A study of the ERP Project Life Cycles in Small-and-Medium–Sized Enterprises: Critical Issues and Lessons Learned
The purpose of this research is to increase our
knowledge as regards how Small-and-Medium-Sized Enterprises
(SMEs) tackle ERP implementation projects to achieve successful
adoption and use of these systems within the organization. SMEs
have scare resources to handle these kinds of projects which have
proved to be risky and costly. There are several studies focusing on
ERP implementation in larger companies, however, few studies
report on challenges experienced by SMEs. Our research seeks to
bridge this gap. Through a multiple case study of four companies, we
identified challenges and critical elements within the different phases
(pre-implementation, implementation and post-implementation) of
the ERP life cycle. To interpret our findings, we utilize a well-know
ERP life cycle model and critical success factors developed for larger
companies which are reported in former research literature. We
discuss if these models are relevant for SMEs and suggest additional
critical elements identified in this study to make a framework more
adapted to the SME context.
[1] Davenport, T.H., Putting the Enterprise into the Enterprise System.
Harvard Business Review. vol. 76(4), 121-131 (1998)
[2] Akkermans, H. and K. Van Helden, Vicious and virtuous cycles in ERP
implementation : a case study of interrelations between critical success
factors. European Journal of Information Systems. vol. 11(1), 35-46
(2002)
[3] Ross, J.W. and M.R. Vitale, The ERP Revolution: Surviving vs.
Thriving. Information Systems Frontiers. vol. 2(2), 233-241 (2000)
[4] Volkoff, O., D.M. Strong, and M.B. Elmes, Technological
Embeddedness and Organizational Change. Organization Science. vol.
18(5), 832-848 (2007)
[5] Somers, T. and K.G. Nelson. The Impact of Critical Success Factors
across the Stages of Enterprise Resource Planning Implementations.
Proceedings of HICCS (2001)
[6] Somers, T.M. and K.G. Nelson, A taxonomy of players and activities
across the ERP project life cycle. Information & Management. vol.
41(3), 257-278 (2004)
[7] Sun, A.Y.T., A. Yazdani, and J.D. Overend, Achievement assessment
for enterprise resource planning (ERP) system implementations based on
critical success factors (CSFs). International Journal of Production
Economics. vol. 98(2), 189-203 (2005)
[8] Fisher, D.M., et al., Evaluating Mid-level ERP Software. Journal of
Computer Information Systems. vol. 45(1), 38-46 (2004)
[9] Chen, R.-S., et al., Role Negotiation and Interaction: An Exploratory
Case Study of the Impact of Management Consultants on ERP System
Implementation in SMEs in Taiwan. Information Systems Management.
vol. 25(2), 159 - 173 (2008)
[10] Markus, M.L. and C. Tanis, The enterprise systems experience - from
adoption to success, in Framing the Domains of IT research: Projecting
the future...through the past, R.W. Zmud, Editor, Pinaflex Educational
Resources: Cincinatti OH. pp. 173-207 (2000)
[11] Esteves, J.M. and J.A. Pastor, An ERP Life-cycle-based Research
Agenda, in First International workshop in Enterprise Management and
Resource Planning: Methods, Tools and Architectures - EMRPS-99:
Venice, Italy. pp. 359-371 (1999)
[12] Aloini, D., R. Dulmin, and V. Mininno, Risk management in ERP
project introduction: Review of the literature. Information &
Management. vol. 44(6), 547-567 (2007)
[13] King, S.F. and T.F. Burgess, Beyond critical success factors: A dynamic
model of enterprise system innovation. International Journal of
Information Management. vol. 26(1), 59-69 (2006)
[14] Donovan, R.M. Successful ERP implementation first time. 1999 [cited
2011 Jan 5]; Available from:
http://www.inventoryinc.com/pdf/perfor8.pdf.
[15] Ross, J., Dow Corning Corporation: business processes and information
technology. Journal of Information Technology. vol. 14(3), 253-266
(1999)
[16] Strong, D. and O. Volkoff, Understanding Organization-Enterprise
System Fit: A Path to Theorizing the Information Technology Artifact.
MIS Quarterly. vol. 34(4), 731-756 (2010)
[17] Moon, Y., B., Enterprise Resource Planning (ERP): a review of the
literature. International Journal of Management and Enterprise
Development. vol. 4(3), 235-264 (2007)
[18] Walsham, G., Doing Interpretive Research. European Journal of
Information Systems. vol. 15(3), 320-330 (2006)
[19] Miles, M.B. and A.M. Huberman, Qualitative data analysis: an expanded
sourcebook. Thousand Oaks, California: Sage (1994)
[20] Kvale, S. and S. Brinkmann, Interviews: learning the craft of qualitative
research interviewing. Los Angeles, Calif.: Sage (2009)
[1] Davenport, T.H., Putting the Enterprise into the Enterprise System.
Harvard Business Review. vol. 76(4), 121-131 (1998)
[2] Akkermans, H. and K. Van Helden, Vicious and virtuous cycles in ERP
implementation : a case study of interrelations between critical success
factors. European Journal of Information Systems. vol. 11(1), 35-46
(2002)
[3] Ross, J.W. and M.R. Vitale, The ERP Revolution: Surviving vs.
Thriving. Information Systems Frontiers. vol. 2(2), 233-241 (2000)
[4] Volkoff, O., D.M. Strong, and M.B. Elmes, Technological
Embeddedness and Organizational Change. Organization Science. vol.
18(5), 832-848 (2007)
[5] Somers, T. and K.G. Nelson. The Impact of Critical Success Factors
across the Stages of Enterprise Resource Planning Implementations.
Proceedings of HICCS (2001)
[6] Somers, T.M. and K.G. Nelson, A taxonomy of players and activities
across the ERP project life cycle. Information & Management. vol.
41(3), 257-278 (2004)
[7] Sun, A.Y.T., A. Yazdani, and J.D. Overend, Achievement assessment
for enterprise resource planning (ERP) system implementations based on
critical success factors (CSFs). International Journal of Production
Economics. vol. 98(2), 189-203 (2005)
[8] Fisher, D.M., et al., Evaluating Mid-level ERP Software. Journal of
Computer Information Systems. vol. 45(1), 38-46 (2004)
[9] Chen, R.-S., et al., Role Negotiation and Interaction: An Exploratory
Case Study of the Impact of Management Consultants on ERP System
Implementation in SMEs in Taiwan. Information Systems Management.
vol. 25(2), 159 - 173 (2008)
[10] Markus, M.L. and C. Tanis, The enterprise systems experience - from
adoption to success, in Framing the Domains of IT research: Projecting
the future...through the past, R.W. Zmud, Editor, Pinaflex Educational
Resources: Cincinatti OH. pp. 173-207 (2000)
[11] Esteves, J.M. and J.A. Pastor, An ERP Life-cycle-based Research
Agenda, in First International workshop in Enterprise Management and
Resource Planning: Methods, Tools and Architectures - EMRPS-99:
Venice, Italy. pp. 359-371 (1999)
[12] Aloini, D., R. Dulmin, and V. Mininno, Risk management in ERP
project introduction: Review of the literature. Information &
Management. vol. 44(6), 547-567 (2007)
[13] King, S.F. and T.F. Burgess, Beyond critical success factors: A dynamic
model of enterprise system innovation. International Journal of
Information Management. vol. 26(1), 59-69 (2006)
[14] Donovan, R.M. Successful ERP implementation first time. 1999 [cited
2011 Jan 5]; Available from:
http://www.inventoryinc.com/pdf/perfor8.pdf.
[15] Ross, J., Dow Corning Corporation: business processes and information
technology. Journal of Information Technology. vol. 14(3), 253-266
(1999)
[16] Strong, D. and O. Volkoff, Understanding Organization-Enterprise
System Fit: A Path to Theorizing the Information Technology Artifact.
MIS Quarterly. vol. 34(4), 731-756 (2010)
[17] Moon, Y., B., Enterprise Resource Planning (ERP): a review of the
literature. International Journal of Management and Enterprise
Development. vol. 4(3), 235-264 (2007)
[18] Walsham, G., Doing Interpretive Research. European Journal of
Information Systems. vol. 15(3), 320-330 (2006)
[19] Miles, M.B. and A.M. Huberman, Qualitative data analysis: an expanded
sourcebook. Thousand Oaks, California: Sage (1994)
[20] Kvale, S. and S. Brinkmann, Interviews: learning the craft of qualitative
research interviewing. Los Angeles, Calif.: Sage (2009)
@article{"International Journal of Business, Human and Social Sciences:50817", author = "Eli Hustad and Aurilla A. Bechina", title = "A study of the ERP Project Life Cycles in Small-and-Medium–Sized Enterprises: Critical Issues and Lessons Learned", abstract = "The purpose of this research is to increase our
knowledge as regards how Small-and-Medium-Sized Enterprises
(SMEs) tackle ERP implementation projects to achieve successful
adoption and use of these systems within the organization. SMEs
have scare resources to handle these kinds of projects which have
proved to be risky and costly. There are several studies focusing on
ERP implementation in larger companies, however, few studies
report on challenges experienced by SMEs. Our research seeks to
bridge this gap. Through a multiple case study of four companies, we
identified challenges and critical elements within the different phases
(pre-implementation, implementation and post-implementation) of
the ERP life cycle. To interpret our findings, we utilize a well-know
ERP life cycle model and critical success factors developed for larger
companies which are reported in former research literature. We
discuss if these models are relevant for SMEs and suggest additional
critical elements identified in this study to make a framework more
adapted to the SME context.", keywords = "ERP implementation challenges, ERP
implementation framework, ERP life cycle model, Small-and-
Medium-Sized Enterprises, ERP critical success factors", volume = "5", number = "12", pages = "1799-7", }
