SMEs: ERP or virtual collaboration teams

Small firms are indeed the engines of global economic growth. Small and Medium Enterprises (SMEs) play an important role to promote economic development. SMEs in the beginning of implementing new technologies always face capital shortage and need technological assistance. Available ERP systems do not fulfil the specific requirements of Small firms. SMEs has scarce resources and manpower therefore many SMEs don?t have the possessions to buy and operate an ERP System. On the other hand competition and competitiveness of SMEs have to be strengthened. This paper briefly reviews the existing perspectives on virtual teams and their effect on SMEs management. It also discusses the main characteristics of virtual teams and clarifies the differences aspects of virtual team application in SMEs. After outlining some of the main advantages and pitfall of such teams, it concentrates on comparing of ERP and virtual collaborative teams in SMEs. Finally, it provides evidence for the need of ?Software as a Service (SaaS)? where an application is hosted as a service provided to customers across the web for SMEs as an alternative of ERP. It has been widely argued that ERP disadvantage in SMEs such as administrative expenditure and cost, isolated structure, severe lack of software flexibility, insufficient support of SMEs business and high operating cost, lead SMEs to use virtual collaborative team which is net work base solution

Enterprise Systems Adoption and Firm Performance in Europe: The Role of Innovation

Despite the ubiquitous proliferation and importance of Enterprise Systems (ES), little research exists on their post-implementation impact on firm performance, especially in Europe. This paper provides representative, large-sample evidence on the differential effects of different ES types on performance of European enterprises. It also highlights the mediating role of innovation in the process of value creation from ES investments. Empirical data on the adoption of Enterprise Resource Planning (ERP), Supply Chain Management (SCM), Customer Relationship Management (CRM), Knowledge Management System (KMS), and Document Management System (DMS) is used to investigate the effects on product and process innovation, revenue, productivity and market share growth, and profitability. The data covers 29 sectors in 29 countries over a 5-year period. The results show that all ES categories significantly increase the likelihood of product and process innovation. Most of ES categories affect revenue, productivity and market share growth positively. Particularly, more domainspecific and simpler system types lead to stronger positive effects. ERP systems decrease the profitability likelihood of the firm, whereas other ES categories do not show any significant effect. The findings also imply that innovation acts as a full or partial mediator in the process of value creation of ES implementations. The direct effect of enterprise software on firm performance disappears or significantly diminishes when the indirect effects through product and process innovation are explicitly accounted for. The paper highlights future areas of research.Enterprise Systems; ERP; SCM; CRM; KMS; DMS; IT Adoption; Post-implementation Phase; IT Business Value; Innovation; Firm Performance; Europe

Strategic Predictors of Successful Enterprise Systems Deployment

Purpose The delivered wisdom to date has enterprise system purchase and implementation as one of the most hazardous projects any organization can undertake. The aim was to reduce this risk by both theoretically and empirically finding those key predictors of a successful enterprise system deployment. Design/methodology/approach A representative sample of 60 firms drawn from the Fortune 1000 that had recently (1999-2000) adopted enterprise resource planning (ERP) systems was used to test a model of adoption performance with significant results. Findings Leadership (social learning theory), business process re-engineering (change the company not the technology) and acquisition strategy (buy, do not make) were found to be significant predictors of adoption performance (final model R 2=43 percent, F=5.5, pp Originality/value The “four factor” model we validate is a robust predictor of ERP adoption success and can be used by any organization to audit plans and progress for this undertaking

Strategic Predictors of Successful Enterprise Systems Deployment

Purpose The delivered wisdom to date has enterprise system purchase and implementation as one of the most hazardous projects any organization can undertake. The aim was to reduce this risk by both theoretically and empirically finding those key predictors of a successful enterprise system deployment. Design/methodology/approach A representative sample of 60 firms drawn from the Fortune 1000 that had recently (1999-2000) adopted enterprise resource planning (ERP) systems was used to test a model of adoption performance with significant results. Findings Leadership (social learning theory), business process re-engineering (change the company not the technology) and acquisition strategy (buy, do not make) were found to be significant predictors of adoption performance (final model R 2=43 percent, F=5.5, pp Originality/value The “four factor” model we validate is a robust predictor of ERP adoption success and can be used by any organization to audit plans and progress for this undertaking

SMEs e-business behaviour: a demographics and strategic analysis

The aim of this research was to understand the strategic uses of e-business systems and technologies by classifying companies and particularly small and medium businesses according to demographics as well as e-business behavior variables.The study was based on data from a large quantitative survey of European E-business W@tch for the period 2007 using questionnaire interviews (N=409). We employed two-step cluster analysis, multinomial logistic regression and stepwise descriminant analysis as the most appropriate methods for our analysis. The findings revealed six clusters associated to e-business adoption. The six groups differ in terms of demographic characteristics as well as e-business applications they use. We found that the following clusters exist: (a) Leaders: large companies that extensively use ebusiness in a strategic manner (b) innovators: use e-business in an way that allows them to innovate and differentiate from other companies (c Beginners: small and medium companies across all sectors that only recently start to use e-business (d) Unready Adopters: micro and small companies that lag behind (e) Late Adopters: small-size companies but larger that the Unready Adopters, that appear not to be interest in the advances of ICTs and (f) Laggards: micro companies with little use of e-business.The results of our survey can positively contribute to managers aiming to take advantage of technological advances in electronic business as well as to any researcher who study e-business management and applications

ERP implementation methodologies and frameworks: a literature review

Enterprise Resource Planning (ERP) implementation is a complex and vibrant process, one that involves a combination of technological and organizational interactions. Often an ERP implementation project is the single largest IT project that an organization has ever launched and requires a mutual fit of system and organization. Also the concept of an ERP implementation supporting business processes across many different departments is not a generic, rigid and uniform concept and depends on variety of factors. As a result, the issues addressing the ERP implementation process have been one of the major concerns in industry. Therefore ERP implementation receives attention from practitioners and scholars and both, business as well as academic literature is abundant and not always very conclusive or coherent. However, research on ERP systems so far has been mainly focused on diffusion, use and impact issues. Less attention has been given to the methods used during the configuration and the implementation of ERP systems, even though they are commonly used in practice, they still remain largely unexplored and undocumented in Information Systems research. So, the academic relevance of this research is the contribution to the existing body of scientific knowledge. An annotated brief literature review is done in order to evaluate the current state of the existing academic literature. The purpose is to present a systematic overview of relevant ERP implementation methodologies and frameworks as a desire for achieving a better taxonomy of ERP implementation methodologies. This paper is useful to researchers who are interested in ERP implementation methodologies and frameworks. Results will serve as an input for a classification of the existing ERP implementation methodologies and frameworks. Also, this paper aims also at the professional ERP community involved in the process of ERP implementation by promoting a better understanding of ERP implementation methodologies and frameworks, its variety and history

Innovation performance and competitive strategies in the Turkish manufacturing industry

In this paper, we report on empirical investigation within the context of the Innovations in Manufacturing Industries in Turkey Study 2004/2005. The data was gathered in nine different cities in Turkey during the period August 2004 – January 2005. The survey was conducted through face-to-face interviews due to the complex nature of the survey and was implemented in 135 manufacturing firms operating in four sectors: Textiles, chemicals, food, and metal. The study has been an extension of the European Manufacturing Survey 2004 (EMS 2004) coordinated by the Fraunhofer Institute for Systems and Innovation Research and covering nine countries: Germany, Turkey, Austria, Switzerland, France, Slovenia, Croatia, Italy, and United Kingdom. An extended version of the questionnaire form used in EMS 2004 has been employed. Some of the basic results concerning competitive priorities, new product development, and operations management are presented

Understanding Behavioral Sources of Process Variation Following Enterprise System Deployment

This paper extends the current understanding of the time-sensitivity of intent and usage following large-scale IT implementation. Our study focuses on perceived system misfit with organizational processes in tandem with the availability of system circumvention opportunities. Case study comparisons and controlled experiments are used to support the theoretical unpacking of organizational and technical contingencies and their relationship to shifts in user intentions and variation in work-processing tactics over time. Findings suggest that managers and users may retain strong intentions to circumvent systems in the presence of perceived task-technology misfit. The perceived ease with which this circumvention is attainable factors significantly into the timeframe within which it is attempted, and subsequently impacts the onset of deviation from prescribed practice and anticipated dynamics

Challenges and influential factors in ERP adoption and implementation

The adoption and implementation of Enterprise Resource Planning (ERP) systems is a challenging and expensive task that not only requires rigorous efforts but also demands to have a detailed analysis of such factors that are critical to the adoption or implementation of ERP systems. Many efforts have been made to identify such influential factors for ERP; however, they are not filtered comprehensively in terms of the different perspectives. This paper focuses on the ERP critical success factors from five different perspectives such as: stakeholders; process; technology; organisation; and project. Results from the literature review are presented and 19 such factors are identified that are imperative for a successful ERP implementation, which are listed in order of their importance. Considering these factors can realize several benefits such as reducing costs and saving time or extra effort