Experiences of Cultures in Global ERP Implementation

2011 ◽  
pp. 1295-1317
Author(s):  
Esther Brainin

The chapter considers the complexities of cultural differences for global enterprise resource planning (ERP) implementation. An extensive review of the literature related to societal and organizational culture is followed by a delineation of the stages of ERP implementation and the actors involved in each stage, reflecting the basic assumption that global ERP systems are not universally acceptable or effective, and that testing the cross-cultural generalizability of ERP systems in organizations will produce a managerial agenda that facilitates the implementation process. The recognition and discussion of these differences can provide a stimulus for identifying and modifying the limitations of technological implementation and use policies to improve the benefits generated by the technology. Topics of explicit concern to ERP implementation in global organizational economies related to organizational and societal culture are discussed, and suggestions for managerial mechanisms for overcoming major obstacles in this process are proposed.

Author(s):  
Esther Brainin

The chapter considers the complexities of cultural differences for global enterprise resource planning (ERP) implementation. An extensive review of the literature related to societal and organizational culture is followed by a delineation of the stages of ERP implementation and the actors involved in each stage, reflecting the basic assumption that global ERP systems are not universally acceptable or effective, and that testing the cross-cultural generalizability of ERP systems in organizations will produce a managerial agenda that facilitates the implementation process. The recognition and discussion of these differences can provide a stimulus for identifying and modifying the limitations of technological implementation and use policies to improve the benefits generated by the technology. Topics of explicit concern to ERP implementation in global organizational economies related to organizational and societal culture are discussed, and suggestions for managerial mechanisms for overcoming major obstacles in this process are proposed.


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.


2011 ◽  
Vol 7 (1) ◽  
pp. 18-40 ◽  
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.


2019 ◽  
Author(s):  
◽  
Mohammadjavad Bagheri

Although Enterprise Resource Planning (ERP) systems are one of the most important developments in corporate information systems, their implementation process is usually problematic, and many challenges in different aspects come along during the implementation of these large integrated systems. Amongst them, the human-related issues potentially affect ERP implementation projects and decrease their success rate dramatically. Numerous studies have shown that user resistance is the most influential failure factor for such projects. Existing ERP implementation process models usually cover the technical aspects and steps of the implementation and do not face the humanrelated aspects of the process such as resistance to the new system and processes, and organisational conflicts and politics which arise during this huge organisational change. Also, the extant theories of resistance to IS implementation largely adopt a narrow approach to dealing with user resistance and, hence, the solutions provided by them are fragmented and cannot present a holistic approach to our problem (i.e. understanding and dealing with human resistance in the process of implementing ERP systems). This research proposes to use change management body of knowledge as an overarching perspective to deal with resistance in the process of ERP implementation which could provide a more holistic and coherent approach to understand and address such problem, and could enrich the implementation process models in terms of encountering human-related issues (i.e. user resistance). Accordingly, the Kotter’s change model was identified as an appropriate model for such projects, particularly due to the role of power and politics in the system implementation process. The study maps Kotter’s change ii model with ERP implementation process models, and introduces a userresistance-aware framework. To improve this framework, the theories of resistance to information systems implementation are reviewed, and sources of resistance and also the strategies suggested by each theory are categorised according to the process stages. The framework is evaluated and improved through conducting three case studies, during which it is also investigated that how people’s reactions (resistance instances) to the new system could be mapped chronologically against the implementation stages. The final framework mainly helps in understanding the complexity of the issues and improving the change readiness, and can be used as a practical guide for companies and IT project managers. It encourages the organisations to proactively deal with the situation and hence, help people cope with the new routines and environment more conveniently and smoothly, which ultimately improve the success rate of adopting such systems.


2011 ◽  
pp. 1039-1059
Author(s):  
Piotr Soja

Enterprise resource planning (ERP) systems have been implemented in various and diverse organizations. The size of companies, their industry, the environment, and the number of implemented modules are examples of their heterogeneity. In consequence, a single procedure which leads to the success of implementation does not appear to exist. Therefore, there have been many implementations that have failed during, and also after, the implementation process. As a result, a considerable amount of research has been trying to identify issues influencing ultimate project success and also to recognize the best implementation projects. The aim of this work is to identify the most important characteristics of ERP implementation which affect project success. This study builds on data gathered using a questionnaire directed toward people playing leading roles in ERP implementations in a few dozen companies. Twelve attributes were identified and divided into three sets representing: effort, effect, and the synthetic measure of success calculated on the basis of the obtained data. Two agglomeration methods were employed to identify exemplar and anti-exemplar groups and objects. These elements were thoroughly analyzed, which led to identifying the most and the least desired attributes of an ERP implementation project. The findings are discussed and related with the results of prior research. Finally, implications for practitioners and concluding remarks summarise the chapter.


Author(s):  
Piotr Soja

Enterprise resource planning (ERP) systems have been implemented in various and diverse organizations. The size of companies, their industry, the environment, and the number of implemented modules are examples of their heterogeneity. In consequence, a single procedure which leads to the success of implementation does not appear to exist. Therefore, there have been many implementations that have failed during, and also after, the implementation process. As a result, a considerable amount of research has been trying to identify issues influencing ultimate project success and also to recognize the best implementation projects. The aim of this work is to identify the most important characteristics of ERP implementation which affect project success. This study builds on data gathered using a questionnaire directed toward people playing leading roles in ERP implementations in a few dozen companies. Twelve attributes were identified and divided into three sets representing: effort, effect, and the synthetic measure of success calculated on the basis of the obtained data. Two agglomeration methods were employed to identify exemplar and anti-exemplar groups and objects. These elements were thoroughly analyzed, which led to identifying the most and the least desired attributes of an ERP implementation project. The findings are discussed and related with the results of prior research. Finally, implications for practitioners and concluding remarks summarise the chapter.


2002 ◽  
Vol 16 (s-1) ◽  
pp. 99-113 ◽  
Author(s):  
Sally Wright ◽  
Arnold M. Wright

Enterprise Resource Planning (ERP) systems inherently present unique risks due to tightly linked interdependencies of business processes, relational databases, and process reengineering. Knowledge of such risks is important in planning and conducting assurance engagements of the reliability of these complex computer systems. Yet, there is little empirical evidence on this issue. To examine this topic, a semi-structured interview study was conducted with 30 experienced information systems auditors (from 3 of the Big 5 firms) who specialize in assessing risks for ERP systems. This approach allowed us to obtain detailed information about participants' views and client experiences. The results indicate that the implementation process of ERP systems has an important impact on system reliability. Further, interviewees identified a number of common implementation problems (e.g., improperly trained personnel and inadequate process reengineering efforts) that result in heightened risks. Interviewees also reported that ongoing risks differ across applications and across vendor packages. Finally, in providing assurance on ERP systems participants overwhelmingly indicate a focus on testing the process rather than system output.


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):  
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.


2021 ◽  
Author(s):  
◽  
Quang Nguyen

<p>Although Enterprise Resource Planning (ERP) systems alone are not the source of competitive advantage, they may do this indirectly through enhancing or supplementing the organization’s other strategic resources. Studies on ERP have not explicitly examined the interactions of ERP systems with other organizational capabilities to determine how investment in ERP systems can be leveraged into the creation of strategic resources of organizations.  Further, ERP systems are large and complex, and the degree to which they are implemented throughout an organization can vary – this is described as the ERP scope. The scope of ERP implementation is believed to influence the degree of its effects on an organization. Relying on the literature on ERP effects, business value of information technology (IT) and the notion that organizations are learning systems which utilize their knowledge to create value and to accumulate further knowledge, this study examines the influence of the scope of ERP implementation on a strategic resource of organizations, namely intellectual capital, under the moderating effect of organizational learning capability.  This study develops a research model to show the influence of the three dimensions of ERP implementation scope (breadth, depth, and magnitude) on intellectual capital and simultaneously the influence of organizational learning capability on these base relationships. The hypothesized relationships among variables are evaluated by a data set of 226 responses collected from manufacturing firms in Vietnam. With the support of SmartPLS version 2.0, the structural equation model is evaluated using the techniques of multiple regression analysis, and the moderation effects are analyzed using group comparison and product term approaches.  The findings provide support for the hypotheses. The three dimensions of ERP implementation show a positive impact on intellectual capital. Organizational learning capability more or less moderates the relationship between ERP implementation scope and intellectual capital. As a result of the group comparison approach for moderation analysis, firms with a low level of learning capability are likely to have no effect of ERP implementation on intellectual capital. However, in the group with a high level of learning capability the breadth and magnitude of ERP implementation have a positive effect on intellectual capital. By using the product term approach, only the magnitude of ERP implementation shows an interaction effect with organizational learning capability on intellectual capital. The breadth and depth of ERP implementation appear to have minimal interaction with organizational learning capability.  The results inform the literature on the business value of IT by demonstrating that an ERP system can become a strategic asset as its implementation has a positive effect on intellectual capital especially with the presence of a firm’s learning capability. Additionally, the research reveals another ERP effect (e.g. the effect on the intellectual capital of organizations) that complements the understanding of ERP effects that have been identified in prior studies. The findings practically contribute to managerial knowledge by showing that ERP implementation should not be considered in isolation, but rather organizations should build a substantial level of learning capability to fully obtain the positive effect of ERP implementation on intellectual capital.</p>


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