THE EFFECT OF ERP ON SUPPLY CHAIN MANAGEMENT PERFORMANCE: AN INVESTIGATION OF SMALL TO MEDIUM-SIZED ENTERPRISES IN PAKISTAN

Abstract

In today's business environment, companies are facing fierce competition, both domestically and globally. The competition has evolved from industry versus industry to supply chain versus supply chain. As a result, businesses are striving to find effective solutions to stay ahead of the competition, enhance customer experience, lower expenses, and boost profits. The performance of supply chain management has become an increasingly crucial factor in determining a company's success. Many companies are investing in new software and processes to simplify their supply chain and enhance their performance. The implementation of an organizational management system like ERP can aid in better supply chain management, improved efficiency, and a competitive edge in the global market. The objective of this research is to investigate the influence of implementing an ERP system on SCM performance in Small and Medium-sized Enterprises (SMEs). The research aims to comprehend the impact of using an ERP system on inventory network management and increasing efficiency. Additionally, the study endeavors to discover how businesses can gain a competitive advantage, control demand and maintain quality in both internal and external environments. The research findings indicate that System Integration, Workflow Management, Product Planning, Material Management, and Control Management have a favorable influence on SCM performance. This implies that an increase in these variables results in improved supply chain management outcomes.