Change Management Perspectives in an ERP Implementation

This case study analyses a multiyear ERP (SAP R/3) implementation project in a global company from perspectives of conflicts and problems the project faced. The paper reports on the core of the implementation activities from the start of the project in late 1995 until mid 2000, when most of the originally estimated implementation efforts were finished. The study reveals what pitfalls an inappropriate understanding of the magnitude of changes required for implementation involves and what unidentified consequences can result from this. The main reasons for problems encountered are discussed and analysed. The main lesson of the study is that the fundamental challenge of ERP implementations is not technology but organisational and human changes, which, if not properly understood and addressed, can lead to unidentified consequences causing implementation failures

Developing Change Management Aspects Of ERP Implementation Process Models

ERP systems implementation projects continue to be troubled by failures for which user resistance has constantly been identified as the main reason. Whilst existing IS research has provided a good understanding of why ERP implementations trigger user resistance, there is less guidance offered to those seeking to successfully negotiate user resistance during the ERP implementation process. This paper provides a conceptual framework designed to provide project managers with a change management approach to ERP implementation. Specifically, the paper provides the basis for applying change management concepts and tools within the specific context of a technically-driven enterprise-wide implementation process. By integrating concepts from two distinct disciplines (IS and organisational behaviour) into a coherent framework, this paper aims to refine existing models of ERP implementation

An Empirical Study to Examine the Role of Manufacturing Informatics in Smart Manufacturing

Smart Manufacturing(SM) being a technology plays a vital role in the enhancement of the performance of an industrial unit by incorporating different zones of engineering, both in terms of resources and informatics. Smart Manufacturing integrates manufacturing informatics (MIT) in real-time through an entire manufacturing process in medium and large companies. In the present era many reports are there that are dealing with the technical and operative characteristic of SM, but the role of manufacturing informatics as a vital element in the deployment of SM is not considered fully. Recognising the significance of role of MIT in SM, an empirical study has been carried out & presented in this paper with the purpose of achieving additional awareness

An approach to identify issues affecting ERP implementation in Indian SMEs

Purpose: The purpose of this paper is to present the findings of a study which is based on the results of a comprehensive compilation of literature and subsequent analysis of ERP implementation success issues in context to Indian Small and Medium scale Enterprises (SME’s). This paper attempts to explore the existing literature and highlight those issues on ERP implementation and further to this the researchers applied TOPSIS (Technique for order preference by similarity to ideal solution) method to prioritize issues affecting successful implementation of ERP. Design/methodology/approach: Based on the literature review certain issues leading to successful ERP implementation have been identified and to identify key issues Pareto Analysis (80-20 Rule) have been applied. Further to extraction of key issues a survey based on TOPSIS was carried out in Indian small and medium scale enterprises. Findings: Based on review of literature 25 issues have been identified and further Pareto analysis has been done to extract key issues which is further prioritized by applying Topsis method. Research limitations/implications: Beside those identified issues there may be other issues that need to be explored. There is scope to enhance this study by taking into consideration different type of industries and by extending number of respondents. Practical implications: By identifying key issues for SMEs, managers can better prioritize issues to make implementation process smooth without disruption. ERP vendors can take inputs from this study to change their implementation approach while targeting small scale enterprises. Originality/value: There is no published literature available which followed a similar approach in identification of the critical issues affecting ERP in small and mid-sized companies in India or in any developing economyPeer Reviewe

Pengembangan Kapabilitas Unit Pengelola Sistem Informasi Manajemen Keuangan Terpadu (Integrated Financial Management Information Systems) (Studi Kasus pada Penerapan Sistem Perbendaharaan dan Anggaran

Dalam beberapa tahun terakhir ini banyak Negara termasuk Indonesia, telah memulai, dan sedang menerapkan agenda reformasi di Negara masing-masing, khususnya pada manajemen keuangan publik. Hal ini telah membuat penerapan IFMIS ( Integrated Financial Management Information Systems ) menjadi satu agenda terpenting. IFMIS dapat meningkatkan pelayanan publik dalam hal meningkatkan tingkat kepuasan layanan yang dibutuhkan oleh seluruh pemangku kepentingan. Disisi lain IFMIS dapat memberikan informasi keuangan yang akurat dan tepat-waktu kepada manajer baik di kantor pusat, di kantor wilayah dan di kantor kabupaten atau kota dimana kantor pelayanan berada, serta dapat meningkatkan kinerja dan kapabilitas pengambilan keputusan. Kementerian Keuangan Republik Indonesia saat ini sedang menerapkan IFMIS yang dikenal dengan nama SPAN (Sistem Perbendaharaan dan Anggaran Negara), dimana ERP-COTS telah dipilih sebagai landasan ( platform ) pengembangan sistem. Salah satu area terpenting dalam penerapan IFMIS adalah pada proses deployment, termasuk penyiapan dan pengembangan kapabilitas Unit Pengelola IFMIS dalam menghadapi kesiapan penerapan, khususnya menghadapi fase Go-Live . Tujuan penelitian ini adalah membangun sebuah model pengembangan kapabilitas untuk Unit Pengelola IFMIS, dalam rangka mendukung penerapan IFMIS di Indonesia, khususnya dalam menghadapi tahapan Go-Live . Penelitian ini adalah penelitian kualitatif, dengan metode penelitian Action Research (AR), yang dipergunakan untuk membentuk dan mengeksplorasi sebuah model pengembangan kapabilitas dalam tiga fase. Keseluruhan fase dikembangkan paralel dengan fase penerapan IFMIS. Beberapa temuan dalam penelitian ini menunjukkan, bahwa terdapat beberapa tantangan termasuk didalamnya kurangnya personel yang berkualifikasi, kemunduran jadwal penyelesaian kustomisasi ERP-COTS, resistensi, dan isu-isu lainnya dalam pengembangan kapabilitas Unit Pengelola IFMIS. Hasil penelitian ini berupa sejumlah refleksi yang sekaligus menjadi pengetahuan yang diperoleh peneliti, pada setiap fase pelaksanaan penelitian AR ini. Berdasarkan hasil dari penelitian ini, sebuah model yang relevan dikembangkan, yang memungkinkan berhasilnya proses pengembangan kapabilitas, khususnya kapabilitas dari setiap anggota Unit Pengelola IFMIS, guna mengelola IFMIS sebagai sebuah sistem informasi baru dalam fase Go-Live

Development of a user-resistance-aware framework for implementing enterprise resource planning systems

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