Technological Change Perspective for ERP Implementation in Small and Medium Enterprises

2020 ◽  
pp. 1506-1516
Author(s):  
Jessy Nair ◽  
Aarthy Chellasamy

Small and medium-sized enterprises (SMEs) trail large organizations in leveraging IT systems. SMEs are beginning to understand the significance of implementing IT systems like ERP for improving their preparedness in business processes. Hence the objective of this research article is to develop a framework to analyse SME's organizational preparedness for implementing the technology. This research applies a General Morphological Analysis (GMA) framework to explore suitable models and variables for IT change preparedness to realize the benefits of ERP implementation in SMEs. An SMEs drawback in implementing IT tools is specifically due to a lack of knowledge and an acute shortage of resources like investment and manpower. The review of literature in this article using general morphological analysis is novel for ERP implementation in the SME sector. Based on the review of articles, a morphology with a technology organization framework and environment (TOE) framework which evaluates technological, organizational and environment is most adequate to understand the IT readiness for ERP among SMEs.

Author(s):  
Jessy Nair ◽  
Aarthy Chellasamy

Small and medium-sized enterprises (SMEs) trail large organizations in leveraging IT systems. SMEs are beginning to understand the significance of implementing IT systems like ERP for improving their preparedness in business processes. Hence the objective of this research article is to develop a framework to analyse SME's organizational preparedness for implementing the technology. This research applies a General Morphological Analysis (GMA) framework to explore suitable models and variables for IT change preparedness to realize the benefits of ERP implementation in SMEs. An SMEs drawback in implementing IT tools is specifically due to a lack of knowledge and an acute shortage of resources like investment and manpower. The review of literature in this article using general morphological analysis is novel for ERP implementation in the SME sector. Based on the review of articles, a morphology with a technology organization framework and environment (TOE) framework which evaluates technological, organizational and environment is most adequate to understand the IT readiness for ERP among SMEs.


2012 ◽  
Vol 9 (2) ◽  
Author(s):  
Mimin Nur Aisyah

Increasing number of small medium enterprises (SMEs) is using enterprise resourceplanning (ERP) as they start to recognize the benefits provided to the organisations. Thebenefits include tangible and intangible benefits. They can be identified in the operational,managerial, strategic, organizational, as well as in IT infrastructure dimension. Tosuccessfully implement ERP, organizations should recognize the barriers in attainingexpected benefits, especially people-related issues which are more dominant than thetechnical-related. A combination of IT factors and business factors motivate SMEs to adoptERP. However, several factors characterized in SMEs should be considered in analyzingtheir need for ERP. SMEs must prepare themselves in both technical aspects and humanaspects. It is also very important for SMEs to recognize critical success factors (CSFs) thatcontribute to a successful ERP implementation. CSFs can be used to measure the success atdifferent points in the ERP life cycle.Keywords: Enterprise Resource Planning (ERP), small and medium enterprises (SMEs),critical success factors (CSFs), ERP benefits, and ERP adoption


2015 ◽  
Vol 74 (1) ◽  
Author(s):  
Norani Nordin ◽  
Ojeniyi Adegoke

Purpose: ERP implementation comes with huge business competitive advantages nevertheless it also has its difficulties and challenges. This paper presents the findings of field work and interview conducted on issues and challenges of ERP implementation on small and medium enterprises (SMEs). It proposes implementation strategies at each of the implementation stages for a successful ERP implementation within SMEs. Design/methodology/approach: The study employed both personal interview and observation methods. Findings: The findings revealed that reengineering (organization and infrastructures), top management commitment, funds, skilled manpower, implementation time and data fill-in were the critical issues and challenges faced by SMEs during ERP implementation. Hence, these factors were identifies as ERP implementation successful factors to be considered by SMEs. Also the study proposed three implementation strategies stages which will enhance successful ERP implementation in the SMEs. Originality/value: This study identified funds, skilled manpower and data fill-in as part of critical factors for successful ERP implementation in SMEs. Therefore, the study was used to generate successful implementation strategies for SMEs. 


2020 ◽  
Vol 4 (3) ◽  
pp. 683
Author(s):  
Muhamad Ridho Dwi Cahyo ◽  
Candiwan Candiwan

Yoga Farm is a Micro, Small, and Medium Enterprises (MSME) that focuses on catfish breeding that is still doing business processes manually. With this process, information received by related parties is very difficult to obtain quickly. Therefore, the product is still not widely known, and customers are still few because the system used in sales and promotions still uses a manual system. The research method used is qualitative. This study aims to create a sales information system recommended at Yoga Farm and design using Unified modeling language (UML) for the recommended business processes. Customers will get product information in real-time, products can be widely recognized, and the number of Yoga Farm customers can increase. Based on the results of this study, adoption of a web-based sales information system can certainly make it easier to get the latest information quickly, can expand the market and can also facilitate customers in the transaction. For future research, this research can be used as a reference for conducting similar studies at other MSMEs to increase sales


2012 ◽  
Vol 6 (2) ◽  
pp. 140
Author(s):  
Putu Wuri Handayani ◽  
J.W. Saputro ◽  
Achmad Nizar Hidayanto ◽  
Indra Budi

Usaha Kecil dan Menengah (UKM) di Indonesia telah dapat berkontribusi terhadap PDB (Produk Domestik Bruto) nasional sebesar 55.56% berdasarkan data Biro Perencanaan Kementerian Negara Koperasi dan UKM Republik Indonesia, pada tahun 2008. Untuk memperluas pangsa pasar dan meningkatkan daya saing UKM, UKM membutuhkan suatu aplikasi yang dapat mengintegrasikan dan mengotomatisasi proses bisnis UKM. Aplikasi ERP dapat menjadi salah satu solusi untuk UKM dikarenakan keuntungan yang dapat diberikan seperti memberikan informasi dengan waktu respon yang cepat, meningkatkan interaksi antar bagian dalam suatu organisasi, meningkatkan pengelolaan siklus pemesanan barang, dsb. Beberapa isu kritis yang dihadapi oleh UKM adalah terbatasnya dana dan kapabilitas teknologi informasi yang dimiliki. Dalam memahami kebutuhan layanan yang diperlukan oleh UKM untuk aplikasi ERP dan untuk menyediakan arahan bagi UKM serta menanggapi kurangnya riset ERP di Indonesia maka riset ini bertujuan untuk menggambarkan peta rencana jangka panjang dari agenda riset ERP yang akan dilakukan untuk UKM di Indonesia. Small and Medium Enterprises (SMEs) in Indonesia has been able to contribute to the GDP (Gross Domestic Product) of 55.56% based on national data Planning Bureau of the Ministry of Cooperatives and SMEs of the Republic of Indonesia, in 2008. To expand market share and improve the competitiveness of SMEs, SMEs need an application that can integrate and automate business processes of SMEs. ERP applications can be one solution for SMEs because of the advantages that can be provided such as providing information with fast response time, increase the interaction between the departments of an organization, improving the management of ordering goods cycle, etc. Some of the critical issues faced by SMEs are the limited funds and information technology capabilities they have. In understanding the needs of the services required by SMEs for ERP applications and to provide guidance for SMEs and response to the lack of research about ERP in Indonesia, this research aims to describe the long-term plan maps of the ERP's research agenda that will be made for SMEs in Indonesia.


2021 ◽  
Vol 4 (1) ◽  
pp. 34-39
Author(s):  
Gresika Bunga Sylvana

ABSTRACT Indonesia's economic growth in the first quarter of 2020 of 2.97% was released by the Central Statistics Agency (BPS). It is undeniable, that number is the lowest growth rate in the last 19 years. We understand that the economic disruption caused by the COVID-19 pandemic did occur in various parts of the world. A significant economic slowdown is a big task for many national leaders. Some world economic experts even mention that the disruption of the economy due to this pandemic can resemble the effects of the Great Depression of 1930 ago. If we review the impact of the COVID-19 pandemic which has caused extraordinary disruption in the economic field, it is seen that Micro, Small, and Medium Enterprises (MSMEs) are a sector that is quite severe. Basically, the concept of risk management is not commonly used in SMEs business processes. This is because, in general, the resources owned by SMEs are quite limited. However, in this paper I want to illustrate at least there are simple concepts that can be applied by SMEs.


Author(s):  
Neven Vrcek ◽  
Ivan Magdalenic

Many benefits from implementation of e-business solutions are related to network effects which means that there are many interconnected parties utilizing the same or compatible technologies. The large-scale adoption of e-business practices in public sectors and in small and medium enterprises (SMEs)-prevailing economic environments will be successful if appropriate support in the form of education, adequate legislative, directions, and open source applications is provided. This case study describes the adoption of e-business in public sectors and SMEs by using an integrated open source approach called e-modules. E-module is a model which has process properties, data properties, and requirements on technology. Therefore e-module presents a holistic framework for deployment of e-business solutions and such e-module structure mandates an approach which requires reengineering of business processes and adoption of strong standardization that solves interoperability issues. E-module is based on principles of service-oriented architectures with guidelines for introduction into business processes and integration with ERP systems. Such an open source approach enables the spreading of compatible software solutions across any given country, thus, increasing e-business adoption. This paper presents a methodology for defining and building e-modules.


Author(s):  
Sushil K. Sharma ◽  
Nilmini Wickramasinghe

As electronic commerce (e-commerce) is becoming the way to trade, it is the large corporations that are exploiting their finances and technical expertise to jump into this abyss. Small and medium enterprises (SMEs) are finding too many obstacles to participate in e-commerce. SMEs in Asia Pacific in particular, face many obstacles and thus are still not comfortable with the concept of putting their business online, conducting transactions online or revamping entire business processes. This chapter describes the key factors that are hindering SMEs’ participation in e-commerce and the obstacles to SMEs for e-adoption in Asia Pacific. Although this study is limited to the Asia Pacific region many of the findings do contribute significantly to the factors hindering all SMEs’ e-adoption efforts.


2011 ◽  
pp. 1466-1473
Author(s):  
Sushil K. Sharma ◽  
Nilmini Wickramasinghe

As electronic commerce (e-commerce) is becoming the way to trade, it is the large corporations that are exploiting their finances and technical expertise to jump into this abyss. Small and medium enterprises (SMEs) are finding too many obstacles to participate in e-commerce. SMEs in Asia Pacific in particular, face many obstacles and thus are still not comfortable with the concept of putting their business online, conducting transactions online or revamping entire business processes. This chapter describes the key factors that are hindering SMEs’ participation in e-commerce and the obstacles to SMEs for e-adoption in Asia Pacific. Although this study is limited to the Asia Pacific region many of the findings do contribute significantly to the factors hindering all SMEs’ e-adoption efforts.


2011 ◽  
Vol 2 (4) ◽  
pp. 1-19
Author(s):  
Abdelilah Khaled ◽  
Mohammed Abdou Janati Idrissi

Historically, Enterprise Resource Planning (ERP) systems were initially destined to large companies in order to standardize and streamline their key business processes. Recently, they have been increasingly adopted by Small and Medium Enterprises (SMEs). However, making strategic tradeoffs among the various marketplace solutions is a troublesome balance task for SMEs without the rescue of systematic multicriteria decision approaches. This paper addresses the question of how to choose an ERP solution that best suits a given SME. It serves twofold objectives; firstly it defines a set of selection criteria related to SMEs’ context. Secondly, it presents a selection methodology based on the construction of an induced decision model through capturing the decision maker’s preferences. The key contribution of this paper is the introduction of a new iterative learning based approach destined to make enlightened decisions through the consideration of interdependencies among the adopted selection criteria thanks to the Choquet Integral.


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