Influence of Product and Organizational Constructs on ERP Acquisition Using an Extended Technology Acceptance Model

Abstract

The article examines the selection of ERP by organizations using an extension of the technology acceptance model (TAM) using elements of the information systems (IS) success model. The study evaluated the impact of system quality, information quality, service quality, and support quality as key determinants of cognitive response, which influences ERP system purchase/use. Industry, firm size, buying center, and product experience were introduced as organizational constructs. The results of the study indicate that system quality has a very high influence on the ERP purchase decision (ß = 0.497, p = 0.000), followed by information quality (ß = 0.425, p = 0.000) and software support (ß = 0.286, p = 0.006). Among the organizational constructs, only firm size was found to be statistically significant (ß = 0.217, p = 0.016). The results also indicate that multi-department committees and the IT department are the major buying centers responsible for vendor selection. In terms of information source, vendor reference and advertisements are major information sources, while government standards and popularity/experience of vendors are important considerations in vendor selection.