scholarly journals SOX And ERP Adoption

2011 ◽  
Vol 7 (4) ◽  
Author(s):  
David J. Emerson ◽  
Khondkar E. Karim ◽  
Robert Rutledge
Keyword(s):  
Enterprise Resource Planning ◽  
Resource Planning ◽  
Critical Factors ◽  
Erp Systems ◽  
Advantages And Disadvantages ◽  
Sarbanes Oxley ◽  
The Impact ◽  
The Relationship

The objective of this paper is to examine the relationship between the implementation of the Sarbanes-Oxley (SOX) legislation and Enterprise Resource Planning (ERP) systems, and to investigate the impact that the passage of this legislation has had on the decision for companies to adopt ERP technology.  The legislation itself is discussed, along with an analysis of ERP systems, including their components, their advantages and disadvantages, and the critical factors and crucial components which must be present for the successful deployment of such systems.  This paper explores the contributory effect of SOX on ERP adoption.  The authors concluded that SOX merely accelerated an inevitable process.  The best managers will always find and use the best tools to maximize benefits to their organizations.  The requirements of Sarbanes-Oxley forced companies to rethink their processes and technology, and therefore may have provided the final incentive for companies to commit to ERP.

The Impact of Enterprise Resource Planning (ERP) Systems on the Audit Report Lag

2013 ◽  
Vol 10 (1) ◽  
pp. 63-88 ◽  
Author(s):  
Jongkyum Kim ◽  
Andreas I. Nicolaou ◽  
Miklos A. Vasarhelyi
Keyword(s):  
Enterprise Resource Planning ◽  
Resource Planning ◽  
Test Results ◽  
Audit Report ◽  
Erp Systems ◽  
Erp Implementation ◽  
Accounting Systems ◽  
Business Operations ◽  
The Impact ◽  
The Relationship

ABSTRACT Prior research has shown that the implementation of ERP systems can significantly affect a firm's business operations and processes. However, scant research has been conducted on the relationship between ERP implementation and the timeliness of external audits, such as audit report lags. While some of the alleged benefits of ERP are closely related to removing impediments contributing to audit report lags, others argue that the complex mechanisms of ERP systems create greater complexity for control and audit. In this paper, we examine the relationship between ERP implementations and audit report lags. The test results indicate that overall, a firm's ERP implementation is negatively associated with audit report lag. However, this negative association is significant only at the fourth and fifth years after initial ERP implementation. These results imply that the use of ERP systems by client firms may help decrease the audit report lag, but it takes time for the full impact of the firms' accounting systems to be realized.

The Impact of Enterprise Resource Planning (ERP) Systems on the Effectiveness of Internal Controls over Financial Reporting

2011 ◽  
Vol 25 (1) ◽  
pp. 129-157 ◽  
Author(s):  
John J. Morris
Keyword(s):  
Financial Reporting ◽  
Enterprise Resource Planning ◽  
Internal Control ◽  
Control Sample ◽  
Resource Planning ◽  
Internal Controls ◽  
Erp Systems ◽  
Individual Account ◽  
Sarbanes Oxley ◽  
The Impact

ABSTRACT: Software vendors that market enterprise resource planning (ERP) systems have taken advantage of the increased focus on internal controls that grew out of the Sarbanes-Oxley (SOX) legislation by emphasizing that a key feature of ERP systems is the use of “built-in” controls that mirror a firm’s infrastructure. They argue that these built-in controls and other features will help firms improve their internal control over financial reporting as required by SOX. This study tests that assertion by examining SOX Section 404 compliance data for a sample of firms that implemented ERP systems between 1994 and 2003. The results suggest that ERP-implementing firms are less likely to report internal control weaknesses (ICW) than a matched control sample of non-ERP-implementing firms. It also finds that this difference exists for both general (entity-wide), and individual (account-level) controls.

The Impact of Organizational Slack and Lag Time on Economic Productivity

2017 ◽  
Vol 13 (3) ◽  
pp. 36-50
Author(s):  
Terry W. Mason ◽  
John J. Morris
Keyword(s):  
Enterprise Resource Planning ◽  
Resource Planning ◽  
Manufacturing Firms ◽  
Organizational Slack ◽  
Erp Systems ◽  
Productivity Improvement ◽  
Economic Productivity ◽  
Increase In Productivity ◽  
The Impact ◽  
The Relationship

Much like research on the productivity paradox of the 1980s, empirical research has not provided a clear association between investments in enterprise resource planning (ERP) systems and improved productivity, even though these systems were designed, developed, and marketed as productivity improvement tools. This paper explores the relationship between organizational slack and productivity improvements resulting from investments in ERP systems. The authors provide support for the proposition that during the period of time surrounding implementation, firms build organizational slack; and following implementation organizational slack is absorbed and productivity increases. Furthermore, the authors find that even though manufacturing firms drive the decrease in organizational slack during the post-ERP period, the magnitude of the increase in productivity is significantly larger for non-manufacturing firms.

Critical Success Factors in Enterprise Resource Planning Implementation

2020 ◽  
pp. 188-208
Author(s):  
Muhammad Shaikh ◽  
Libi Shen
Keyword(s):  
Enterprise Resource Planning ◽  
Success Factors ◽  
Resource Planning ◽  
Future Research ◽  
Critical Factors ◽  
It Professionals ◽  
Erp Systems ◽  
Erp System ◽  
Effective Implementation ◽  
Critical Success

Enterprise resource planning (ERP) systems are considered, by many, to be extremely solid, while giving organizations the ability to quickly capture and manage data across diverse sectors. Because the successful employment of an ERP system depends upon skillful implementation, specific factors contributing to successful ERP implementation are essential. What are the critical factors in the implementation of ERP system? How do company administrators and IT professionals perceive the critical successful factors for the effective implementation of the ERP? How are critical successful factors defined? How do IT professionals perceive the influence of critical factors on the effective implementation of ERP in a Phoenix company? In this chapter, the critical successful factors in the implementation of ERP systems will be explored. A single case study was conducted, and the interview data were gathered from 15 IT professionals in a Phoenix, Arizona company. Problems, solutions, recommendations, and future research direction will be presented.

The Impact of Enterprise Resource Planning Systems on Organizational Effectiveness

2011 ◽  
pp. 78-96
Author(s):  
Jonas Hedman ◽  
Andreas Borell
Keyword(s):  
Organizational Effectiveness ◽  
Enterprise Resource Planning ◽  
Open Systems ◽  
Resource Planning ◽  
Organizational Impact ◽  
Competing Values ◽  
Erp Systems ◽  
Enterprise Resource Planning Systems ◽  
Systems Models ◽  
The Impact

Enterprise resource planning (ERP) systems have an organizational impact and are in most cases implemented to improve organizational effectiveness. Shortcomings in current research make it difficult to conclude how an organization may be affected. This paper presents an artifact evaluation of the functionality and perceived benefits of ERP systems. The evaluation is based on the competing values model. The evaluation shows that ERP systems support effectiveness criteria (such as control and productivity) related to internal process and rational goal models. The evaluation also points out weaknesses in ERP systems and especially in areas related to human relations and open systems models. The result of the evaluation is used to discuss the impact of ERP systems on organizations and is presented as a series of hypotheses.

scholarly journals CONTROLLING IN ERA OF INDUSTRY 4.0: OPPORTUNITIES FOR BUSINESSES IN THE FIELD OF THE INTRODUCTION OF NEW TECHNOLOGIES

2021 ◽  
Vol 16 (2) ◽  
pp. 122-134
Author(s):  
Pavol Zahoran ◽  
Ondrej Zizlavsky
Keyword(s):  
Literature Review ◽  
Enterprise Resource Planning ◽  
Industry 4.0 ◽  
New Technologies ◽  
Resource Planning ◽  
Management Control ◽  
Systematic Research ◽  
Erp Systems ◽  
Great Opportunity ◽  
The Impact

Automation, robotics, Internet of Things and Big Data are currently a big challenge for businesses. However, they can also be a great opportunity. One of the corporate areas where new technologies can be used is controlling. In this research, the issue is narrowed down to the impact of new technologies on Enterprise Resource Planning (ERP) systems of companies, which are a basic tool of controlling in companies. The research analyses the possibilities of integrating elements of Industry 4.0 with ERP systems and the possibility of using data for corporate controlling. For this purpose, a literature review was carried out and gained results were further analysed according to the defined criteria. The outcome of the literature review is an essential current state analysis of the impact of new technologies on corporate ERP systems with regard to the company's controlling processes. This paper serves as a very first step in designing a systematic research study in area of controlling 4.0. Keywords: automation, controlling, Enterprise Resource Planning (ERP), Industry 4.0, management control, management accounting

scholarly journals The impact of perceived accounting benefits on the enterprise resource planning success: The mediating role of effective system use

2020 ◽  
Vol 10 (3) ◽  
Author(s):  
Phan Thi Bao Quyen ◽  
Nguyen Phong Nguyen
Keyword(s):  
Enterprise Resource Planning ◽  
Structural Equation ◽  
Resource Planning ◽  
Erp Systems ◽  
Mediating Role ◽  
System Use ◽  
Effective System ◽  
Enterprise Success ◽  
The Impact

In the past decades, enterprise resource planning (ERP) systems have becomeincreasingly automated, particularly for routine management accounting tasks. However, therehas been little research investigating the accounting benefits of adopting ERP systems. Thisstudy investigates the role of perceived accounting benefits in ERP success. Drawing on Juran’sprinciple of ‘fitness for use,’ this study establishes a framework that captures how perceivedaccounting benefits influence effective system use, which, in turn, enhances enterprise success.Using Partial Least Squares – Structural Equation Modelling (PLS-SEM) with survey datacollected from 120 enterprises in Vietnam that have implemented ERP, our findings providestrong support for the predicted positive effect of perceived accounting benefits on enterprisesuccess, and for the hypothesis that this relationship is fully mediated by effective system use.This study is novel for two reasons. First, it is one of the first attempts to provide empiricalevidence that effective system use and enterprise success are valuable outcomes of accountingbenefits perceived to be gained from the use of ERP systems. Second, it discovers anddemonstrates that effective system use is the most appropriate system-use concept in thepresent enterprise systems-related context, a topic that remains under discussion in theliterature.

scholarly journals The impact of enterprise systems in management decision making

2012 ◽  
Vol 1 (1) ◽  
pp. 68-72
Author(s):  
Muthuvelayutham C ◽  
Sugantha lakshm T
Keyword(s):  
Decision Making ◽  
Enterprise Resource Planning ◽  
Local Level ◽  
Resource Planning ◽  
Management Control ◽  
Point Of View ◽  
Management Decision ◽  
Erp Systems ◽  
Erp System ◽  
The Impact

An Enterprise Resource Planning (ERP) system is composed of a basic transactional system and a management control system. Sammon et al. (2003) describesthese 2 components of ERP systems as the solution to “operational” integration problems and “informational” requirements of managers. Thus, the extreme standardisation of business process inherent in ERP systems creates huge volumes of data without providing a clue for how to exploit it and may therefore not beneficial from a decision-making point of view. In this paper, decision-making theory and models are reviewed, focusing on how an ERP implementation might impact on these constructs. This paper is an analysis about centralisation of decision making in an organisation and its impact on performance at a local level.

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