Abstract

Companies use ERP systems to automate business processes in order to increase productivity, reduce costs, and meet customer requirements. ERP selection for an enterprise is a decision-making project that is both risky and expensive, a wrong selection of this system or project partners can lead to the failure of the ERP implementation project. In this paper, we combined the theoretical findings of ERP selection issue with expert’s practical recommendations to determine the critical decisions that need to be made in the pre-implementation phase. Then we presented a methodology to determine ERP selection criteria based on the critical decisions analysis. A part of this work was performed within a company that has just launched an ERP implementation project.

Highlights

  • Companies need to increase productivity, decrease total costs, reduce stock, meet the customers’ requirements, maximize return on investment (ROI) and reduce lead times

  • enterprise resource planning system (ERP) selection criteria are defined according to researchers specialty or based on the results found in literature, these criteria are divided in general into several categories which differs from a research work to another, and as we mentioned above, there are little works that has proposed a comprehensive methodology to extract and determine the criteria for selecting an ERP in an industrial context

  • The ERP selection has a profound impact on the success or failure of the implementation project, and should be planned very carefully by the selection team

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Summary

Introduction

Companies need to increase productivity, decrease total costs, reduce stock, meet the customers’ requirements, maximize return on investment (ROI) and reduce lead times. To overcome these challenges and improve efficiency to be competitive, companies often use ERP systems. Main corporate activities such as inventory control, purchase, production planning, sales, manufacturing, supply chain management, human resources and finance can be integrated and automated through a several modules included in ERP system and meet most of company's requirements. Many improvements can be achieved by successfully implementing an ERP: this system offers many benefits for enterprise such as improved supply chain management, instant access to reliable information, elimination of multiple data entries and redundant operations, time saving and costs reduction. Productivity is achieved through ERP systems by automating, integrating and standardizing business processes

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