Factors influencing selection and effective implementation of ERP systems in medium sized organizations in developing countries

Samudaya Nanayakkara, Prasad Perera, Asoka Perera

Research output: Contribution to journalArticle

Abstract

Information Technology (IT) and Information Systems (ISs) compose a critical role in today’s business environment. Enterprise Resource Planning (ERP) systems are the most cutting-edge IS in present business environment. By bringing a company’s different functions together into one large integrated system, an ERP system creates a plethora of opportunities for growth and increased productivity. Medium sized enterprises in the developed world are well ahead in their usage of ERP systems. However, the available studies pertaining to the use of ERP systems in developing countries reveal that, the medium scaled businesses in Sri Lanka are far behind in adaptation of ERP systems. Literature reveals that there are many significant contributing factors that effect selecting and implementation of ERP systems in medium sized organizations in developing countries. This research tries to make a new knowledge of factors of success of implementation and adaptation of ERP systems. The research is mainly based on qualitative research methodology. Primary data were collected from medium sized industry and their Information Technology (IT) experts though interviews. The objective of using the qualitative research was to find out common and main barriers and its’ effect to implementation and adaptation of ERPs. Furthermore, secondary data such as Literature was also contributory to the main outcome and results. Influencing factors that analysis research results give new way of rationale for selecting and implementation of ERP systems in medium sized companies in developing countries. Results in summary; higher influencing factors for selecting process are Vendor/Software Reputation, Align with Business Function, Cost and C-level Officers' countenance . And as this research shows that, important factors influencing success of implementation and adaptation of ERPs are Align with Business Function, Availability of Domain Expert, Support & Training, Usability and User friendliness, Level of Customization, Vendor-Employee Interaction, C-level Officers' countenance and Implementation team. In other words this research shows that not only a single IT domain’s factors can influence to success of ERP selection and implementation and it is essential to manage modern processes with interdisciplinary comprehension.
Original languageEnglish
Pages (from-to)7-14
Number of pages8
JournalInternational Journal of the Computer, the Internet and Management
Volume21
Issue number2
Publication statusPublished - May 2013
Externally publishedYes

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