A McKinsey 7S Model-Based Framework for ERP Readiness Assessment

2013 ◽  
pp. 141-183
Author(s):  
Payam Hanafizadeh ◽  
Ahad Zare Ravasan
Keyword(s):  
Factor Analysis ◽  
Enterprise Resource Planning ◽  
Resource Planning ◽  
Erp Implementation ◽  
Readiness Assessment ◽  
Initial Stage ◽  
Confirmatory Factor ◽  
Superordinate Goals ◽  
Expensive Process ◽  
New Framework

Implementing Enterprise Resource Planning (ERP) systems is a complex, lengthy and expensive process which usually faces serious challenges and failures. Thus, it is necessary to perform a readiness assessment at the initial stage of an ERP implementation project to identify weakness areas which may encounter the project with failure. This paper proposes a new framework for assessing readiness of an organization to implement the ERP project on the basis of McKinsey 7S model using confirmatory factor analysis. Through this method, the construct of ERP readiness is proposed based on 7 dimensions namely “structure”, “strategy”, “systems”, “skills”, “style/culture”, “staff”, and “shared values/ superordinate goals”. Using the framework, the current situation of the organization can be determined and necessary changes can be made prior to system implementation. The proposed framework is then applied to 2 real Iranian banking cases and the advantages of the framework over available frameworks are illustrated.

A McKinsey 7S Model-Based Framework for ERP Readiness Assessment

2011 ◽  
Vol 7 (4) ◽  
pp. 23-63 ◽  
Author(s):  
Payam Hanafizadeh ◽  
Ahad Zare Ravasan
Keyword(s):  
Enterprise Resource Planning ◽  
Resource Planning ◽  
Erp Systems ◽  
Erp Implementation ◽  
Readiness Assessment ◽  
Initial Stage ◽  
Confirmatory Factor ◽  
Superordinate Goals ◽  
Expensive Process ◽  
New Framework

Implementing Enterprise Resource Planning (ERP) systems is a complex, lengthy and expensive process which usually faces serious challenges and failures. Thus, it is necessary to perform a readiness assessment at the initial stage of an ERP implementation project to identify weakness areas which may encounter the project with failure. This paper proposes a new framework for assessing readiness of an organization to implement the ERP project on the basis of McKinsey 7S model using confirmatory factor analysis. Through this method, the construct of ERP readiness is proposed based on 7 dimensions namely “structure”, “strategy”, “systems”, “skills”, “style/culture”, “staff”, and “shared values/ superordinate goals”. Using the framework, the current situation of the organization can be determined and necessary changes can be made prior to system implementation. The proposed framework is then applied to 2 real Iranian banking cases and the advantages of the framework over available frameworks are illustrated.

Aligning Supply Chain Logistics Costs via ERP Coordination

2018 ◽  
Vol 9 (2) ◽  
pp. 24-43 ◽  
Author(s):  
Joseph R. Muscatello ◽  
Diane H. Parente ◽  
Matthew Swinarski
Keyword(s):  
Supply Chain ◽  
Enterprise Resource Planning ◽  
Specific Area ◽  
Resource Planning ◽  
Substantial Part ◽  
Erp Implementation ◽  
Supply Chain Logistics ◽  
Confirmatory Factor ◽  
The Relationship ◽  
Insight Into

Enterprise resource planning (ERP) systems address the problem of disparate information in an organization and coordinates mechanisms to eliminate supply chain sub-optimization. Logistics costs are a substantial part of an operation and this research provides insights into the relationship between ERP implementations and logistics costs. The research uses a two-step approach, conducting a confirmatory factor analysis (CFA) to assess the psychometric properties of our measures and then conducting an independent sample t-test between two groups, one which experienced decreased logistic costs and the second which experienced the same or increasing logistic costs. By examining the effects of ERP implementations on a specific area of the firm, logistics costs, this research has provided insight into the areas of ERP implementation and firm impact.

A Survey Study of Influential Factors in the Implementation of Enterprise Resource Planning Systems

2013 ◽  
Vol 9 (1) ◽  
pp. 76-96 ◽  
Author(s):  
Mandana Farzaneh ◽  
Iman Raeesi Vanani ◽  
Babak Sohrabi
Keyword(s):  
Factor Analysis ◽  
Enterprise Resource Planning ◽  
Success Factors ◽  
Value Added ◽  
Resource Planning ◽  
Influential Factors ◽  
Survey Study ◽  
Planning Systems ◽  
Erp Implementation ◽  
Enterprise Resource Planning Systems

Enterprise Resource Planning systems (ERP) play a significant role in the management of businesses processes. Determining the influential factors that are positioned behind a successful ERP implementation is critical to gain the most value-added from competitive potentials of such systems. The driver of current research is to gain a deeper understanding of the various subjective criteria to measure ERP implementation success with the aim of enhancing the chance success through investigating ERP implementation performance indicators. By exploring the international literature, a comprehensive list of potential success factors of ERP systems is identified which are complementary and critical to the ERP projects. Subsequently, reliability analysis and factor analysis were conducted to categorize the preliminary list into a final set of critical success factors for each of the primary factors. Therefore conducting an Exploratory Factor Analysis, three final factors were proposed as the main factors for evaluating the success of ERP implementation which are social, intellectual, and technical factors. The rest of indicators have been grouped under these categories. The result of current research is a firm basis for the interested scholars and practitioners to formulate their empirical attempts upon and proceed with every aspect of the ERP project according to the guidelines provided.

scholarly journals A Readiness Assessment Model for ERP Implementation

2020 ◽  
Vol 8 (5) ◽  
pp. 3142-3146
Keyword(s):  
Enterprise Resource Planning ◽  
Group Discussion ◽  
Resource Planning ◽  
Assessment Model ◽  
Erp Implementation ◽  
Readiness Assessment ◽  
Erp System ◽  
Business Agility ◽  
The Cost ◽  
Agile Model

Today, Enterprise Resource Planning (ERP) system has become a necessity for an organization to improve its performance. Even so, ERP has yet to be optimally implemented. This causes the cost of ERP implementation to be high. The most of ERP implementation methods are still using traditional methods. It is necessary to consider other implementation methods which can reduce failure. An agile method is one of the alternative solutions applying the readiness assessment in implementing an ERP. The readiness assessment in implementing ERP is important to reduce the failure rate in ERP implementation. The purpose of this research is completed and focus the readiness factors perspective in carrying out the change process by agile models. This research’s idea is to analyze with different perspective about the readiness assessment to make changes with an agile model for ERP implementation to enhance business agility. The methodology research is used qualitative research Focus Group Discussion with data analysis of the NVivo software. The result of this research is to propose a readiness assessment model for ERP implementation.

scholarly journals COMPARATIVE STUDY OF ERP IMPLEMENTATION METHODOLOGY CASE STUDY: ACCELERATED SAP VS DANTES & HASIBUAN METHODOLOGY

2013 ◽  
Vol 8 (1) ◽  
pp. 8
Author(s):  
Muhammad Hafizhuddin Hilman ◽  
Farisya Setiadi ◽  
Ika Sarika ◽  
Jarot Budiasto ◽  
Rakhmat Alfian
Keyword(s):  
Enterprise Resource Planning ◽  
System Development ◽  
Resource Planning ◽  
Application Development ◽  
Erp Implementation ◽  
Erp System ◽  
Whole Process ◽  
Implementation Methodology ◽  
Development Paradigm

Enterprise Resource Planning (ERP) system is a concept of enterprise system that describe the integration of the whole process in the organization. Study in this field mostly about external development paradigm on information system development. So, issue in ERP is all about how to adopt it in the organization, not about the application development. This paper reviews two methodology on ERP system implementation, one is vendor perspective methodology and new generic perspective methodology. Comparation of both methodology is done in this study by using Roger Sessions’ metric. Result is the vendor perspective slightly superior than the new generic perspective methodology.

scholarly journals Evaluating the effectiveness of integrated Accounting Information Systems (AIS) in ERP environment of Vietnamese garment companies

2020 ◽  
Vol 9 (1) ◽  
Author(s):  
Vu Quoc Thong
Keyword(s):  
Factor Analysis ◽  
Information Systems ◽  
Exploratory Factor Analysis ◽  
Enterprise Resource Planning ◽  
Balanced Scorecard ◽  
Accounting Information ◽  
Resource Planning ◽  
Future Research ◽  
Accounting Information Systems ◽  
The Way

Identifying factors defining the effectiveness of integrated AIS in the Enterprise Resource Planning (ERP) environment is really a challenging task. In our research, the effectiveness of integrated AIS in ERP is presented in the form of a Balanced Scorecard (BSC) model. This study analyzes data collected from 178 Vietnamese garment companies with AIS in an ERP environment. Then, Cronbach’s Alpha test and exploratory factor analysis (EFA) are conducted to assess the reliability of variables. The result identifies 28 variables from Vietnamese garment companies’ managers view grouped into 4-dimensional constructs of the BSC model that define the effectiveness of integrated AIS in an ERP environment. The conclusion on garment companies’ AIS evaluation factors paves the way for future research on other Vietnamese industries’ AIS evaluation in an ERP environment.

scholarly journals QoS Priorities in ERP Implementation – A Study of Manufacturing Industry of Nepal

2019 ◽  
Vol 12 (4) ◽  
pp. 168-184
Author(s):  
Susan Giri ◽  
Ram Naresh Thakur ◽  
Jyotir Moy Chatterjee
Keyword(s):  
Data Analysis ◽  
Enterprise Resource Planning ◽  
Manufacturing Industry ◽  
Research Question ◽  
Resource Planning ◽  
Global Market ◽  
Ease Of Use ◽  
Erp Implementation ◽  
Chi Square ◽  
Essential Components

ERP, or Enterprise Resource Planning systems help business management, which consists of a well-designed interface that incorporates different programs to integrate and manage all company functions at intervals of a company, these sets incorporate applications for human resources, monetary and accounting, sales and distribution, project management, materials management, SCM, or Supply Chain Management and quality management. Currently, organizations are running to improve their ability to survive in the global market competitions of the 21st century. While the organizations try to advance in their level of agility, changing and modifying the process of decision-making to make it more efficient and effective to satisfy the successive variations of the market. Different views are gathered regarding ERP implementation of ERP in manufacturing. Even we have taken certain essential components of ERP for a better understanding of ERP. Ease of use, usefulness, quality, and trust on ERP services have been taken an independent variable that affects user’s decision to adopt ERP. The role of ERP technology in manufacturing facilities are broken into more categories for detail concept. Quantitative data analysis methods were usually used for questionnaire data analysis which was utilized to analyze statistical data and after that collection of interview data was done. A researcher has applied different statistical tools like Chi-Square Tests, Anova, etc. to analyze the collected data. A researcher essential portion is to analyze and interpret data that relates to modifying data which explains the solution to the research question with some additional future recommendation for more quality research.

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