From transactional user to VIP: how organizational and cognitive factors affect ERP assimilation at individual level

Abstract

This study extends the enterprise resource planning (ERP) assimilation research from organizational level to individual level with the argument that it is the individual users who transform ERP systems’ capabilities into organizational performance. We employed a multi-case study method in this exploratory research with the objectives of defining individual level ERP assimilation and identifying key influential factors. Interviews with ERP users at all levels in five organizations revealed four key drivers: influence of supervisors, performance evaluation schemes, intrinsic motivation, and perceived usefulness, as well as two significant moderators: job specifications and individual absorptive capacity. Moreover, evidence suggests a potential relationship between individual level and organizational level ERP assimilations. Our findings highlight the importance of individual level assimilation within a firm in the post-implementation phase and provide managerial insights on how firms could improve ERP assimilation at the individual level that could impact the organizational level assimilation.