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For Office Use:

Grade

Business-to-Business Marketing - C

Group Assignment – 3

Topic: Economic Resource Planning.

SUBMITTED TO:

Prof. P.K Yadav.

SUBMITTED BY:

Group No. 3

Jayant Kushwaha (141119)

Jigna Jani (141120)

Karan Bellani (141121)

Karan Mehta (141122)

Krishnachandran B.M (141123)

Dated:

12th December, 2015.


Research Paper - 1

Assessing ERP post-implementation success at the individual level: Revisiting


the role of service quality:

Core Idea of Study

The study aims at investigating the different qualities of the implemented ERP system and what
is its effect from the end users perceptive. The authors have used information quality, system
quality and service quality as the factors to identify the effect.

Abstract

Over the past few decades, there have been changes in the way firms have started optimizing the
resources like man, money, material and machines and in order to do so they have started
implementing the ERP systems. An extensive literature prove that 57% of the companies have
failed to adopt the ERP system and 67% have not yet understood the benefits of a software that
cost ranging from 15 million to 300 million$. The authors try to establish a relationship that there
exist relation between information quality, system quality and service quality as ERP is a
complex system to adopt and only one adoption is not enough to take the system apart. The
authors have addressed two research gaps they are trying to study in this literature. The first gap
understands the extensive need of the end user for ERP and its relationship. The second gap that
the authors address is whether there is lack of understanding regarding the three qualities that are
essential for implementing ERP. The author have used D&M IS success model in order to study
the relationship and have studied 151 end users to arrive to conclusion that yes the three qualities
have significant effect on the implementation as well as post implementation stage of ERP.

Methodology

The research was through a well-designed questionnaire which was reviewed by the experts and
academician specially in ERP consulting and its implementation. The responses were taken from
single organization end users and hence to avoid the common bias towards the responses, author
ensured the anonymity of the responses as well as used multiple items for each construct by
using common wordings. Moreover the authors took responses from a large high-tech
manufacturing company in Taiwan as these were the companies that made maximum use of the
ERP system and were accustomed in using this complex system.

Effects on Business Practices

ERP is not a cheap technology to adopt and the way firm have been lining up to adopt ERP
systems is alarming as per the authors. ERP is perceived as a way to count down cost drastically
but the authors feel that many companies in order to do so have invited troubles. The authors say
ERP is most complex software existing and in order to apply the software successfully,
companies will not only have to upgrade their system quality but also service and information
quality. ERP is system that works hand in hand with all three and improper implementation of
any of the three will not give the expected what so ever the case may be. ERP is a system that
works on information which are linked with the system in order to optimize the resources. After
this research, I feel that companies will think before making an haphazard decision of
implementing the ERP and would rather invest in developing the three factors first so that they
can adopt ERP later on.

Changing Business Practices

ERP is the software that deals with all the resources together and hence is a much complex
system to handle. Owing the research, the shortcomings and the difficulties that firms faced
while implementing the system companies have rather started taking individual system catering
to each resource and focus on optimizing a single resource. For example, in order to cater to
sourcing problem and irregularity, firms have started adopting JIT system as well as lean
manufacturing system which are comparatively easy to handle and manage. In order to save the
material cost and inspection cost, companies have started adopting TQM system which is also
easy to adopt. Hence now rather than implementing one complex system, businesses have
adopted different systems for different purposes which are easy to monitor and implement. This
is the change marked in the business practices.
Research Paper - 2

Cloud ERP: A new dilemma to modern organizations?

Core Idea

As every technology moves towards cloud, naturally following the same trend in the market,
many ERP vendors starting providing cloud based ERP solutions. The core idea this research
paper deals about is what all benefits and challenges an organization face with the adoption of
cloud ERP. The comparison is on premise ERP vs cloud ERP.

Abstracts of the article/s

The trend towards companies’ adoption ERP is increasing during these two decades. Combining
that with emergence of cloud computing technology in late 2000s, have led to ERP vendors also
started providing ERP solutions which are operated on cloud. Now, increasing number of
companies increasingly started having their ERO applications and database in cloud. These
migrations have lot of opportunities and challenges. This journal analyse these benefits and
challenges an organization face, when the try to adopt cloud ERP. This is done through
conducting in-depth interview from 16 ERP and cloud consultants. The benefits found to be
increased mobility, enhanced system speed and performance and effective system upgrade and
enhancement. The challenges majorly faced would be data privacy, data security and vendor
lock-in.

Methodology used in the article/s

The research conducted is an exploratory research. In-depth method is used to collect data. The
interview is conducted to IS and ERP consultants working in IT field, the main reason being
their profound knowledge in this relatively new technology compared to ERP users. 16
consultants who all have many years of IT experience, from a leading IT consulting firm have
been interviewed. Unstructured form of interview is conducted.
Effect of this article in business practices:

As it is evident in current times that, cloud is the next technology; and every organization will
move to cloud ERP sooner or later. This journal gives a good insight for those organizations to
what all to be concerned during migration from existing on-premise ERP to cloud ERP. Most of
the vendors pitch only about the benefits their clients get on adopting cloud ERP, but this paper
gave a direction for them to look for places where there might be potential risk, and where all
more focus to be given. Also, this paper tell about different industry, and if the cloud ERP
technology is matured to serve them. So, company can judge themselves for suitability for if they
can go for cloud ERP.

Change of Domain Knowledge over period of time

Over period of time, as discussed in the paper, and quoted in the paper’s literature review, the
technology of cloud ERP started during late 2000s. In initial phase very few organizations
adopted it, so cloud ERP also matured very slowly. Also, it is not widely adopted in all
industries. So the maturity in cloud ERP is not same in all industries. ERP started in early 1990s
and it is adopted in thousands of organizations, and it is in a mature stage in most of the industry,
and the competition is also fierce between different vendors of ERP. Many of those vendors also
caught up with cloud ERP trend, and started providing services based on cloud. This technology
also locks organizations to vendors. So vendors are trying to sell this to most of the new
customers. In short, Cloud ERP evolved from theoretical concept to real SaaS (Software as a
Service).
Research Paper - 3

Do National Culture and Organizational Development Affect the Effectiveness


of ERP Implementation? A Tale of Two Cultures: US versus China

Core idea researched/explained

The core idea of research in this article is to find out the differences (if any) in the Enterprise
Resource Planning(ERP) implementation between organizations from different cultural
background.

Abstract of the article

Enterprise Resource Planning (ERP) has now become an important system in the organization
which helps in enhancing its competitiveness. As most of the previous ERP implementation
studies have focused on companies from more developed countries like US and European
countries, this research points out that there is need to examine the implementation process in
broader term across organizations from different cultural background, and to consider whether
cultural differences in the U.S. when compared to another culture can impact the process.In this
study, authors are more concerned with issues surrounding ERP implementation status and report
findings from managers of organizations in the U.S. and China on their experiences with ERP
implementation and attempt to suggest implications. In this study, authors believe that
organizational context, such as the market pressures that an organizations faces while
implementing ERP, their QM mature, and the organizational culture affects the complexity of the
ERP systems and the implementation experience. Additionally, the ERP systems complexity will
be related to the outcomes of ERP in terms of End-User Computing Success and
operational/strategic benefits. Finally, the ERP implementation experience will have impact on
End-User Computing Success and operational/strategic. The findings have been presented
mainly in the terms of cultural differences, especially in the context of reporting.
Methodology used in the article

The methodology used for this exploratory research. The interview is conducted with 250
Americans and 79 Chineseholding some or the other management position with atleast 9 years of
experience. 7 questions measure was used which are:

Research Question 1: There will be no differences in the U.S. vs. Mainland Chinasamples with
respect to Market Pressure, Organizational Culture, Use of TQM tools, ERPexperiences and ERP
Outcomes.
Research Question 2: Organizational context, such as market pressure, QM Maturity,
andorganizational culture, will affect ERP complexity for the U.S. and Chinesesamples.
Research Question 3: Organizational context, such as market pressure, QM Maturity,
andorganizational culture, will affect ERP implementation experience for the U.S. andChinese
samples.
Research Question 4: The complexity of the ERP systems will affect End-UserComputing
Success for the U.S. and Chinese samples.
Research Question 5: The complexity of the ERP systems will affect the operational
andstrategic benefits of ERP systems for the U.S. and Chinese samples.
Research Question 6: The ERP implementation experience will affect End-UserComputing
Success for the U.S. and Chinese samples.
Research Question 7: The ERP implementation experience will affect the operationaland
strategic benefits of ERP systems for the U.S. and Chinese samples.

The questions use a 6-point Likertscale – from 0 for “none” to 5 for “very great”. Exploratory
factor analysisproduced a single factor solution.

Effects on Business Practices

As it is viable from the results of this research, that managers from different cultures have
different experiences with culture, QM,ERP installation and performance. The context factors
are potentially important fororganizations searching for ways to improve their ERP effectiveness.
This research suggests anintriguing series of relationships between the two cultures and, which
indicates that furtherstudy could lead to an understanding of the potential cross cultural impacts
and could be helpfulto managers seeking competitiveness and researchers hoping to learn more
about ERP,organizations and quality.

Changing Business Practices

With ERP gaining popularity in other parts of the world and getting modifies according to the
need and culture of these organizations, surely it is affecting and changing the business practices.
The results indicate that the respondents from the U.S. sample seetheir ERP systems have
significantly higher levels of information and system quality and strategicbenefits than those
ERP systems from the Chinese sample. They also believed that theirorganizations have a higher
level of People-friendly Culture than those organizations in theChinese sample. The respondents
from the Chinese sample, on the other hand, believe that theirorganizations have a higher level of
use of Basic and Advanced TQM Tools and TQM Culture. Inaddition, the respondents from the
Chinese sample reported more training for their ERP systemsand more operational benefits by
the ERP systems than the US sample. So the degree to which this important system gets
importance depends on the culture of the organization. And obviously, this ERP implementation
is changing the business process in these Chinese organizations using it and there interaction
with other US companies.
Research Paper - 4

A bi-level constraint-oriented outsourcing framework for orchestration of an


ERP system:

Core Idea of Study

This paper presents a bi-level constraint-oriented outsourcing framework to identify any ERP
process that effectson the orchestration of an ERP system.

Abstract

The purpose of ERP is to facilitate the flow of information between all business functions
insidethe boundaries of the organization and manage the relations with outside stakeholders.
Indeed, ERPsystems integrate internal and external management information across an
organization, finance/accounting, manufacturing,sales and service orchestration and customer
relationship management. But statistics show that more than 70% of ERP implementations fail to
achieve their corporate goals. Therefore, theaim of this paper is to present a bi-level outsourcing
decision framework to identify the main constraints in an ERP system.A case studydemonstrates
the applicability of the proposed constraint-oriented outsourcing framework for orchestration of
ERPmodules and processes.

Methodology

With qualitative approach the methodology for this study was case study methodology. In this
the researchers have actually studies the ERP process in an American company in the business of
designing, manufacturing and marketing medical equipments. The main focus is to analyze the
contribution of the bi-level constraint-oriented outsourcingframework for orchestration of ERP in
these two terms: (1) development of the traditional constraints management from a crispsingle-
criteria environment to a fuzzy multi-criteria environment; and (2) development of a linear
programming technique formultidimensional analysis of preference (LINMAP) model to a fuzzy
group bi-level LINMAP model.
Effects on Business Practices

The theory of constraints (TOC) is a management paradigm that views any manageable system
(like ERP) as being limitedin achieving more of its goals by a very small number of constraints.
These constraints inhibit the organization from fully using the managerial software to its
potential.This leads to data containing cardinal preferences, may be unreliable and imperfect
sometimes. These data sometimes contain partiallyignorant facts. This affects the organization
from planning precisely as there’s difference in what they anticipate and what they really get.
TOC uses a focusing process to identify those constraints and restructure the rest of the
organization around it.

Changing Business Practices

This will surely change the business practices as now more mangers who are technological sound
are required. ERP is not just some software. It has updated/advanced and now it requires some
knowledge about technology otherwise it’s difficult to handle these kind of soft wares. The
boundary of the bi-level constraint-oriented outsourcing framework are being explored to
identify processes that effects on the external orchestration of customers,
suppliers,manufacturers, distributors and partners in an organization.
Research Paper – 5

An Assessment of Readiness Factors for Implementing ERP Based on Agility


(Extension of Mckinsey 7s Model):

Core Idea of Study

The,main,goal,of,the,present,study,was,to,identify,and,prioritize,organizational,readiness,factors,
for,implementing,ERP,based,on,organizational,agility.,The,main,purpose,of,this,research,was,to,
identify,readiness,factors,for,ERP,implementation,,to,extend,McKinsey 7S model, to determine
and rate agility criteria, and prioritize the nine factors of ERP implementation using fuzzy
hierarchical method and TOPSIS.

Abstract

In the present study, it has been seen that implementation of ERP systems have high failure rate
of projects. The organization should be able to respond with the changing scenario of market
condition efficiently and effectively to survive in this competitive environment. Basically there
are two important tools for achieving competitive advantages are ERP and agility. By describing
Mckinsey 7s Model (strategy, structure, systems, skills, style, staff, shared values) to 9S (7S+
self-evaluation and supportive factors) model) having agility criteria on weighted and rated so
that the maximum score can be obtained with speed, accountability and flexibility with fuzzy
logic approach. 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.” To change management and
develop strategies on the basis of priority which will help to implement ERP system with agility
approach with help of proposed framework.

Methodology

Organizational readiness factors in McKinsey model includes seven items as: structure, systems,
strategy, skills, staff, style and shared values. According to literature review and interviewing
with experts, two factors including self-evaluation and supportive factors were added to
McKinsey model. Moreover, agility criteria – based on literature review were determined as:
responsiveness, competency, flexibility, speed, and cost effectiveness. Therefore we want to
assessment the extended McKinsey model (9S) based on agility properties. A Flowchart of this
study is shown in figure below:
Effect of this article in business practices:
The study indicates lowest weight belongs to competency and the highest weight belongs to
responsibility. Moreover, in alternatives ranking, supportive and self-evaluation factors (added to
McKinsey model) are ranked the first and fourth places. Therefore it can be claimed that
McKinsey 7S model can be extended to 9S model, throughout perspective of Iranian managers.
It is a unique research. The key factors which had been rated by researchers was for the first time
in organizational readiness factors keeping the basis of priority. The results achieved in this
research can be used as reference and guideline by researchers and industrialists.

Change of Domain Knowledge over period of time:

Over a period of time, it was carried out to identify and rank organizational readiness factors for
implementing ERP based on agility and by extending McKinsey 7S model approach. So in this
research by reviewing organizational readiness models, organizational readiness dimensions for
implementing ERP were analyzed and finally it was revealed that McKinsey 7S model is more
comprehensive and complete.” “According to literature review from other references, it seemed
that self-evaluation, and supportive factors, are important factors that can play role in extending
McKinsey 7S model. Therefore, 9S model was used in next steps. Furthermore, by evaluating
agility and its criteria, five criteria as responsibility, flexibility, competency, speed and cost
effectiveness were identified as the main criteria of agility.””
Research Paper – 6

HOW DO ENTERPRISE RESOURCE PLANNING SYSTEMS AFFECT


FIRM RISK? POST-IMPLEMENTATION IMPACT:

Core Idea of Study

The core concept for this study was to find implications to policymakers and industrial consortia
as well. They have advocated enterprise IT applications as a digital firm infrastructure for the
better control of firm risk. A digital firm infrastructure ensures “availability of information
necessary to carry out day-to-day activities”, which feeds various stakeholders and decision
makers and is essential for controlling endogenous risks in business activities.

Abstract

The summarize view of enterprise resource planning system which can be able to reduce firm
risk which is the major type enterprise IT applications. Managing firm risk, or firm performance
volatility, is a key task for contemporary firms. Although information technology (IT) has been
generally viewed as an effective information processing tool that enables firms to better cope
with uncertainty, thus holding the potential to mitigate firm performance volatility, evidence to
support this view is lacking in the literature. It can help reduce firm risk and, in particular, we
argue that, to uncover the risk reduction effect of ERP systems, a research focus on the post-
implementation stage is needed. Based on a sample of 2,127 firm-year observations, we found
that ERP systems in the post-implementation stage were associated with reduced firm risk, and
that the risk reduction effect was stronger for ERP systems with a greater scope of functional and
operational modules, especially functional modules. “The study further found that, on average,
the risk reduction effect of ERP systems became greater when firms’ operating environments
feature higher uncertainty, while the risk reduction associated with fully deploying ERP system
modules seem to level off as environmental uncertainty increases. These findings extend our
understanding of the business value of ERP systems by shedding light on the risk reduction
benefit of ERP systems.”
Methodology

The study talks about the use of Compustat database to construct measures for firm risk and for
the control variables. It has used the Computer Intelligence (CI) database to construct measures
for the ERP variables. The sampling frame of the CI database was Fortune 1000 firms. After
combining the CI data with the Compustat database and computing the needed variables, their
final dataset included 2,127 firm-year observations during a 3-year period (2001–2003),
consisting of 981 unique firms. Manufacturing and service companies have been taken as a
sample for this study.

Effect of this article in business practices:


“The findings have implications to industrial consortia and policymakers as well. They have
advocated enterprise IT applications as a digital firm infrastructure for the better control of firm
risk. A digital firm infrastructure ensures “availability of information necessary to carry out day-
to-day activities” , which feeds various stakeholders and decision makers (e.g., senior managers,
directors, external monitoring and advising experts such as auditors) and is essential for
controlling endogenous risks in business activities. While these suggestions were made by
industrial consortia based mainly on case studies, our work offered evidence (that ERP systems
reduce firm risk) by using a systematic research design and a large dataset from Fortune 1000
firms. The study has thus offered strong evidence corroborating the advice by the industrial
consortia.”

Change of Domain Knowledge over period of time:

With a changing period of time, although prior researchers have examined ERP system impacts
on firm performance, the new evidence of ERP system impacts on firm performance volatility
extends our understanding of the business value of ERP systems. The results revealed how the
risk reduction effect of ERP systems varied across systems consisting of different scopes of
modules, and how environmental uncertainty moderated the risk reduction effect of ERP
systems. Situated in the broader literature of firm risk and IT investment, our findings
highlighted the view that, after go-live, IT in general and enterprise systems in particular can be
instrumental in reducing firm risk.
Research Paper – 7

Lean production and ERP systems in small and medium sized enterprises:
ERPsupport for pull production

Core Idea of Study

This paper aims to examine ERP support functionality for lean production in SMEs through a
multiplecase-study approach. In this also, main focus will be on lean practices that help to realise
pull, one of the essentialelements of lean production.

Abstract

Lean manufacturing is a proven method of increasing productivity, as is the application


ofenterprise resource planning (ERP) systems. In fact, lean production and ERP systems are
consistently rated inmanufacturing improvement surveys as the two most important strategies
utilized by manufacturers attempting tocompete for sales and profits in global markets.
Therefore, lean production andERP co-exist in many companies today, but there is an ongoing
argument in the scientific literature as to whetheror not ERP systems can be used to support lean
production principles, particularly pull production. Byapplying a multiple-case-study approach,
authors try to assess the functionality offered by ERP systems to support pull production. Their
major focus was on the application of leanproduction and ERP within small- and medium-sized
enterprises, as in these companies decisions on lean andERP are generally made by the same
decision maker, which improves construct validity.

Methodology

A qualitative approach has been adopted in this study, as the main aim is to provide an in-depth
analysis of the supportfunctionality for pull production offered to SMEs, by contemporary ERP
systems. As the research questions were how-type questions and as the focus of the project was
on contemporary phenomenon within a real life context, author chose to carry out multiplecase-
study research. The goal in case study research is analytic generalisation and not statistical
generalisation. One drawback of this methodology is however its time-consuming nature, which
makes it necessary to limitthe number of studies. We therefore restrict the investigation to four
actual case studies. Any detrimental effect ofsmall sample size was however mitigated by
applying explicit criteria in the selection of the cases.

Effects on Business Practices

This study has explored the support functionality offered by contemporary ERP systems for pull
production in thecontext of SMEs and has made two main contributions. Firstly, the companies
have started to have developed a capability maturity model ofERP support for pull production
based on workload control theory. This is used to evaluate the level ofsupport offered by
contemporary ERP systems for pull production and also to identify improvement areas.

Changing Business Practices

From the majority of the case studies identified in this investigation, that production
managers,particularly in SMEs, have started to use ERP more effectively both with and without
bolt-on applicationsin order to plan and support pull production practices. This is in contrast to
larger organizations, where decisions regarding ERP systems are usually made by the IT
function, and decisions regarding lean are more often related to the production and quality
departments.
Research Paper – 8

DEVELOPING AND ASSESSING ERP COMPETENCIES: BASIC AND


COMPLEX KNOWLEDGE

Core Idea of Study

The research paper is to investigate the complex and basic knowledge which influences the
development of competent ERP end-users. It uses ERP simulation to find out whether student
GPA plays role in predicting ERP competency. It highlights critical role of the complex
knowledge on the ERP competency.

Abstract:

It studies the influence of competency task performance of individual knowledge mastery of


Enterprise Resource Planning (ERP) learners. In this research design the participants were
assessed on ERP competency, each played four games of ERPsim. The result of the research was
that reported students GPA is not predictor of ERP competency.
ERP has future knowledge mastery and results indicate that CGP of students is not predictor of
ERP competency. While mastering basic ERP knowledge does not predict the competency of the
participants, these results can provide useful guidelines with respect to teaching and assessment
practices, as well as the development of ERP curricula. To effectively prepare learners to be able
to perform in authentic learning contexts, instructors could emphasize the mastery of complex
knowledge and consequently use complex knowledge test questions as a component of the
instruction.
Methodology:

Erpsim: a computer-based simulation used as a research tool to assess a learner’s erp


competency Participants of the simulation where provided a artificial interactive erp system. In
which they can take real life decisions of their company as it resembled real software. They must
monitor profitability and make strategic decisions on base of information provided by the ERP
software. Participants were 120 business school students that are member of SAP alliance.

Effects on Business Practices

This article focuses on the research of the applicability of the ERP. It is investigates the
complexity and applicability of the ERP software. ERP is used by all the top notch and SME’s
companies nowadays so it is very important to understand the application of the software. The
ERPsim developed over here is also most important simulation used by various industry experts
to learn the software and try it in real life.

Changing Business Practices

After ERP various improvement is going on in increasing its functional areas so the customer
only takes what it wants. It has expanded into SCM, HRM, CRM, Financial accounting,
manufacturing, PLM, PRM, data services and much more. So the companies can adopt specific
software for their requirement and increase their efficiency in that particular area instead of
whole of the ERP implementation. We also have now two-tier ERP. Companies are coming with
the customisation of the available ERP software according to the need of the specific customer.
Various bolts and third party extentions are also available to reduce wastage and increase
efficiency. Development is taking in major four areas: more flexible ERP, Web-enabled ERP,
inter-enterprise ERP, and e-business suites.

Research Paper – 9
Critical Success Factors in Enterprise Resource Planning (ERP) System
Implementation: An Exploratory Study in Oman

Core Idea:
There are various benefits of the ERP system as the reason why company implement it. But there
are various losses by the company. The research showed that 34% company were satisfied with
the ERP system , 28% implemented it with failures and 90% implemented ERP late with huge
expenditure more than expected. Moreover 25% money invested in it was waste and only 75%
was utilised. Most of the companies used between 50-75% of the ERP functionalities. The 80%
of the companies were not able to achieve business objective with ERP. It is also difficult to
predict exact number of the CSF for ERP implemnteation. So this research focuses on finding the
number of CSF required to be considered while implementing ERP so that the system is used
more effectively and wastage reduces. ERP system passes through three main stage of life cycle
that includes pre-implementation stage, implementation stage and post-implementation stage. So
author found 10 CSF which are important from the 20 CSF in the literature review done by him
they are Top Management Support, User Involvement, Clear Goals & Objectives, Strategic IT
Planning, User Training & Education, Vendor Support, Teamwork & Composition, Project
Champion, Monitoring & Evaluation of Performance, and Education on new Business Processes.

Abstract:
The ERP system has been the subject of much academic discussion in recent times. The impact
that a successful implementation can have on an organization cannot be overstated. The factors
which are crucial to the successful implementation of an ERP system are commonly known as
Critical Success Factors (hereinafter CSFs). This study investigated the CSFs that play a crucial
role during the implementation process in Omani organizations. Moreover, it identified the CSFs
that are most important in ensuring a successful ERP system implementation. The survey was
distributed to 35 enterprises using an ERP system. The managers of those enterprises identified
10 CSFs as the most important.

Methodology:
A survey is done with the questionnaire of the five point likert scale where 35 enterprises were
asked the importance of various CSF in ERP implementation. CSFs had 30 items and measure
of ERP implementation included 9 items. Only 19 questionnaire were returned by enterprises
other were busy. This company implemented ERP for more than 3 years successfully so the data
was authenticated.

Effects on Business Practices

The number of CSF factors helps in defining the project scope of the paper and it is important for
the company to define it in its initial stage for successful implementation of the ERP software
with efficiency. It says the need of the customer and what it expects from the software. So it
clearly has t be defined to reduce the failure rate.

Changing Business Practices

No of other authors who studied same factor and searched for important CSF found various other
important as well. Such as top management support and involvement, clear goals, objectives
and scope, project team competence and organization, user training and education, business
process reengineering (BPB), change management, effective communication, user involvement,
data analysis and conversion , consultants, project management , project champion, architecture
choice (package selection) , minimal customization. Those factors which were not discussed
more and can be prioritised later in the list are: legacy system management, methodology of
project, effective control, interdepartmental cooperation, management of expectations, dedicated
resources, steering committee, package selection, organization culture, vendor partnership,
vendor tools, system integration and testing, knowledge transfer, performance measures, etc
Research Paper – 10

DETERMINATION OF EFFECTIVE CRITICAL SUCCESS FACTORS IN


SUCCESSFUL IMPLEMENTATION OF ERP BY USING FUZZY
DEMATEL METHOD

Core Idea:
This articles show cases the benefits of the ERP implementation and how only 10% company is
implementing it in within budget. 90% of the company do it with over budget and also do not
realize its benefits fully with un foreseen the project scope rather than project failure. Decision
Making Trial and Evaluation Laboratory (DEMATEL) is used to find solution by using ordinary
information processing procedure. But ordinary values are taken in vague environment and can
result in uncertainty. Fuzzy logic is used here to handle uncertainty and vagueness of the
decision making. So the author in his study identifies 8 CSFs highly important in decision
making. Here other relationships can also be found out in relation to the CSFs.

Abstract

Successful Enterprise Resource Planning (ERP) implementation is very important issue in


today’s globalized world trade and depends on paying high attention on critical success factors
(CSFs) affecting ERP implementation. In our study, we analyzed 8 CSFs by using fuzzy
DEMATEL methodology which serves a highly effective structural decision making system for
modeling cause and effect relationships. Among 8 CSFs, top management support and project
team leader who commit himself/herself to ERP implementation success are found to be the most
important factors that influenced other factors. This study is the first reference in the literature
which uses a fuzzy DEMATEL technique in determination of effective CSFs in implementation
of successful ERP.
Methodology:

Fuzzy logic DEMATOL method was used. It gathers group of information and visualise casual
relation of the criteria through the graphical diagram. It has 7 basic steps objectives to be
achieved, opinions of the decision makers on likert scale, analyse the answers and casual
diagram is constructed after finding the various relationships.

Effects on business practice:

ERP software implementation has higher failure rate and so CSFs of the customer needs to be
redefine and what is most important in them. ERP implementation has high cost involved, huge
risk, time invested as they are strategic, big and complex. So this article helps in understanding
various CSFs and to search out for most important so that the company can focus on them and
complete implementation in short duration with less failure and more efficiency with reduced
cost of implementation.

Change in business practices

This article is written in 2015 by studying various other literature review and papers so it finds
correct position in the industry for CSF scope. The various change in domain knowledge is given
in the paper. Now we found Key success factors the result still turns out to be same in latest
study just there is a little difference now in the priority list of the CSFs such as top management
support, user training and software, interdepartmental communication and cooperation and
project team competence.
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