Critical Success Factors of ERP Implementation

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).

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):  
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):  
Kalinga Jagoda ◽  
Premaratne Samaranayake

Purpose The purpose of this paper is to propose an alternative integrated approach based on the stage-gate method to implement enterprise resource planning (ERP) systems which will enhance the effectiveness of ERP projects. Design/methodology/approach A literature review was conducted on ERP system implementation and its effectiveness. The need for improving implementation approaches and methodologies was examined. Based on the insights gained, a conceptual framework for ERP system implementation is presented by combining the state-gate approach with the pre-implementation roadmap. Findings The proposed framework aims to enhance the overall ERP implementation outcomes, ensuring critical success factors and eliminating common causes of failures. A pre-implementation roadmap is identified as a key element for eliminating many causes of failure including lack of organisations’ readiness for ERP. The post-implementation stage can be used for further improvements to the system through internal research and development. Research limitations/implications The development of the framework is an attempt to contribute to improving ERP implementation. This research is expected to motivate researchers to work in this area, and it will be beneficial to practicing managers in the identification of opportunities for improvements in ERP systems. Case studies will be valuable to refine and validate the proposed model. Originality/value This paper explores research in a needy area and offers a framework to help researchers and practitioners in improving ERP implementation. This framework is expected to reduce the implementation project duration, strengthen critical success factors and minimise common problems of ERP implementation projects.


2019 ◽  
Vol 11 (23) ◽  
pp. 6785 ◽  
Author(s):  
Huang ◽  
Chiu ◽  
Chao ◽  
Arniati

More and more companies are significantly introducing enterprise resource planning (ERP) systems to secure enterprise resources for effective distribution and provide accurate data for sustainable development in enterprise. Recently, Type B laboratory has promoted the utilization of the corporation’s own sustainable developments of the business model philosophy to affect the society and to solve social and environmental issues. The form of organizations arising from this certification process is referred to as the B Corporation, and this represents the implementation and commitment to sustainable development. Thus, decision-makers of B Corporation who can utilize ERP system tools well can coordinate sustainable activities better. There is not enough literature at this stage to provide the key success factors of implementing the ERP system for the B Corporation in Taiwan. This study extensively reviews the literature and conducts a modified Delphi expert questionnaire survey to elucidate the critical success factors of B Corporations’ implementation of ERP systems. The research results can assist the sustainable value of B Corporation and contribute to the current literature of improving critical success factors. The limitation of this study is that it only represents the perspective of B Corporation in Taiwan. Second, this study is unable to encompass all key success factors (CSFs) pertaining to ERP systems.


For small and medium-sized companies the fit between their business processes and their Enterprise Resource Planning (ERP) system is a critical success factor. The functions and features for essential tasks must be geared to the demands and skills of the individual users. This paper reports on the usefulness of several methods for eliciting user input which served as a basis for requirements for a personalized ERP system. It describes the yield of heuristic evaluations, both by experts and by developers, and a focus group with six users representing the main user types. The focus group consisted of an identification of the most important functions, task demonstrations, and a mini design workshop. As a demonstration of the results of the various user-focused methods, some noteworthy findings on the personalization of ERP systems are presented.


Author(s):  
Loye Ray

Universities have deployed enterprise resource planning (ERP) systems to ease complexity and provide on-demand information. These systems also provide the opportunity to reengineer business processes to improve efficiency. However, these installations may not be as efficient or effective as expected. The use of ERP success factors provides a measure of these deployments that can overcome ineffectiveness in deploying an ERP system. This article looks at how well success factors impacted the deployment of an ERP system at a Maryland University.


Enterprise Resource Planning (ERP) systems are pervasive information systems that have been fundamental in organisations for the past two decades. ERP systems may well count as the most important development in technology in the 1990s. There are many ERP success stories; equally there are as many failure stories. However, organisations encounter obstacles when implementing ERP systems. This chapter intends to explore some of the problems that occur throughout the implementation of an ERP system.Through the exploration of the literature a framework is constructed considering human, organisational and technical considerations adjoined with critical success factors when implementing ERP. Drawing on empirical evidences from a UK SME, this study then discusses and analyses each problem identified in the framework and its affect on the implementation of their ERP system. The findings of this chapter suggests the fundamental challenge of ERP implementation is not technology but organisational and human problems, which, if not fully understood and addressed, can lead to ERP failure. Finally, this chapter considers the critical success factors that resulted in the failure of the ERP at the case company in the chartering phase of the implementation.It is hoped this chapter will assist in understanding that human, organisational and technical considerations adjoined with critical success factors will encourage practitioners to address these problems and increase their chance of success during ERP implementation.


2016 ◽  
Vol 18 (4) ◽  
pp. 287-310 ◽  
Author(s):  
Damir Janßen-Tapken ◽  
Andreas Pfnür

Purpose The purpose of this study is to find answers to the question whether a fully-integrated real estate (RE) solution within an Enterprise Resource Planning (ERP) landscape delivers a visible and measurable contribution to organizational efficiency in corporate real estate management (CREM), a field still dominated by specialized, but stand-alone software packages. Design/methodology/approach The authors set up a model of CREM with the enterprise resource planning (ERP) systems being the hinge between the RE strategies and organizational efficiency. The model was tested by a written questionnaire to respond on the benefit expectations on ERP benefits. Findings In many cases, the results show a negative gap between expectations and realized benefits. The authors identified benefit stars and dogs within the sample. Stars realizing high benefit ratios on average have more often chosen the form of a shared service center for their CREM department, have reengineered the business processes more intensively, had more often a legacy system as a predecessor of the SAP ERP, trained employees more intensively and showed a higher degree of customization of the RE module than the benefit dogs of the sample. Practical implications Newly formed CREM departments looking for optimal IT solutions find decision support regarding the best fit for their IT landscape. Already institutionalized CREM units running an ERP system will find concrete evidence for improvement. Originality/value This is the first study of benefits and critical success factors of ERP implementation and operation for modern CREM. It is the attempt to bridge the gap between business and IT, showing the enabler role of ERP systems for efficient business processes, satisfied corporate users and motivated employees.


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.


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