Abstract
Purpose: The purpose of this study was to investigate the factors that influence ERP systems adoption and implementation in SMEs in Kenya.Methodology: The research adopted a descriptive design. The target population was 4560 SMEs in Kenya. A sample size of 87 SMEs was selected. The respondents were identified through probability sampling in the form of stratified sampling. The collection of data was conducted through the use of questionnaires and thereafter data coding was done then followed by data presentation via graphs, tables as well as pie charts. These were then analyzed through both descriptive statistics (frequencies and means as well as inferential statistics (correlations).Results: The findings revealed that organization resources bring about success of ERP related organization change. The findings on the influence of internal factors on ERP system implementation revealed that indeed the internal factors influencing the adoption of ERPs in SMEs in Kenya include; the top management of SMEs, project team constitution as well as the above average knowledge requirements.Unique contribution to theory, practice and policy: The study recommends that SMEs in Kenya need to put into consideration, continuous introduction of ERP systems. Additionally, the study recommends that the government regulations as well as the other external factors should be aligned in a way that ensures that there is room for companies to explore means of adopting and implementing ERP systems so as to be able attain sustainable competitive advantage.
Highlights
BACKGROUND OF THE STUDYEnterprise resource planning (ERP) is a business management system that incorporate sets of broad software, which can be used when successfully implemented, to manage and integrate all the business functions within an organization (Boykin, 2009)
It is a fact that ERP is for both large and minor firms which have to regulate their business representation according to the practices and software adopted by the large firms, Since the small and medium sized enterprises (SMEs) are going difficult they do not have the power associated with large companies, it is as a result of this that SMEs have to hit the power of IT and an integrated information system to stay competitive and customer oriented with the opening up of the economy
The study revealed that the impact of overall all the variables on ERP implementation was statistically significant at p
Summary
Enterprise resource planning (ERP) is a business management system that incorporate sets of broad software, which can be used when successfully implemented, to manage and integrate all the business functions within an organization (Boykin, 2009) They include a set of established business applications and tools for financial and cost accounting, sales and distribution, materials management, human resource, production planning and computer integrated manufacturing, supply chain, and customer information (Boykin, 2009). The results of the study as seen in table 2 show that 30 percent of the total respondents were of the female gender, while the remaining 70 percent were of the male gender. The study findings as seen in table 3 show that 40 percent of the respondents were between 20-25 years, 34 percent of the respondents between 26-30 years, 16 percent of the respondents between
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