Enterprise Resource Planning System Selection with Multi-Criteria Decision Making Techniques

Burcu Alatepeli̇

doi:10.47495/okufbed.828479

Abstract

Today, businesses need to consider many parameters such as cost, quality, efficiency and being able to predict the changing business conditions in order to keep up with the competitive environment. Enterprise resource planning systems (ERP) connect daily business requirements such as accounting, procurement, project management, R&amp;D (Research and Development), foreign trade operations with the necessary information. Although ERP systems have the feature of combining every data from all points of view of an enterprise, many companies cannot achieve the success they desire in these software that they purchase by bearing high costs. Accordingly, the aim of the study is to select the most suitable system for a company that decides to use an enterprise resource planning system, by using TOPSIS, one of the multi-criteria decision making methods. When the literature and qualitative study results were evaluated together in the study, the criteria such as system competence, system flexibility, cost, training, after-sales support and efficient project management criteria were determined to be the main ones. In order to determine the significance level of the criteria, a process of criteria weighting was executed with the senior managers of the company. At the end of the study, the most important criterion was determined as “cost” and “ERP 3” was selected as the ERP system with the highest score among the existing enterprise resource planning systems

Highlights

Enterprise Resource Planning (ERP) is a commercial software package that enables businesses to manage in a fully automated system
The system ensures effective and efficient use of resources, and at the same time, it begins to have its place in the field of e-commerce by developing web-based solutions [2]. In addition to these advantages that ERP provides to businesses, it is known that the application success rate is quite low
In determining the criterion weights for the selection of ERP software, the decision makers consisting of the managers of the production, accounting, finance and sales departments of the company and academicians have weighted the criteria based on the literature

Summary

Introduction

Enterprise Resource Planning (ERP) is a commercial software package that enables businesses to manage in a fully automated system. The system ensures effective and efficient use of resources, and at the same time, it begins to have its place in the field of e-commerce by developing web-based solutions [2]. In addition to these advantages that ERP provides to businesses, it is known that the application success rate is quite low. One of the reasons why the success ais so low, perhaps most importantly, is the failure to choose the appropriate system for the business structure. System selection becomes important for the success [3]

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Conclusion