Enterprise systems: are we ready for future sustainable cities

Abstract

Purpose – This paper aims to revisit the adoption reasons of enterprise systems (ES) and supply chain management systems (SCMS) and to explore the new dimensions of sustainability required to be added in the whole process of adoption of these systems. Moreover, it aims to explore the benefits of ES to organizations and to relate these benefits to the ES adoption in future sustainable city settings. Future cities will have micro-industries requiring dynamic interactions and will be dependent on efficient supply chains. The recent developments in information and communications technology (ICT) such as cloud computing through its dynamic, on-demand and service-based delivery are making it possible to achieve those goals for supply chains. The ES in general and more specifically SCMS have integrated organizations into one seamless mesh. Design/methodology/approach – This paper presents a framework for adoption of sustainable ES in a smart city setting. The framework, firstly, is presented at a macro-level, particularly incorporating the relative significance of motivational factors for sustainable ES adoption. Subsequently, The authors study the benefits of ES as perceived by large and small and medium enterprise (SME) organizations using 100 case studies and discuss how these benefits can be realized for smart cities by projecting the ES benefits onto the proposed framework. The benefits are estimated with the Shang and Seddon’s (2002) framework. Findings – The adoption of ES initiated with environmental factors and mediated with business and technical factors will bring benefits in all the dimensions of triple bottom line in addition to the firm’s performance. ES will have pivotal role in future smart city settings and will be able to offer social, environmental and economic sustainability in addition to traditional organizational performance indicators. Originality/value – The proposed framework for ES adoption will bring ES packages (particularly, the required relative significance of adoption reasons) into the perspective of sustainable development. Moreover, the study of its benefits in relation to the proposed sustainable ES adoption framework presented in this paper will help in motivating organizations to incorporate social, economic and environmental sustainability into their core business objectives.