Social-embeddedness of ERP systems in KM practice

Abstract

In this paper, we examine the need of social-embeddedness of Enterprise Resource Planning (ERP) systems in Knowledge Management (KM) practices. KM practices require socially embedded computer-mediated communication among people. ERP systems are widely used to share enterprise-wide information to facilitate organizations' performance. This paper examines whether ERP systems facilitate or hinder each process of KM practices, and implies the application of Social Construction Of Technology (SCOT) approach to solve prospective problems of ERP systems when they support KM. We explained SCOT approach based on its three elements: i) relevant social group; ii) interpretation flexibility; and, iii) closure and stabilization. Using the SCOT approach and Nonaka & Takeuchi's (1995) knowledge-creating model, this paper conceptualizes the difference between socialized and non-socialized ERP integration and suggest the need for social-embedded implementation of ERP systems for enhancing knowledge transfer. This study aim to answer the following three research questions: (1) what is the role of ERP in facilitating knowledge transfer in organizations? (2) What are the problems associated with the use of ERP for supporting knowledge management processes in organizations? (3) How can SCOT be applied to solve these problems?.