Significance of Analytical Hierarchy Process (AHP) and Nominal Group Technique (NGT) in ERP Implementation

Author(s):  
S. Parthasarathy

Enterprise Resource Planning (ERP) system is an integrated software system reflecting the business processes of an enterprise. Enterprise Resource Planning (ERP) system is a generic term for integrated systems for corporate computing that supersedes concepts such as Materials Requirements Planning (MRP) of the 1970s and, later, Manufacturing Resource Planning (MRP II) of the 1980s. The objective of customization in ERP implementation is to achieve a fit between the ERP system and the business process that the system supports. Literature review reveals that the customization is the major annoyance in most of the ERP projects. A solution is proposed using a process framework that incorporates participatory learning and decision-making processes based on Nominal Group Technique (NGT) and the evaluation methodology adopting the Analytical Hierarchy Process (AHP). A case study is presented to illustrate its applicability in practice. The upshot of the study is the identification of various customization possibilities for ERP implementation. This study is meant to help managers think about the various feasible customization options available to them. Future research work that can be done in ERP software customization is also indicated.

2017 ◽  
Vol 1 (02) ◽  
pp. 46
Author(s):  
Hilmi Azmi Fatimah ◽  
Rina Trisminingsih

Successful of ERP system adoption in the company is one of the keys for the continuity of the company's business. Since a lot of financials, time and human resources are invested on ERP adoption, there must be an evaluation of ERP system to assess whether the ERP system adoption is successful or not. Some models have been developed by some researchers to assess the evaluation of ERP success. Each model has important factors used to assess the success of ERP. This study analyzes several factors that measure ERP success derived from several ERP success models to identify the important degree of each factor. The method used in this research is Analytical Hierarchy Process (AHP) with the assessment data obtained from 3 experts who have the competence and experience regarding ERP system. The results of this study found that the benefit of use, organizational impact, and user satisfaction are the 3 main subfactors with the highest important degree values.


2018 ◽  
Vol 2 (01) ◽  
pp. 45-49
Author(s):  
Hilmi Azmi Fatimah ◽  
Rina Trisminingsih

Successful Enterprise Resorce Planning ERP system adoption in the company is one of the keys for the continuity of the company's business. On ERP adoption, there a lot of financials, time and human resources are invested on ERP adoption, so there must be an evaluation of ERP system to assess whether the ERP system adoption is successful or not. Some models have been developed by some researchers to assess the evaluation of ERP success. Each model has important factors used to assess the success of ERP. This study analyzes several factors that measure ERP success derived from several ERP success models to identify the important degree of each factor. The method used in this research is Analytical Hierarchy Process (AHP) with the assessment data obtained from 3 experts who have the competence and experience regarding ERP system. The results of this study found that the benefit of use, organizational impact, and user satisfaction are the 3 main subfactors with the highest important degree values.   Keywords—Analytical Hierarchy Process, ERP success factors, ERP success model


Author(s):  
Roni Kurniawan

Enterprise Resource Planning (ERP) can be described as a concept for planning and managing organization resources to create value added for stakeholders. PT Ciliandra Perkasa as an agribusiness company realized the importance of ERP system to support their operational activities. Indeed, there are many problems on the ERP implementation. Therefore, it is needed to build a proper ERP system process to be implemented. This issue will be the research problem. Implementing a qualitative method, this research uses primary data and secondary data as samples. Tests and analysis use Analytical Hierarchical Process (AHP) which its results are expected to guide the management of PT Ciliandra Perkasa in selecting proper software of ERP application. 


2013 ◽  
Vol 8 (1) ◽  
pp. 8
Author(s):  
Muhammad Hafizhuddin Hilman ◽  
Farisya Setiadi ◽  
Ika Sarika ◽  
Jarot Budiasto ◽  
Rakhmat Alfian

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.


Author(s):  
Jessy Nair ◽  
D. Bhanusree Reddy ◽  
Anand A. Samuel

Organizations require to enhance their firm level resources to compete in turbulent business environment. Strategic application systems, such as an Enterprise Resource Planning (ERP) System is one such resource technology that centralizes the database of the organization to enable a seamless view of the organization. However, implementation of ERP systems in organizations has not been a success story for many. ERP systems implementation brings about large scale organizational change and hence it becomes essential for stakeholders to have a reference framework for planning for various dimensions of the organization. Hence this chapter applies a General Morphological Analysis(GMA) to identify the most suitable theory to analyse ERP implementation. Socio technical theory with Leavitt's diamond model was analysed as most appropriate since they are based on the of premises organizational change at firm level. Socio technical organizational change model will enable stakeholders to analyse resources required for core dimensions of the organization for ERP implementation.


Author(s):  
Magdy Abdel-Kader ◽  
Thu Phuong Nguyen

Enterprise Resource Planning (ERP) systems have been recognized as complex and costly, which limited their implementation in large organizations. However, an increasing number of small organizations have recently gained interest in this system. This paper investigates the implementation process of ERP in a small firm. The investigation focused on two perspectives of ERP implementation: successes achieved and problems encountered. Despite many problems encountered in the firm, the ERP system still exists. This gives evidence that small organizations are more flexible and motivated to adapt to change and implement an ERP system. Most problems were encountered at early stages of implementation, which can be minimized if deliberate decision making of ERP implementation and proper selection processes were in place. Further, ERP is a good solution for small organizations if they are able to build a relevant in-house system.


Author(s):  
Xi Chen ◽  
Rapeepat Techakittiroj

Enterprise Resource Planning (ERP) system in companies can be implemented to Multi National Corporation (MNC), Larger Enterprise, and Small & Medium-sized Enterprises (SMEs). In China, 99% of all companies can be categorized as SMEs. With a decade of high-speed economy development after entering the 21st century, traditional Chinese SMEs want to find a new management model to improve work efficiency and increase business opportunities. This study finds the factors affecting the diffusion and successful implementation of ERP in Chinese Nanjing manufacturing SMEs. It will lead to the conclusion that ERP investment and implementation, which could be used as project guideline by the management of SMEs or companies that adopt ERP in intend to implement them. The objective is to provide Nanjing’s SMEs implementing ERP with knowledge about ERP implementation factors.


Author(s):  
Kimberly Furumo

This chapter provides a case study of a failed enterprise resource planning (ERP) implementation at a public university. Public universities, like other governmental agencies, may have more dif?culty implementing information technology (IT) because of limited resources, increased organizational bureaucracy, and extensive statutory reporting requirements. This chapter begins by identifying what an ERP system is, the dif?culties of implementing ERP systems, and the added dif?culties related to implementing technology in governmental organizations. In this case study analysis, upper managers, IT staff, and functional department end users were asked to identify why the project failed. Several lessons were learned including the importance of allocating adequate ?nancial resources to IT projects and managing the change process. As organizations move from the centralized legacy system environment which was prevalent in the last half of the 20th century, to the new distributed ERP environment, roles and responsibilities are changing. Readers are provided with practical suggestions that will help improve IT implementation success in governmental agencies.


2014 ◽  
Vol 5 (2) ◽  
pp. 54-59 ◽  
Author(s):  
Justyna Patalas-Maliszewska ◽  
Irene Krebs

Abstract While having been the object of numerous studies, the link between ERP implementation and SMEs performance still requires understanding. This paper documents the effect of investments in Enterprise Resource Planning (ERP) systems on a firm’s sales performance and profitability measure such as return on sales (ROS). The models are based on a sample of 240 during time of defined activities in the sales process realized during the each month by 40 knowledge workers in each of 5 Polish SMEs announcements of ERP implementations. Our analysis of the financial benefits of these implementations yields mixed results. Our results are encouraging that we find the business activity that can persistent evidence of sales performance associated with ERP investments. This should help alleviate the companies that some have expressed about the viability of ERP given the highly publicized implementation problems at some firms.


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