large literature review. This article is based on a qualitative research design using case-study methodology. The propositions derived from the case studies form solid insight into the considerations that may influence the success of an ERP system.


2019 ◽  
Vol 21 (3) ◽  
pp. 325-346
Author(s):  
Mohamad Abu Ghazaleh ◽  
Salam Abdallah ◽  
Abdelrahim Zabadi

Purpose Despite the importance of post-implementation activities to support the success of an enterprise resource planning (ERP) system, there has been a lack of research into the factors that influences post-implementation success. Accordingly, this paper aims to present a case study on a public service organization operating in an emerging market economy, namely, the United Arab Emirates in the ERP post-implementation phase to understand the internal forces within the organization that influences ERP system success. Design/methodology/approach A qualitative method using focus group discussions (FGDs) was conducted based upon IT data from the firm and interviews with IT staff, business users and executive management to identify system users’ perceptions in post ERP. Findings The authors posit that the internal organizational forces of ongoing support, system user interactions and stakeholder views significantly affect post-implementation capabilities and user satisfaction. Research limitations/implications IT professionals and stakeholders believe that identification of the factors determining post-implementation ERP capabilities and user satisfaction should not be limited to specific practices. Practical implications This study provides insights that can assist CIOs and ERP professionals in the service industry to examine the extent of obstructions to post-implementation capabilities that will impact system user satisfaction. Originality/value Use of FGDs to explore the impact of ERP capabilities upon system user satisfaction in the service sector. The study is one of the first that utilizes Technological frames of reference (TFR) theory in studying ERP post-implementation.


2018 ◽  
Vol 8 (4) ◽  
pp. 476-494
Author(s):  
Mostafa Kamal Hassan ◽  
Samar Mouakket

PurposeThe purpose of this paper is to explore political behaviours associated with the implementation of an enterprise resource planning (ERP) system in a public service organisation from an emerging market country, the United Arab Emirates (UAE).Design/methodology/approachThe authors’ theoretical framework is based on the notions of trust, agent reflexivity, ontological security, routines, control and power proposed by Giddens (1984, 1990). The authors explore how the political behaviour of organisation members emanates from the introduction of an ERP system (particularly its accounting modules), and how the interaction between individual power, trust and control shaped its implementation process. The case study methodology relied on diverse data collection methods including semi-structured interviews, documentary evidence and personal observation.FindingsThe authors show that the accounting-based ERP system created an episode of discomfort in the organisation, which facilitated reflexivity and critical reflection by organisation members and led to a re-assessment of ways of thinking pre- and post-dating the implementation of the ERP system. The findings illustrate the entangled relationship between the new accounting-based ERP system and the feelings of trust emerging during organisational change.Practical implicationsAlthough case studies are intrinsically limited in terms of generalisability, the authors’ investigation provides practical insights into the management of the needs of trust, ontological security and sources of power experienced by organisation members, since the fulfilment of such needs is the underlying pillar which the success of ERP systems rests upon.Originality/valueThis study is one of the first to apply Giddens’ (1984, 1990) conceptualisation to examine organisation change caused by the implementation of an accounting-based ERP system in an emerging market economy.


2010 ◽  
pp. 1285-1302
Author(s):  
Joseph R. Muscatello ◽  
Diane H. Parente

Enterprise resource planning (ERP) systems, if implemented correctly, have shown that a firm can gain strategic and tactical advantages over their competition who do not implement such systems. However, with failure rates estimated to be as high as 50% of all ERP implementations, companies can be negatively impacted by a poorly performing ERP system. The research on ERP has focused on events leading to the selection, evaluation, and implementation of the ERP system. The intent of this updated research effort is to capture new theories that can help practitioners successfully manage ERP systems by performing a post-ERP implementation examination of eight corporations and a pertinent research review. This chapter is based on a qualitative research design involving case-study methodology. The propositions derived from the case study form a broad set of considerations that influence the success of an ERP system.


2005 ◽  
pp. 288-316
Author(s):  
Mary C. Jones ◽  
R.L. Price

This study examines organizational knowledge sharing in enterprise resource planning (ERP) implementation. Knowledge sharing in ERP implementation is somewhat unique because ERP requires end users to have more divergent knowledge than is required in the use of traditional systems. Because of the length of time and commitment that ERP implementation requires, end users are also often more involved in ERP implementations than they are in more traditional ERP implementations. They must understand how their tasks fit into the overall process, and they must understand how their process fits with other organizational processes. Knowledge sharing among organizational members is one critical piece of ERP implementation, yet it is challenging to achieve. There is often a large gap in knowledge among ERP implementation personnel, and people do not easily share what they know. This study presents findings about organizational knowledge sharing during ERP implementation in three firms. Data were collected through interviews using a multi-site case study methodology. Findings are analyzed in an effort to provide a basis on which practitioners can more effectively facilitate knowledge sharing during ERP implementation.


Author(s):  
Mary C. Jones ◽  
R. Leon Price

This study examines organizational knowledge sharing in enterprise resource planning (ERP) implementation. Knowledge sharing in ERP implementation is somewhat unique, because ERP requires end users to have more divergent knowledge than is required in the use of traditional systems. Because of the length of time and commitment that ERP implementation requires, end users also are often more involved in ERP implementations than they are in more traditional ERP implementations. They must understand how their tasks fit into the overall process, and they must understand how their process fits with other organizational processes. Knowledge sharing among organizational members is one critical piece of ERP implementation, yet it is challenging to achieve. There is often a large gap in knowledge among ERP implementation personnel, and people do not easily share what they know. This study presents findings about organizational knowledge sharing during ERP implementation in three firms. Data were collected through interviews using a multi-site case study methodology. Findings are analyzed in an effort to provide a basis on which practitioners can facilitate knowledge sharing more effectively during ERP implementation.


2016 ◽  
Vol 44 (2) ◽  
pp. 39-45 ◽  
Author(s):  
Einar Iveroth

Purpose – The aim of this article is to provide strategic insights of how multinational organizations lead IT-enabled change on a global scale. The article summarizes the findings from a three-year case study of the international telecom company Ericsson. This company managed to successfully transform their finance and accounting (F & A) unit from a highly decentralized structure into a so-called shared service center (SSC) structure and the whole change was enabled by enterprise resource planning (ERP) system. Design/methodology/approach – The case study data consists of in-depth interviews, archival data, and observations collected during three years. Findings – The article provides rich description of how the transformation was executed together with three key strategic lessons. Originality/value – The article offers unique and novel insights of how strategist drives IT-enabled change on a global scale.


2008 ◽  
pp. 1948-1967
Author(s):  
Mary C. Jones ◽  
R. Leon Price

This study examines organizational knowledge sharing in enterprise resource planning (ERP) implementation. Knowledge sharing in ERP implementation is somewhat unique because ERP requires end users to have more divergent knowledge than is required in the use of traditional systems. Because of the length of time and commitment that ERP implementation requires, end users are also often more involved in ERP implementations than they are in more traditional ERP implementations. They must understand how their tasks fit into the overall process, and they must understand how their process fits with other organizational processes. Knowledge sharing among organizational members is one critical piece of ERP implementation, yet it is challenging to achieve. There is often a large gap in knowledge among ERP implementation personnel, and people do not easily share what they know. This study presents findings about organizational knowledge sharing during ERP implementation in three firms. Data were collected through interviews using a multi-site case study methodology. Findings are analyzed in an effort to provide a basis on which practitioners can more effectively facilitate knowledge sharing during ERP implementation.


2015 ◽  
Vol 41 (4) ◽  
pp. 405-415 ◽  
Author(s):  
Jonghyun Park ◽  
Jin Park

Purpose – The purpose of this paper is to investigate the efficiency of Korean insurers that have adopted enterprise resource planning (ERP) system to improve their efficiency. Design/methodology/approach – The study uses Data Envelopment Analysis (DEA) with several inputs and outputs to measure both technical and scale efficiency. With the efficiency measures and using the ordinary least square with the hetereoscedacity consistent standard errors, the study further investigates the factors affecting efficiency, and the association between ERP and efficiency. Findings – This study finds a strong positive association between ERP implementation and the insurers’ efficiency and profitability. However, firms may experience a decrease in efficiency and profitability during the first and second year after ERP implementation. Research limitations/implications – Although the findings of this study are consistent with extant studies, the study’s findings may lack generalizability because the samples are limited small Korean Property/Casualty (P/C) insurers. Originality/value – This study investigates the impact of ERP implementation on P/C insurers in an emerging market.


Sign in / Sign up

Export Citation Format

Share Document