Premium Essay

Erp and Concerns Regarding Failures

In: Business and Management

Submitted By nanswap
Words 737
Pages 3
Abstract
This study firstly examines the current literature concerning ERP implementation problems during implementation phases and causes of ERP implementation failure. A multiple case study research methodology was adopted to understand “why” and “how” these ERP systems could not be implemented successfully. Different stakeholders (including top management, project manager, project team members and ERP consultants) from these case studies were interviewed, and ERP implementation documents were reviewed for triangulation. An ERP life cycle framework was applied to study the ERP implementation process and the associated problems in each phase of ERP implementation. Fourteen critical failure factors were identified and analyzed, and three common critical failure factors (poor consultant effectiveness, project management effectiveness and poo555îr quality of business process re-engineering) were examined and discussed. Future research on ERP implementation and critical failure factors is discussed. It is hoped that this research will help to bridge the current literature gap and provide practical advice for both academics and practitioners.
Keywords: Critical Failure Factors, ERP Implementation, ERP Life Cycle. 1. Introduction
An ERP system is an integrated software solution, typically offered by a vendor as a package that supports the seamless integration of all the information flowing through a company, such as financial, accounting, human resources, supply chain, and customer information (Davenport, 1998). ERP implementation is a lengthy and complex process, and there have been many cases of unsuccessful implementations (Parr and Shanks, 2000), which have had major impacts on business performance. As ERP plays a very important role in business, ERP implementation and its critical issues, success factors and implementation problems have been investigated in the...

Similar Documents

Premium Essay

Cisco

...Secondly, the management would hesitate to become engaged in the IT process born out of concerns about the types of “mega-projects” that ERP implementations often became. They concerns about project size. They thought the participation in the ERP implementation project would too monolithic and time-consuming and there were no needs to do the implementation all at once and no needs for a single integrated replacement of all the applications in the beginning. However as the separated project or the systems...

Words: 1462 - Pages: 6

Premium Essay

Cisco Case Study

....: Implementing ERP Introduction Cisco Systems Inc. was founded in 1984 by two of Stanford University’s computer scientists. In 1990, a matter of just six years from the start-up date, Cisco became publically traded. With the massive growth of Internet Technologies, demand for Cisco products increased dramatically, resulting in Cisco dominating the marketplace. The contributing factor to Cisco’s dominating presence in the market is due to the company’s primary product, the “router”. This is a combination of hardware and software that acts as a traffic cop on the complex Transmission Control Protocol and Internet Protocol (TCP/IP) networks that make up the internet as well as corporate intranets. TCP and IP networks provided a robust standard for routing messages between LANs and created the potential to connect all computers on an ever-larger Wide Area Network (WAN). Financially, the company experienced consistent growth from July 30, 1995 up until July 25 1998. Using figures provided in Exhibit 1 of the case study, it can be calculated that Net Sales increased a whopping 279% from 1995-1998. The year 1997 proved to be a milestone for the company. It was the first year for the company to feature on the Fortune 500 list. Cisco was ranked among the top five companies in return on revenues and return on assets. Some industry pundits predicted Cisco would be third dominating company alongside Microsoft and Intel, to shape the digital revolution....

Words: 1220 - Pages: 5

Premium Essay

Net Working

...Starting in the late 1980s and the beginning of the 1990s new software systems known in the industry as enterprise resource planning (ERP) systems have surfaced in the market targeting mainly large complex business organizations. In many cases companies were forced to reengineer their business processes to accommodate the logic of the software modules for streamlining data flow throughout the organization. These software solutions, unlike the old, traditional in-house-designed company specific systems, are integrated multi-module commercial packages suitable for tailoring and adding “add-ons” as and when required. 2) Explain how organizations can plan for the ERP implementation to increase user acceptance and increase support for the new system. Many companies have realized impressive benefits by implementing ERP systems; however, the success of an ERP implementation is influenced by a great many factors. User involvement is one of the most cited, critical success factors in ERP implementation projects. Generally, when users are involved in the implementation, the end result will deliver a better fit in relation to...

Words: 6092 - Pages: 25

Premium Essay

Erp System Research Study

...Background of the Study An Enterprise Resource Planning (ERP) System has an enormous effect on a business which includes information sharing, business planning and decision making on an enterprise-wide basis, Therefore it allows each department to share information and communicate which greatly benefit for a more productive and effective business flow. ERP is one of the newest Information Technology System which is implemented on all KFC Restaurants around the world which is used to analyze and integrates all of business processes. Enhancing the customer relationship is one of the main features coming under the core objectives of every ERP system, the newest web-based system enables quick generation of inventory, sales and revenue report which is very effective for every QSR Restaurants including KFC. There are various modules in ERP system including Finance, Human Resource Management, Manufacturing, Project Management etc. KFC is a major quick serving restaurant (QSR) with stores located in 109 countries and territories around the world and serves over 12 million customers every day generating nearly $10 billion a year, Founded by Col. Harland Sanders and based in Louisville, Kentucky USA, it is now the world’s most popular chicken restaurant fast food chain specialized in Original Recipe, Hot and Crispy Chicken and freshly made chicken sandwiches. KFC is part of Yum!...

Words: 4927 - Pages: 20

Premium Essay

Reengineering: the Broadway Café

...Running header: THE BROADWAY CAFE Lloyd Wayne Murphy Reengineering: The Broadway Café Strayer University Professor Eve Yeates WINTER CIS 500 March 10, 2012 Abstract A customary coffee lovers rendezvous in the heart of academia stands The Broadway Café arose established in 1952, by my grandfather neighboring the open campus of the University of Texas (UT), Austin, Texas, and my grandfather in his last will and testament rendered the ownership of café as a bequest to me upon his passing. The eatery had under his stewardship presented its clientele with a repertoire of superlative cuisine, exotic beverages over the years, as well as a rendering of an assortment of specialty coffees, teas, and a complete bakery, offering a plethora of pastries, assorted sandwiches, salads, and potages. The issue stands as to whether the eatery can arise to stand as a financial windfall or fall into a financial dilemma. However, my grandfather possessed exceptional expertise in operating the eatery, the eatery’s nontechnological business operations remain today in the same manner as they did in 1952. Consequently, the eatery had incurred a progressive decline of five years of clientele. The eatery possesses no computers: the eatery’s orders take place by hand, or maintain a Web site: thus, consequently, the marketing occurred via the eatery’s clientele. The eatery’s promotion coupons occurred via pamphlets and newspaper clip outs, the eatery’s payroll, and inventory......

Words: 5996 - Pages: 24

Premium Essay

Edi Technology

...Levary Abstract Enterprise Resource Planning (ERP) is one of the major issues the modern-day entrepreneurial world. This paper discusses ERP in details and extensively. The paper introduces ERP by giving background information, discusses the evolution of ERP systems, analyses the advantages and limitations of ERP systems, and concludes by giving a summary of the important aspects of ERP discussed. Enterprise resource planning in the global marketplace, advantages and limitations Introduction The entrepreneurial scene and global market have become more vibrant in the recent years, and for this reason, there have been debates and concerns on how enterprises and companies should enhance their competitiveness and agility. The greatest concern in the business world is profitability, and in accomplishing this, enterprises have put in place strategies and measures that gradually help make strides towards the desired direction. Another primary focus of enterprises is to see an improvement of their business agility and to accomplish this, enhancements have been made including efficiency of production, product and service quality, as well as response time to consumers. A fundamental aspect of the accomplishment of the mentioned enhancements and objectives is information technology. As much as its installation and implementation in enterprises is costly, the myriads of benefits that accompany it cannot be overlooked....

Words: 3324 - Pages: 14

Premium Essay

Cisco

....: Implementing ERP History of Cisco op yo Pete Solvik, Cisco Systems chief information officer (CIO), considered the last remaining line item of his ERP (Enterprise Resource Planning) implementation budget. Cisco had a history of rewarding performance with cash bonuses, but the amount allocated for rewarding the ERP team, over $200,000, was unprecedented. To be sure, they had delivered a lot in a time frame that no one had believed possible. It had not been easy either. The team members, Solvik included, had taken a risk in joining the project. Rewards should, and would, be generous. The size of the bonus pool, though, made Solvik think: they had done well, but how well? What had gone right? What had gone wrong? Given another project of this magnitude and risk, would they be able to do it again? No tC Cisco Systems, Inc. was founded by two Stanford computer scientists in 1984 and became publicly traded in 1990. The company’s primary product is the “router,” the combination of hardware and software that acts as a traffic cop on the complex TCP/IP1 networks that make up the Internet (as well as corporate “Intranets”). With the rise of Internet technologies, demand for Cisco’s products boomed and the company soon began to dominate its markets. By 1997, its first year on the Fortune 500, Cisco ranked among the top five companies in return on revenues and return on assets. (See Exhibit 1 for Cisco’s financial performance.)...

Words: 9328 - Pages: 38

Free Essay

Cloud Computing and Erp Security

...|RESEARCH PROPOSAL | |On | |CLOUD COMPUTING AND SECUTITY | |Submitted | |for Ph.D. Approval | | | | | |By Mr. MBANZABUGABO Jean Baptiste(BE,MSSE,MCA) | TABLE OF CONTENTS ABSTRACT..................................................................................................3 1. INTRODUCTION........................................................................................4 1. GENERAL OBJECTIVE OF THE STUDY.................................................................................................. 5 2. SPECIFIC OBJECTIVES .......................................................................5 2. LITERATURE REVIEW ...........................................................................6 3.......

Words: 6240 - Pages: 25

Premium Essay

Changing Trends in It

...The research focuses on to gain in general understanding of SAP Sales and Distribution module of SAP ERP as a theoretical and real-world perspective. As increased efficiency in sales and distribution is a key factor to ensure that companies retain a competitive edge and improve both profit margins and customer service. “ERP – THE CHANGES TRENDS SALES AND DISTRIBUTION” Introduction In today’s competitive business...

Words: 3694 - Pages: 15

Premium Essay

Erp Security Management

...Anthony Wataka Accounting Information Systems Information Security Management within ERP Systems Research Paper Introduction This paper will discuss research on Information Security Management (ISM) within Enterprise Resource Planning (ERP) Systems since information security continues to be a hot topic in the business world. The major focus of the paper will be threefold: an analysis of the ERP systems in the present day, a relation of these systems to the accounting and auditing world, and finally, the future of the technology, given its vast impact in the business world. Notable ERP Systems Research Key research pertinent to this paper includes the works of Grabski et al. (2011) who discuss various issues relating to the security environment, as regards the ERP systems. They talk about the risk associated with ERP systems implementation and define it as a “problem that has not occurred but has the potential to cause loss” (Grabski et al. 2011, p. 55). They mention that there is a need for ERP audit techniques, such as embedded audit modules, to control security risks (2011, p.55). This paper will utilize their research work to analyze auditing in an ERP environment by examining security risks and internal controls after ERP implementation. Additionally, Hunton et al. (2004) try to address the issue of risk associated with ERP systems, in the context of auditing (p.1-23)....

Words: 6202 - Pages: 25

Premium Essay

Bsuiness Intelligence

...Many top executives have made tough decisions and have made good decisions and poor decisions along the way regarding Business Intelligence. Business Intelligence (BI) is a term that refers to a variety of software applications used to analyze an organization’s data. It is a discipline made up of several activities, including data mining, analytical processing, query and report writing. This paper will discuss two Business Intelligence case studies and lessons learned from the studies regarding creating, implementing, and using business intelligence. LESSONS LEARNED Reviewing Marshfield Clinic’s early investment in an electronic patient records system is a concern. Although many clinics are turning to electronic patient records now, an early investment may mean that the system they elected to implement is not capable with newer technologies that management may want to incorporate in the future. Not anticipating changes and making preparations for it could cause issues later. Because this system has been utilized by the clinic for a period of time, did they take into consideration the increasing amount of patient information? Data storage has emerged as a major challenge when you consider the expanding volume of patient data and imaging (http://www.healthcareitnews.com/news/6-keys-data-storage). It does not sound as though it was tested and not all the users were considered when the electronic patient records system was selected and implement because ad hoc query tools...

Words: 1046 - Pages: 5

Free Essay

Enterprise Resource Planning Software of the Cloud Information Technology Essay

...For the purposes of this paper, we will focus on a specific module of ERP running on a specific model in cloud computing. Due to the immense scope of ERP and cloud computing, it is nearly impossible for us to capture the entirety of ERP on all three...

Words: 7153 - Pages: 29

Premium Essay

Strategic Management

...In this effort, implementation of information technologies and systems such as enterprise resource planning (ERP) facilitate the desired level of integration. There are cases of successful and unsuccessful implementations. The principal reason for failure is often associated with poor management of the implementation process. This paper examines key dimensions of implementation of ERP system within a large manufacturing organisation and identifies core issues to confront in successful implementation of enterprise information system. A brief overview of the application of ERP system is also presented and in particular, ERP software package known as SAP R/3, which was the ERP software package selected by Rolls-Royce plc. The paper takes an in-depth look at the issues behind the process of ERP implementation via acasestudy methodology. It focuses on business and technical as well as cultural issues at the heart of the Rolls-Royce implementation. The casestudy also looks at the implementation time scales and assesses the benefits from the project both tangible and intangible. Keywords * ERP; * Information systems; * Implementation; * Success factors; * Rolls-Royce Enterprise information systems project implementation: A case ... — Document Transcript * 1. ARTICLE IN PRESS Int. J. Production Economics 87 (2004) 251–266 Enterprise information systems project implementation: A case study of ERP in Rolls-Royce Yahaya Yusufa,*, A. Gunasekaranb, Mark S....

Words: 9387 - Pages: 38

Premium Essay

Marketin

...Production Economics 87 (2004) 251–266 Enterprise information systems project implementation: A case study of ERP in Rolls-Royce Yahaya Yusufa,*, A. Gunasekaranb, Mark S. Abthorpec a Business School, University of Hull, Hull HU6 7RX, UK Department of Management, University of Massachusetts, 285 Old Westport Road, North Dartmouth, MA 02747-2300, USA c Department of Mechanical and Manufacturing Engineering, Nottingham Trent University, Burton Street, Nottingham NG1 4BU, UK b Abstract Economic globalisation and internationalisation of operations are essential factors in integration of suppliers, partners and customers within and across national borders, the objective being to achieve integrated supply chains. In this effort, implementation of information technologies and systems such as enterprise resource planning (ERP) facilitate the desired level of integration. There are cases of successful and unsuccessful implementations. The principal reason for failure is often associated with poor management of the implementation process. This paper examines key dimensions of implementation of ERP system within a large manufacturing organisation and identifies core issues to confront in successful implementation of enterprise information system. A brief overview of the application of ERP system is also presented and in particular, ERP software package known as SAP R/3, which was the ERP software package selected by Rolls-Royce plc....

Words: 9058 - Pages: 37

Premium Essay

Erp, Enterprise Resource Planning

...Production Economics 87 (2004) 251–266 Enterprise information systems project implementation: A case study of ERP in Rolls-Royce Yahaya Yusufa,*, A. Gunasekaranb, Mark S. Abthorpec a Business School, University of Hull, Hull HU6 7RX, UK Department of Management, University of Massachusetts, 285 Old Westport Road, North Dartmouth, MA 02747-2300, USA c Department of Mechanical and Manufacturing Engineering, Nottingham Trent University, Burton Street, Nottingham NG1 4BU, UK b Abstract Economic globalisation and internationalisation of operations are essential factors in integration of suppliers, partners and customers within and across national borders, the objective being to achieve integrated supply chains. In this effort, implementation of information technologies and systems such as enterprise resource planning (ERP) facilitate the desired level of integration. There are cases of successful and unsuccessful implementations. The principal reason for failure is often associated with poor management of the implementation process. This paper examines key dimensions of implementation of ERP system within a large manufacturing organisation and identifies core issues to confront in successful implementation of enterprise information system. A brief overview of the application of ERP system is also presented and in particular, ERP software package known as SAP R/3, which was the ERP software package selected by Rolls-Royce plc....

Words: 9029 - Pages: 37