Abstract
Implementation of enterprise resource planning (ERP) systems has led to the motto, “Common ... and Global.” As a result, employing standard ERP systems has led to firms adopting common artifacts (e.g., vendor numbering systems) and processes (e.g., sales management) for global implementation. Although there are a number of important reasons for adoption of standards in an ERP system, unfortunately, adoption of a standard may have differential costs for divisions. What is optimal for one division or corporate is not optimal for each of the divisions.As a result, there is concern about how standard artifacts and processes are chosen for ERP systems. Is it possible to find standard artifacts and processes that are optimal for the corporation and each of the divisions? What choice process for ERP standards are rational? How can choice processes for selection of ERP standards be manipulated? This paper addresses these issues using analytic methods and information gathered from a number of ERP implementations.
Published Version
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