Adoption of ERP system: An empirical study of factors influencing the usage of ERP and its impact on end user

AbstractComplex information systems like the ERP integrate the data of all business areas within the organization. The implementation of ERP is a difficult process as it involves different types of end users. Based on literature, we proposed a conceptual framework and examined it to find the effect of some of the individual, organizational, and technological factors on the usage of ERP and its impact on the end user. The results of the analysis suggest that computer self-efficacy, organizational support, training, and compatibility have a positive influence on ERP usage which in turn has significant influence on panoptic empowerment and individual performance

Pengaruh Implementasi Enterprise Resource Planning (ERP) Apache Ofbiz Pada Kinerja UMKM Renyah.an

The implementation of Enterprise Resource Planning (ERP) systems has become a priority for many organizations, including Micro, Small and Medium Enterprises (MSMEs) in the industrial sector. The purpose of this study was to evaluate the effect of Apache Ofbiz ERP implementation on performance of Renyah.an MSMEs. This research uses a descriptive qualitative approach to gain an in-depth understanding of the impact of ERP implementation on Renyah.an MSMEs Primary data was collected through interviews with Renyah.an's MSME owners and staff involved in ERP implementation. In addition, secondary data is also used to support the analysis. In this research, several indicators of organizational performance are used, including operational efficiency, customer satisfaction, and business growth. The results of this study indicate that the implementation of Apache Ofbiz ERP has a significant positive impact on the organizational performance of Renyah.an MSMEs. In terms of operational efficiency, ERP systems can increase productivity, reduce operational costs, and improve data accuracy. In addition, ERP implementation also has an impact on customer satisfaction by improving customer experience and increasing response time to customer requests. In terms of business growth, ERP implementation facilitates business expansion, better inventory monitoring, and more accurate data analysis for decision making

The relationship between enterprise resource planning (ERP) implementation and intellectual capital under the moderating effect of organizational learning capability

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

The Role of Organizational Support and Problem Space Complexity on Organizational Performance - A Business Intelligence Perspective

Background: In today’s business environment, BI systems are frequently bundled together or built with a good connection to existing ERP systems. Businesses implementing BI alone may not receive its full benefit if the necessary support structure and a fit of it to its problem domain are not in place. Methods: In this study, we explored organizational support and problem space complexity in three models (base, direct-effect and moderation models) to study BI’s effect on organizational performance. Results: The moderation model explains the most variance of the dependent variable – organizational performance. Problem space complexity had both a direct effect on organizational performance and the relationship between BI implementation and this dependent variable. Organizational support along with its first-order factors did not have statistical significance on organizational performance. Conclusions: The resulting moderation model provides the best explanation of organizational performance among the three models tested. The confirmed effects of problem space complexity show that matching BI implementation to the complexity of the problem in hand drives business performance. Organizational support may not be consistently required throughout all stages of BI adoption. As the BI literature has shown, the effect of organizational support on BI implementation could very much be on individuals in areas of affective commitment, extra-role performance and end-user satisfaction. Our work provides the beginning empirical evidence that such effects on individuals may not always result in business performance. Available at: https://aisel.aisnet.org/pajais/vol12/iss1/1

CRITICAL SUCCESS FACTORS FOR ERP IMPLEMENTATION - THE CASE OF QATAR

Due to ERP high failure rate, Enterprise resource planning (ERP) implementation issues have been highly addressed in the literatures. Some studies have concentrated on the effect of perceived usefulness (PU) and perceived ease of use (PEOU) on behavioral intention (BI) based upon the theory of technology acceptance model (TAM), others focused on the critical success factors (CSF) of ERP implementation from personal or organizational perspectives. However, few studies put them together to examine the influence of PU and PEOU on BI which are key factors to ERP acceptance besides investigating the most important critical success factors of ERP implementation. This study is a specific attempt that developed a framework extending TAM model with computer self-efficacy (CSE) to examine behavioral intention to use ERP and then explored the major ERP key success factors that can turn the process of the implementation to a success in Qatari environment. Data has been collected from 40 different organizations of different business lines in Qatar out of which 321 valid responses were analyzed. Descriptive, Reliability, and correlations analyses were conducted on the sample respectively, then followed by Linear Regression Analysis that was done to validate the model’s significance. PU, PEOU and CSE, indicated significant relations with the behavioural intention to use ERP systems in Qatari organizations and contributed to 56% of its variation. Then a Descriptive Analysis was conducted to rank the CSFs in order of significance from ERP end user perspective. The study concluded that PU, PEOU and CSE are significant factors to predict ERP implementation and adoption. Moreover, it explored the major critical success factors that brings success to implementation process in Qatari organizations, which are Top management support, followed by User training on software, and finally Project management process

ERP implementation success in Iran: Examining the role of system environment factors

The aim of this paper is to examine factors related to system environment (namely, system quality and vendor support) that influences ERP implementation success in Iranian companies. Implementation success is identified using user satisfaction and organizational impact perspective. The study adopts the survey questionnaire approach to collect empirical data. The questionnaire was distributed to ERP users and a total of 384 responses were used for analysis. The results illustrated that both system quality and vendor support have significant effect on ERP implementation success. This implies that companies must ensure they source for the best available system and a vendor that is dependable, reliable and trustworthy

IMPLEMENTATION KNOWLEDGE AND THE ASSIMILATION OF ENTERPRISE INFORMATION SYSTEMS: AN EMPIRICAL STUDY

Based on the organizational learning perspective, we present an empirical model to explain the assimilation of complex enterprise systems. We conceptualize systems implementation capability of organizations in terms of two types of knowledge – artifactual knowledge and inter-unit coordination knowledge. We propose that these knowledge dimensions are directly related to the degree of assimilation of enterprise systems. Further, considering that assimilation of IT innovations is steeped in the institutional environment, we also consider the moderating effects of mimetic and normative institutional pressures on the relationship between implementation knowledge and the degree of assimilation. Analysis of survey responses from ERP implementations in seventy-seven organizations reveals support for our main hypotheses that both the implementation knowledge dimensions directly affect assimilation. We also confirm that while mimetic institutional pressures positively moderate the impact of ERP-specific artifactual knowledge on assimilation, normative influences positively moderate the effect of ERP-specific coordination knowledge on assimilation. However, surprisingly mimetic pressures negatively moderate the impact of ERP-specific coordination knowledge on assimilation. The negative moderation suggests that organizations with greater interunit coordination knowledge are more ‘mindful’ towards ERP assimilation and therefore mimetic pressures play a lesser role in affecting assimilation levels. Our findings offer interesting implications for theory and practice

Mapping knowledge management and organizational learning in support of organizational memory

The normative literature within the field of Knowledge Management has concentrated on techniques and methodologies for allowing knowledge to be codified and made available to individuals and groups within organizations. The literature on Organizational Learning however, has tended to focus on aspects of knowledge that are pertinent at the macro-organizational level (i.e. the overall business). The authors attempt in this paper to address a relative void in the literature, aiming to demonstrate the inter-locking factors within an enterprise information system that relate knowledge management and organizational learning, via a model that highlights key factors within such an inter-relationship. This is achieved by extrapolating data from a manufacturing organization using a case study, with these data then modeled using a cognitive mapping technique (Fuzzy Cognitive Mapping, FCM). The empirical enquiry explores an interpretivist view of knowledge, within an Information Systems Evaluation (ISE) process, through the associated classification of structural, interpretive and evaluative knowledge. This is achieved by visualizng inter-relationships within the ISE decision-making approach in the case organization. A number of decision paths within the cognitive map are then identified such that a greater understanding of ISE can be sought. The authors therefore present a model that defines a relationship between Knowledge Management (KM) and Organisational Learning (OL), and highlights factors that can lead a firm to develop itself towards a learning organization

Implementation and unification of the ERP system in a global company as a strategic decision for sustainable entrepreneurship

This article considered factors connected with the implementation and unification of an ERP (Enterprise Resource Planning) system, and their influence on the sustainable development of global companies. It showed a cognitive model on such impact and gave an example in the form of a case study of a global company listed on the NASDAQ Stock Exchange. The basic strategic objectives of each organization include long-term growth and sustainability. In a growing competitive environment, it is essential to manage the company effectively. This can be achieved provided that the company's organizational structure and operations are properly set from the point of view of the ERP system. The research results were aimed at creating the generalized process of the ERP system's gradual implementation, to make the development of an organization progressive. The paper was focused on describing the implementation and unification of the Enterprise Resource Planning System, in a global company listed on the NASDAQ Stock Exchange. The aim of the paper was to monitor and evaluate, the links between Enterprise Resource Planning and Customer Relationship Management. This process is time consuming and costly. To achieve the aim, the case study was carried out in the form of an expert survey aimed at assessing the impact of the unification and implementation of the ERP system in a global company. The study included methods of systemic analysis, methods of sociological expert survey, a method of qualitative peer review, and a method for a cognitive model. It leads not only to effective management of global companies but enables the monitoring and comparison of Key Performance Indicators and the Net Promoter Score in each country, using the same parameters. The implementation of a unified Enterprise Resource Planning system leads to a significant cost reduction and has a positive impact on the financial indicators reported on the stock exchange. This study highlighted the importance of the implementation of an effective ERP system, to make the development of organizations sustainable.Web of Science108art. no. 291

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