Enterprise Resource Planning
– Implementation Issues
Organisations often fail in ERP-system
implementation.
Two key success factors are often
neglected:
1.
2.
Clear agreement of what is being invested in –
cost and delivered features.
The user must find value in the installed
system.
Enterprise Resource Planning
– University Case
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No unified vision that involved
stakeholders.
Part of a large organisational change
project.
Sold to employees as a cost saving
initiative
Selected based upon discounted price.
Enterprise Resource Planning
– University Case
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Became too big to dump.
The vendor, key users (the faculties) and
the IT department had a relatively minor
role.
Senior managers dominated the strategic
visioning and contracting stage.
Consultants dominated the planning and
adaptation stage.
Enterprise Resource Planning
– PT Telkom (Indonesian) Case
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Decision made by senior management
supported by other stakeholders.
Consensus – based upon a shared vision
– of the need for adoption.
Good cooperation between consultants,
key users, and IT department employees.
Enterprise Resource Planning
– PT Telkom (Indonesian) Case
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There was a high willingness to use the
system following implementation.
It was clear that the organisation
performance, discipline and transparency
were improved.
Enterprise Resource Planning
– So …
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Must consider organisational and cultural
setting.
Must have trust between stakeholders.
Must have policy that fits the cultural
setting.
Must question – are consultants acting as
“honest brokers”? Where does their loyalty
lie?