scholarly journals Critical Success Factors of Enterprise Resource Planning (ERP) Systems Implementation in Sri Lankan Fast Moving Consumer Goods (FMCG) Industry

2018 ◽  
Vol 2 (1) ◽  
pp. 69-72
Author(s):  
Shanika Wijenayake ◽  
H M R P Herath

Enterprise Resources Planning Systems (ERP) are implemented in organizations to optimize the supply chain to improve the overall performance. Yet, it is observed that many organizations have not achieved the desired level of performance through this strategic move. Literature suggest that the implementation barriers can be a main reason for this.  Hence the problem centered in this study is to identify the success factors and challenges of ERP systems implementation in the FMCG industry in Sri Lanka. This study uses the case study approach for four companies in the FMCG industry. Focus group interviews were used to gather data and the participants of the focus group interviews were key users who had an important role during the implementation. Semi-structured interviews were conducted by an experienced interviewer using an interview guide with semi-structured questions. Success factors included the technological know-how, high management commitment, lesser government regulations, and experience of the process re-engineering. Challenges included investment in resources, information management, changing the organization culture to the best practices of the system, lack of the user training and limitation of the proper consultancy services. Findings of the study can be used as a framework to understand the ERP implementation success factors and the potential challenges faced by organizations in the FMCG industry.  

Enterprise Resources Planning Systems (ERP) are implemented in organizations to optimize the supply chain to improve the overall performance. Yet, it is observed that many organizations have not achieved the desired level of performance through this strategic move. Literature suggest that the implementation barriers can be a main reason for this. Hence the problem centered in this study is to identify the success factors and challenges of ERP systems implementation in the FMCG industry in Sri Lanka. This study uses the case study approach for four companies in the FMCG industry. Focus group interviews were used to gather data and the participants of the focus group interviews were key users who had an important role during the implementation. Semi-structured interviews were conducted by an experienced interviewer using an interview guide with semi-structured questions. Success factors included the technological know-how, high management commitment, lesser government regulations, and experience of the process re-engineering. Challenges included investment in resources, information management, changing the organization culture to the best practices of the system, lack of the user training and limitation of the proper consultancy services. Findings of the study can be used as a framework to understand the ERP implementation success factors and the potential challenges faced by organizations in the FMCG industry.


2011 ◽  
pp. 758-765
Author(s):  
Leopoldo E. Colmenares ◽  
Jim O. Otieno

An enterprise resource planning (ERP) system is an integrated set of programs that provides support for core organizational activities, such as manufacturing and logistics, finance and accounting, sales and marketing, and human resources. An ERP system helps the different parts of an organization share data and knowledge, reduce costs, and improve management of business processes. In spite of their benefits, many ERP systems fail (Stratman & Roth, 1999). Implementing an ERP system is a major undertaking. About 90% of ERP implementations are late or over budget (Martin, 1998), and the success rate of ERP systems implementation is only about 33% (Zhang et al., 2003).


Author(s):  
Leopoldo E. Colmenares ◽  
Jim O. Otieno

An enterprise resource planning (ERP) system is an integrated set of programs that provides support for core organizational activities, such as manufacturing and logistics, finance and accounting, sales and marketing, and human resources. An ERP system helps the different parts of an organization share data and knowledge, reduce costs, and improve management of business processes. In spite of their benefits, many ERP systems fail (Stratman & Roth, 1999). Implementing an ERP system is a major undertaking. About 90% of ERP implementations are late or over budget (Martin, 1998), and the success rate of ERP systems implementation is only about 33% (Zhang et al., 2003).


Author(s):  
Flávia Campos Fernandes Leandro ◽  
Mirian Picinini Méxas ◽  
Geisa Meirelles Drumond

The implementation of Enterprise Resource Planning (ERP) systems in Brazilian public educational institutions is considered critical and a time consuming process. Then this study aims to identify the Critical Success Factors (CSF) for the implementation of ERP systems in these organizations. A literature review, where 30 CSF used in scientific articles were identified, has been prepared. Based on found CSF, 20 were selected to compose a questionnaire constructed with the Likert scale and applied to 70 ERP systems specialists in educational institutions, in order to get the perception of the most CFS relevant during the pre-implementation, implementation and post-implementation phases. As a result of this field survey, a ranking of the degree classification "very important" for 20 CFS was drafted by percentage in the ERP lifecycle. This work intends to contribute with a comprehension in terms of what CFS needs to be observed during each phase of the ERP systems implementation in educational institutions.


Author(s):  
Muhammad Shaikh ◽  
Libi Shen

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.


Author(s):  
Payam Hanafizadeh ◽  
Roya Gholami ◽  
Shabnam Dadbin ◽  
Nicholas Standage

The Implementation of Enterprise Resource Planning (ERP) systems require huge investments while ineffective implementations of such projects are commonly observed. A considerable number of these projects have been reported to fail or take longer than it was initially planned, while previous studies show that the aim of rapid implementation of such projects has not been successful and the failure of the fundamental goals in these projects have imposed huge amounts of costs on investors. Some of the major consequences are the reduction in demand for such products and the introduction of further skepticism to the managers and investors of ERP systems. In this regard, it is important to understand the factors determining success or failure of ERP implementation. The aim of this paper is to study the critical success factors (CSFs) in implementing ERP systems and to develop a conceptual model which can serve as a basis for ERP project managers. These critical success factors that are called “core critical success factors” are extracted from 62 published papers using the content analysis and the entropy method. The proposed conceptual model has been verified in the context of five multinational companies.


2010 ◽  
pp. 1916-1945
Author(s):  
Carmen de Pablos Heredero ◽  
Mónica de Pablos Heredero

The implementation of an Enterprise Resource Planning System (ERP) is a risky and high cost action, even more when we are dealing with small and medium sized enterprises. Although many studies have shown the importance of paying attention to critical success factors in ERP implementations, there is still a high degree of failures and bad experiences around ERP implementations. Most literature has shown experiences of success and failure coming from large sized firms. But there is a lack of information of what has happened in the area of small and medium size firms, and for some economies, they are essential. In this chapter, we try to show a model containing the main elements that can better explain the degree of success and of failure in ERP implementations by providing examples mainly affecting to the circumstances of small and medium size firms. In our model, we propose 5 main groups of variables affecting final results in ERP implementations.


Author(s):  
Mark I. Hwang

Systems integration has been an important topic ever since businesses started using mainframes to run their back-office operations. These systems specialized in common tasks found in functional areas such as accounts receivable and accounts payable, inventory, purchasing, and ordering. However, getting information from these fragmented systems to get a whole picture view of the business was extremely difficult if not impossible. By integrating back-office operations into a single system, enterprise resource planning (ERP) was supposed to solve that problem. In reality, however, very few companies fully implement all the modules of an ERP package and most continue to rely on legacy systems and other specialized software for their processing needs Integration of ERP with various enterprise applications remains a challenge. Moreover, it is not uncommon to have ERP software from different vendors or multiple copies of ERP software from the same vendor running in the same company. Integrating multiple instances of ERP software will be the predominant ERP project in most large corporations in the next half decade. Finally, many companies pursue merger and acquisition as a major growth strategy. A critical task in merging two companies nowadays involves integrating their ERP systems. This paper addresses these integration issues involving ERP systems. Common tools for integration and success factors for integration projects are discussed.


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