A New Framework for Enterprise Resource Planning Systems Implementation for SMEs in the Industrial Manufacturing Sector in Iran

This thesis proposes an Enterprise Resource Planning (ERP) implementation model for small to medium-sized enterprises (SMEs) in the discrete manufacturing industry sector in Iran. Three discrete manufacturing SMEs, in two different geographical locations in Iran (Isfahan and Tehran), were used as the case studies for primary qualitative research and data analysis. The proposed model identifies ERP implementation phases, three main dimensions of change and a range of related change elements that influence ERP project success in the discrete manufacturing sector in Iran. The three main dimensions of change are technology deployment, people competencies, and process improvement; and these are evident in this study’s three implementation phases: pre-implementation, implementation, and post-implementation. Being exploratory in nature and adopting an interpretivist epistemology, the research pursues a qualitative approach, consisting of a survey (with follow-up interviews), questionnaires, semi-structured interviews and documentary evidence for data collection. The case study approach allowed the researcher to gain an in depth understandings of the nature of ERP implementation in discrete manufacturing SMEs and the degree of success they have achieved. The first set of data was collected through a literature review and qualitative survey of 75 manufacturing SMEs in Iran in order to understand the extent of IS/ERP systems implementation in Iranian manufacturing SMEs. The findings from the literature were used to develop a provisional conceptual ERP implementation model. The second set of data was collected from three discrete manufacturing SMEs through questionnaires and semi-structured interviews conducted with various employees. The conceptual ERP implementation model was further improved based on findings drawn from the case study research. The final model was developed to represent ERP implementation phases, dimensions and elements of change in the context of SMEs in the discrete manufacturing sector in Iran. The model is a contribution to knowledge in this field, and affords IT practitioners and professionals a better understanding of the potential challenges they may face during such ERP projects. The model enables them to balance the three dimensions of change, providing a roadmap of change elements that need addressing as an ERP project progresses from phase to phase

An analysis of factors affecting implementation of SAP in South Africa public sector.

Masters Degree. University of KwaZulu-Natal, Durban.SAP enterprise resource planning (ERP) implementations in the South African public sector have faced many challenges and the majority of them have failed to achieve their intended purposes. They have failed to be finished within the project plan, and within the budgeted time, and are largely unable to meet the expectations of the users to the extent that the real value and returns on the IT investments have not been realised. SAP ERP implementation failure is defined in many ways; a project that is abandoned is a clear example of a failed project, a system implementation that has been delivered exceeding its budget and planned time is also classified as a failed project as it can lead to serious financial consequences for the company. A SAP ERP project that does not deliver the intended benefits to the users is also defined as failed. Therefore, the purpose of this study is to explore impacts of success factors on SAP ERP implementation in KwaZulu-Natal. The Technology-Organisational-Environment (TOE) framework was used and nine success factors were classified into these three domains and measured against the dependent variable, Implementation Success. A quantitative, cross-sectional survey was carried out and data was gathered data from forty-seven SAP-system users from three state-owned entities in KwaZulu-Natal province of South Africa. Tests of reliability and validity were done, and the data analysis was carried out using the Statistical Package for the Social Sciences (SPSS), version 22. The findings of the research showed that technological factors have a significant influence on implementation success. Lack of thorough data migration through various iterations of cleansed master and transactional data will lead to a new system with incorrect data. The degree of ERP flexibility was identified as a measure of implementation success, the higher the flexibility the higher the level of success. Systems that are largely inflexible and which require a high degree of customisation cause a lot of inefficiencies. Organisational factors such as change management, training, or business-process re-engineering showed a significant influence on the successful implementation of SAP systems. Respondents indicated that these factors are critical in ensuring that the SAP ERP system implementation is successful. The research findings for environmental factors showed that there is a positive relationship between vendor support and implementation success. Experienced vendors who have deep and specific knowledge of their systems, and are continuously involved with their clients, have evidenced successful implementations. However, top management support and project governance did not show any significant influence on the success of an SAP ERP implementation

An Assessment of Readiness Factors for Implementing ERP Based on Agility (Extension of Mckinsey 7s Model)

Studies conducted by many researchers indicate high failure rate of projects of implementing ERP systems. Furthermore, organizations should be agile to be able to respond to market changes fast and effectively to survive in competitive environment. ERP and agility are two important tools for achieving competitive advantages. The main goal of the present study was to identify and prioritize organizational readiness factors for implementing ERP based on organizational agility. In this study, along with extension of McKinsey 7S model (strategy, structure, systems, skills, style, staff, shared values) to 9S (7S+ self-evaluation and supportive factors) model, agility criteria were weighted and rated using group AHP with fuzzy logic approach; so that accountability, speed and flexibility have obtained the maximum score. The nine organizational readiness factors were ranked using integrated FAHP and TOPSIS method based on five criteria of agility. The framework was proposed to a real case of Shiraz distribution cooperative firms. Results showed that among the nine organizational dimensions based on agility, the two added to McKinsey dimensions (self-evaluation and supportive factors) are ranked in the first and fourth places. The proposed framework help the enterprises “to implement ERP system with agility approach” concentrate on change management and develop strategies based on their own priority

Effect of Business Process Reengineering Factors on Organizational Performance: IT Capability as a Moderator

The main objective of this study is to examine the effects of the business process reengineering (BPR) factors on the Nigerian banks organisational performance. Additionally, this study also investigates the moderating effect of information technology (IT) capability in the relationship of BPR factors and the organisational performance. BPR factors are operationalised by change management, BPR strategy alignment, customer focus, management commitment, IT investment, and adequate financial resource. The IT capability dimensions include IT knowledge, IT operations and IT objects. Data was sent and collected through a hand-delivery method. A proportionate stratified random sampling was used for sample selection. 560 questionnaires were sent to banks’ managers but 417 of them were returned; giving a response rate of 74%. The findings were as follows: first, the findings show that fully supported relationships were found between IT capability and organisation performance. Second, the results showed that BPR factors such as adequate financial resources and management commitment were significantly related to overall organisational performance. Specifically, adequate financial resource's dimension was significantly related to cost reduction, customer service management and operations efficiency. Next, management commitment was found to be significantly related to customer service management and operation efficiency. Meanwhile, IT investment was significantly associated with customer service management. Other dimensions of BPR factors such as change management, customer focus, and BPR strategy alignment were found insignificant to the banks’ performance. Third, upon investigating the moderating effects of IT capability on the relationship between BPR factors and organisational performance, the results revealed mixed supports for the interaction effects of IT capability attributes. The outcome of this study provides important insights to both managers and researchers for further understanding on the effects of BPR factors and IT capability on organisational performance. The necessary suggestions on new area of research were recommended for future researchers

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

An Empirical Study about the Impact of Internet in SMES

The aim of this research was to find out the current trends of usage of new technologies, with a special focus on the impact of the Internet based on chosen variables. The target group of the current research were small to medium size enterprises – SMEs, which are considered as the most-influential entities within a country. This is due to their influence on economy and employment opportunities they offer in every country. The results of this research show a better image about the current technological trends in Kosovo and no other research with identic approach was found out by the researcher. Assessing the impact of technology within SMEs through quantitative approach was selected as the most appropriate method to estimate and evaluate the current trends. A structured questionnaire was used as the main instrument to gather the primary data. The questionnaire was distributed by the researcher to a random sample of 140 enterprises around Kosovo. A second visit individually to each enterprise was accomplished and a response rate of 67% was secured from the respective respondents, which gave the researcher the opportunity to conduct statistical analysis. Descriptive statistics have shown changes in enterprise management in regards to gender, age and sustainability. Procedures in governmental entities in comparison to neighbour countries were less bureaucratic. Also, the majority of enterprises are influenced by the new technologies in everyday business activities, especially by the use of the Internet to interact with third parties. Furthermore, with a correlation as the main statistical measure it was found out that the good location is not correlated with being online and with necessity of incentives from government. While the good location is correlated with benefits of the Internet in comparison to its cost. Similarly, it was found that necessity of being online is correlated with the necessity of incentives from government as well as with benefits of the Internet in comparison to its cost. Moreover, it was found that necessity of incentives from government is correlated with benefits of the Internet in comparison to its cost. Based on the results of the research, it can be concluded that the role of the new technologies and the Internet is re-shaping the business model of the enterprises faster than any other factors

Strategies for U.S. City Government Enterprise Resource Planning System Implementation Success

Strategies for enterprise resource planning (ERP) system implementation success have been a focus of scholars since the 1990s. Researchers have demonstrated that ERP system implementation could cause both system failures and organization failures, affecting both operations and stakeholders. The theory of constraints was the conceptual framework for this single qualitative case study that explored ERP system critical success factors (CSFs) and strategies U.S. city governments use to successfully implement ERP systems. One city government in New Mexico with a successful ERP system served as the case study\u27s population. Data were collected from semistructured interviews and relevant documents and then open coded and thematically analyzed. Triangulation was employed to increase the trustworthiness of interpretations. The primary themes that emerged from the analysis of this single case study revealed the importance of the city government adequately resourcing and staffing the organization, providing top management support, continuously communicating to clarify motivations for implementations, gaining concurrence, and maintaining a change management asset. Other city government end-users, managers, leaders, and vendors could benefit from results of this study by identifying and addressing the relevant principal CSFs, and then developing and deploying strategies for the implementation, control, and remediation phases to increase ERP systems\u27 utility. City governments seeking to implement ERPs could effect social change by demonstrating fiscal stewardship of resources, adding fiscally efficient and efficacious operations directly supporting constituents, and increasing public confidence

Understanding Agile Innovation Management Adoption for SMEs

Research interest in agile innovation management (AIM) has increased due to its growing popularity. However, little is known about adaptability by small and medium enterprises (SMEs). This study examines the factors affecting intention to adopt AIM in SMEs. A conceptual framework is developed by combining internal and external environmental factors that influence adoption intention. Responses were received from 276 SMEs and analyzed using covariance-based structural equation modeling (SEM). The results confirmed that external environmental factors of mimetic isomorphism and normative isomorphism have a positive association with the intention to adopt AIM. Moreover, the internal environmental factors of top management championship, adhocracy culture, clan culture, and organizational readiness were confirmed to be positively associated with AIM adoption. This study provides one of the first empirical evidence of AIM for SMEs. In doing so, the study contributes both theoretically and practically toward understanding strategies that would enhance adoption by SMEs

Strategies for Implementing a Successful Enterprise Resource Planning System

The U.S. Department of Defense executives consider enterprise resource planning systems as a critical technology because of increasingly global operations and audit compliance pressures, which may affect organizational performance and overall success. The estimated cost to implement enterprise resources systems to avoid failure and meet budget cost across the Department of Defense services and agencies has ranged from $530 million to$2.4 billion. Guided by the general systems theory, the purpose of this single-case study was to explore enterprise resource planning strategies developed and implemented by United States Marine Corps military leaders. Data collection consisted of a review of organizational documents and semistructured interviews of 5 organizational leaders in a United States Marine Corps base in Albany, Georgia. Data analysis entailed interview transcription, keyword and phrase coding, and emergent theme identification. The prominent emergent themes were essential strategic planning guidance and organizational leaders and change management, which are the essential components for effectively implementing enterprise resource planning systems. The Department of Defense executives and senior leaders may use the findings of this study to develop an essential strategic plan, which could reduce the excessive cost and over-budget associated with enterprise resource planning systems. Social change implications include enhancing end user knowledge and reducing inefficiencies within organizations to improve corporate social responsibility