Abstract

An Enterprise Resource Planning (ERP) system encompasses the mechanisms and inklings conducted for the solidified management of enterprise as all-inclusive from the discernment of consequential exertion of management expedients to embellish the expedience of the business. Several organizations have implemented ERP system but none of them has claims the desire results. User satisfaction is considered as central indicators of ERP project success. This study was conducted in Pakistani industry with the purpose to indentify and ensure potential success factors of ERP implementation. On the bases of extensive theoretical underpinning, measurement constructs of success factors of ERP implementation were identified. Survey instrument was developed from those success factors. Total three hundred and fifty questionnaires were distributed randomly to ERP users working in Telecom, engineering, Oil and Gas and Government sector. Out of distributed questionnaires two hundred and twenty eight (N=228) questionnaires were retrieved back. The responses were systematically entered, cleaned, and screened in statistical package for social science (SPPS). The core statistical techniques used in this study are regression and correlation analysis. The study finds that user satisfactions have positive and significance relationship with perceived usefulness of ERP system, Perceived ease of use of ERP, Internal support and compatibility of ERP system whereas as results demonstrability of ERP system is found to insignificantly related to ERP user satisfaction. The study further investigates that perceived usefulness, perceived ease of use, internal support, and compatibility of ERP system is perceived as important factors for ERP success. The findings suggests that all those interested in better business results and reliable business solutions should consider proper procedure review of software capabilities with confined focus on results demonstrability before embarking on ERP system implementation.

Highlights

  • Enterprise Resource Planning (ERP) is all about planning of resources within the organization in order to produce optimum results

  • This study indentified five potential success factors of Enterprise resources planning (ERP) successful implementation based on extensive theoretical underpinning

  • Regression and correlation analysis is executed to check the relationship between the ERP success predictors and users satisfaction

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Summary

Introduction

Enterprise Resource Planning (ERP) is all about planning of resources within the organization in order to produce optimum results. Resources may include investment/ capital, human resources, data, machines, building etc. Management of all resources manually or by semi-computerized system is cumbersome task and needs efforts. In 1960 after failure of MRP1 and MRP11 this crude concept of resources management evolved. Upon having futuristic vision and after detailed need assessment, German programmers brainstormed this idea and came up with SAP in 1990. Oracle has introduced Oracle Financial in competition of SAP. Companies faced lots of issues pertaining to realtime business processes. It has been figured out that real-time data enables quick management and financial decisions

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