The Impact of ERP Deployment on Organizational Performance: A Challenge for Management


Harun, Sharbani and Dorasamy, Magiswary and Ahmad, Abdul Aziz (2022) The Impact of ERP Deployment on Organizational Performance: A Challenge for Management. In: Postgraduate Social Science Colloquium 2022, 1 - 2 June 2022, Online.

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Background - Enterprise resource planning, also known as ERP, enhances a company's ability to maintain control over its commercial activities, which results in a competitive advantage for the company when combined with other competitive advantages. The implementation of ERP is frequently met with resistance from end-users because it disrupts their status quo. It is a difficult task to ensure that all of the company's business divisions use the same ERP system. Failure of ERP systems is always related to resistance to change by end-users. Methods - In this study, a single qualitative case study was used to study an event to understand the ERP system and natural phenomena better. The data for this study was gathered through a semi-structured interview. The researcher stopped data collection after 15 participants due to information saturation. Patterns and themes had already been identified in the documentary data before triangulation was performed. Results - End-user support is critical for the organisation's acceptance, daily operation, and use of a new ERP system. End users can only use the ERP system effectively when it is designed, trained and delivered appropriately. Implementation of an ERP system enhances both an organisation's capability and performance. Therefore, an evaluation of the ERP system after implementation is required to verify the organisation's performance and whether it has taken full advantage of the benefits of the ERP. Implementing the ERP system has enhanced the organisation's overall performance from a BSC perspective across all domains. This includes internal processes, customer service, learning and growth, excluding financial performance. Conclusion - Ongoing training, frequent use, and adequate resources for the new ERP system will improve acceptance and use, and thus overall organisational performance. Each of the identified thematic areas affects an organisation's capacity to use its ERP system effectively and efficiently to achieve the previously identified benefits. The study also found that STP organisations benefit from implementing an ERP system above the costs. Therefore, organisations can improve their planning for the future replacement of the ERP and /or refresh the benefits.

Item Type: Conference or Workshop Item (Paper)
Uncontrolled Keywords: Enterprise Resource Planning (ERP), Organisational Performance, Science & Technology Park (STP), Post-implementation, Malaysia, End User Behaviour
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD101-1395.5 Land use. Land tenure > HD1361-1395.5 Real estate business
Divisions: Faculty of Management (FOM)
Depositing User: Ms Suzilawati Abu Samah
Date Deposited: 11 Aug 2022 08:08
Last Modified: 19 Aug 2022 08:22


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