TDEI 13
Enterprise systems acquisition and
implementation
Özgün Imre
ozgun.imre@liu.se
EIS-IE Linköping University
2015-09-02
Agenda
• The ERP presentations
• Some formalities around the course
Rolls-Royce case
Yusuf, Y., Gunasekaran, A. & Abthorpe, M.S., 2004. Enterprise
information systems project implementation: A case study of ERP in
Rolls-Royce. International Journal of Production Economics, 87(3),
pp.251–266
Packaged Software
Light, B., 2005. Potential Pitfalls in Packaged Software Adoption.
Communications of the ACM, 48(5), pp.119–121.
2
Course Project
• The purpose of the group projects is to give you an
opportunity to encounter, second or first hand, views and
impressions expressed by people who have been involved in
ERP ventures.
• Document studies
• If possible: Interviews
3
Course Project
• The final report:
4
•
10 - 12 pages of text (excluding executive summary and
references).
•
Executive summary
•
A list of contents,
•
A clear purpose,
•
A review of relevant literature,
•
A section describing your second or first hand field study,
•
An analysis using the field study and the literature,
•
Conclusions relating to the report’s purpose,
•
A reference list with complete references to sources used.
• Begin working as soon as possible
• Don’t forget the milestones
• Your group has to be present for the presentation days – if you
can not show up you need to let me know before
• If you have an assignment and you can not show up, you have
to an extra assignment
5
Other date related issues
Still no date for Qlikview
The test is moved to 23rd
We might have a study visit
6
The organisation?
7
A process perspective
8
Information flow and ERP system
Sales
Manufaturing
Dokumentering
Carry out
order
With
ERP
Accounting
Dokumentering
Write and
control
order
Documents
Documents
Without
ERP
Distibution
Deliver
order
Report a need
Supply
Invoice /
payment
Order
Payment
Supplier
Deliver material
Deliver a product
Place an order
Customer
Sales
Place an order
Manufacturing
Deliver of goods
Distribution
Payment
Plan of manufacturing
Order control
9
Transport
Work systems
10
Alter, 2008
Packaged software
• In good old times
•
In house software
•
Created for the company
•
Unique business processes mapped on
•
In-house IT people
Today
?
11
Packaged Software
12
Potential pitfalls
Reasons for purchase
Expectation / pitfall
Correction of existing problems
Legacy systems and backlog
Availability of a broader skills base
Predictability
Cost
Perception of a reliable product
Functionality
Business benefits
Freeing up the IS function
Desire for standardization
Implementing change
Social influences
Role of selling
Bravado
Why an ERP?
The story goes:
Today we are in a global economy, so we have increased
competition
We compete on more fronts than price and quality
We need to be flexible, adaptable, agile, responsive
We decided to decentralise (some of the operations)
14
Why an ERP?
ERP as a part of the supply chain issues
ERP as a tool for success (or at least solving problems)
However, ERP is not just an IT implementation, it is a
wide-ranging organisational change project
15
• integrate individual functional systems such as manufacturing,
finance, procurement and distribution.
• replace their existing information systems
• standardise the flow of management information
• Business process automation.
Timely access to management information.
Improvement in the supply chain via the use of ecommunication and e-commerce.
16
However…
• Some of the companies that implement ERP systems do not
realise the full benefits that the system offers because most
organisations are not organised in the correct fashion to
achieve the benefits. (p. 253)
• This means that the organisation has to adapt to the system !
• ERP software is very adaptable but not very malleable and
companies that wish to use them correctly have to change their
working practices to fit the software. (p. 254)
17
Some common issues?
• cultural problems
• business problems
(business process)
• technical problems
(data migration/entering)
18
The implementation model
Some social worlds
19
Some complications
• Inability to align goals
• The non-delivery of reliable hardware
• Failure of providing inadequate support
• The resistance of change
• The project treated merely as an IT implementation
• Inadequately education of workforce
• Inability to load data from old systems
• Maintenance difficulties
• Changes to kitting demand during go live may stretch the
new system
• Sustainability of the IS during the post-implementation
period
20
www.liu.se
22
Some implications
Social worlds/arena/negotiated order can provide a
situated, dynamic analysis of issues
Can complement the static view adopted in
stakeholder analysis
IS can play the role of the boundary object in such
situations, and trigger the negotiations and learning
Using such lens can help iron out differences to find a
workable situation, and help out wider IS implementation
problems
23
Venue 1
• Lots of combinations: would social worlds add to the
stakeholder theory?
• Would saying it will add dynamism just be a buzz word?
• Are they the same? Or how can we identify the difference from
a bunch of interviews?
24
Venue 2
• Negotiated order with stakeholder theory
• Focus on temporality of the order, which is what dynamism is
• Adds non-executives to the system
•
Would we see any difference between stakeholders and social
worlds?
Would we feel different if we talked to editor x, who is also the dean?
25