Adoption Of Enterprise Resource Planning Systems Research Articles

Do accounting benefits of ERP systems impact the satisfaction of end-users? From the perspective of accountants and internal auditors in Sri Lanka

Research Question: What are the accounting benefits perceived by accountants and internal auditors that entail through Enterprise Resource Planning (ERP) systems? Is there an interaction of ERP accounting benefits with the accountants’ and internal auditors’ satisfaction level in using ERP systems? Motivation: Many organizations are implementing ERP systems extensively while sharing a common database and being real-time. Past scholars summon empirical studies on ERP's impact on accounting benefits and user satisfaction. Therefore, this study was conducted from accountants’ and internal auditors’ perspective as recent scholars shed light on the cruciality of these two groups' perceptions as key ERP users. Idea: This study examines the accounting benefits that entail through the adoption of ERP systems by Sri Lankan companies with regard to ERP user satisfaction from the perspective of accountants and internal auditors. Data: The data were collected from 38 accountants and 19 internal auditors across 24 companies that are implementing ERP systems for more than four years. Tools: A quantitative survey methodology is employed to draw empirical evidence. Findings: The findings confirm that organizational, operational (time), and IT accounting benefits derived from ERP systems significantly and positively influence ERP users' satisfaction. In contrast, operational accounting benefits (cost) received the lowest rating and did not significantly influence user satisfaction. Contribution: While these findings are valuable to accountants and internal auditors to better understand the ERP accounting benefits, ERP consultants and system providers also benefit from identifying ERP accounting features to uplift user satisfaction in developing countries.

Is COVID-19 enough? Which underestimated conditions characterise the adoption of complex information infrastructures in small and medium-sized enterprises

The COVID-19 pandemic crisis has forced firms to leverage information and digital technologies to resist its disruptive effects. The shift to digital, however, requires the availability of information infrastructure, such as enterprise resource planning (ERP), that can enable effective digitisation of processes and practices.This paper investigates the role of the pandemic crisis on boosting intentions to adopt ERP systems in SMEs by mitigating the barrier factors that hinder their adoption.To investigate the impact of the pandemic on ERP adoption decisions, we ran a quantitative study among 147 SMEs in the Veneto region in Italy and applied a fuzzy set qualitative comparative analysis model to study them. Our results show that the pandemic crisis has boosted this adoption, shaping the configuration of conditions that characterise ERP adoption.

Environmental and organisational factors affecting the adoption of enterprise resource planning systems in the Jordanian banking sector

In this paper, a framework is proposed to determine the major factors affecting the adoption of enterprise resource planning (ERP) system in the banking sector. The proposed framework is developed based on the technology organisation environment (TOE) theory. The study sample, comprising of managers and head of departments, numbering 150, were distributed with questionnaire copies in 13 banks using the ERP system. According to the findings, top management support, organisation culture, policies and competitive pressure are the factors that significantly influenced the ERP system adoption among the examined banks. The findings also showed that the adoption of ERP improves the performance of banks. In addition, organisation culture, policies and competitive pressure factors improve the performance of banks through their influence on ERP system adoption. The framework is expected to serve as guidance to banks in the promotion and facilitation of the top factors that need addressing for the ERP system adoption.

Prioritising Organisational Factors Impacting Cloud ERP Adoption and the Critical Issues Related to Security, Usability, and Vendors: A Systematic Literature Review.

Cloud ERP is a type of enterprise resource planning (ERP) system that runs on the vendor’s cloud platform instead of an on-premises network, enabling companies to connect through the Internet. The goal of this study was to rank and prioritise the factors driving cloud ERP adoption by organisations and to identify the critical issues in terms of security, usability, and vendors that impact adoption of cloud ERP systems. The assessment of critical success factors (CSFs) in on-premises ERP adoption and implementation has been well documented; however, no previous research has been carried out on CSFs in cloud ERP adoption. Therefore, the contribution of this research is to provide research and practice with the identification and analysis of 16 CSFs through a systematic literature review, where 73 publications on cloud ERP adoption were assessed from a range of different conferences and journals, using inclusion and exclusion criteria. Drawing from the literature, we found security, usability, and vendors were the top three most widely cited critical issues for the adoption of cloud-based ERP; hence, the second contribution of this study was an integrative model constructed with 12 drivers based on the security, usability, and vendor characteristics that may have greater influence as the top critical issues in the adoption of cloud ERP systems. We also identified critical gaps in current research, such as the inconclusiveness of findings related to security critical issues, usability critical issues, and vendor critical issues, by highlighting the most important drivers influencing those issues in cloud ERP adoption and the lack of discussion on the nature of the criticality of those CSFs. This research will aid in the development of new strategies or the revision of existing strategies and polices aimed at effectively integrating cloud ERP into cloud computing infrastructure. It will also allow cloud ERP suppliers to determine organisations’ and business owners’ expectations and implement appropriate tactics. A better understanding of the CSFs will narrow the field of failure and assist practitioners and managers in increasing their chances of success.

Role of Resource-based View in Predicting ERP Perceived Value: Higher Education Perceptions

Higher education institutions (HEIs) nowadays focus on using strategic information systems as part of their digital strategy. An Enterprise Resource Planning (ERP) system can help HEIs manage their resources and operations effectively to meet this challenge. Based on reviews, this study conceptualises the influential ERP factors into the resource-capability configuration. A preliminary study on ERP among 40 HEIs in Egypt was carried out for the Egyptian HEIs to explore their perception of the ERP system asa new integrating tool for their value and advantage. The results revealed that a high percentage of HEIs had not yet adopted these systems, despite their positive attitude towards the value of ERP systems. They are still at the developing level because these systems have not yet been adopted. This study also helps to advance ERP concepts and provides practical verification in the context of higher education. Finally, this research guide HEIs to understand the ERP system's necessity as a strategic system proposing them to adopt ERP systems for their competitiveness.

An Empirical Evaluation of a Modified Technology Acceptance Model for SAP ERP System

SAP is the world leader in the enterprise resource planning (ERP) market with 25% market share. The objective of this study is to analyze and integrate several dynamics that have an impact on the adoption of SAP ERP system depending upon the modified technology acceptance model (TAM). Drawing from the TAM, four variables – actual usage, behavioral intention to use, perceived ease of use and perceived usefulness – are synthesized and integrated with panoptic empowerment, consultant support, learner-learner interaction, learner-teacher interaction, mastery goal orientation, personal innovativeness, satisfaction, top management support, trialability, and user guidance to develop a research model. Our sample is gathered through the end users that have experience on the SAP ERP system in an emerging country, Turkey. The structural equation modeling approach is able to be applied since our sample size (N = 584) is large enough. The SmartPLS is used to conduct the analyses which indicate that out of 23 hypotheses, 20 of them are supported. Moreover, this paper conducts a mediation effect analyses. The implications of the results are reviewed, and the recommendations are provided for further studies. This article links the theory and practice in SAP ERP systems by proposing a model, which offers novel perceptions for engineering managers who are in search of adopting the SAP ERP system.

Examining factors affecting success of enterprise resource planning system adoption on organisation performance among medium-sized enterprises sector

Examining factors affecting success of enterprise resource planning system adoption on organisation performance among medium-sized enterprises sector

The impact of perceived accounting benefits on the enterprise resource planning success: The mediating role of effective system use

In the past decades, enterprise resource planning (ERP) systems have becomeincreasingly automated, particularly for routine management accounting tasks. However, therehas been little research investigating the accounting benefits of adopting ERP systems. Thisstudy investigates the role of perceived accounting benefits in ERP success. Drawing on Juran’sprinciple of ‘fitness for use,’ this study establishes a framework that captures how perceivedaccounting benefits influence effective system use, which, in turn, enhances enterprise success.Using Partial Least Squares – Structural Equation Modelling (PLS-SEM) with survey datacollected from 120 enterprises in Vietnam that have implemented ERP, our findings providestrong support for the predicted positive effect of perceived accounting benefits on enterprisesuccess, and for the hypothesis that this relationship is fully mediated by effective system use.This study is novel for two reasons. First, it is one of the first attempts to provide empiricalevidence that effective system use and enterprise success are valuable outcomes of accountingbenefits perceived to be gained from the use of ERP systems. Second, it discovers anddemonstrates that effective system use is the most appropriate system-use concept in thepresent enterprise systems-related context, a topic that remains under discussion in theliterature.

Factors Affecting the Cloud ERP: A Case Study of Learning Resources Department at Jordanian Education Ministry

Enterprise resource planning (ERP) systems have been used by organizations for years, whereas, Cloud ERP systems gained audience a few years ago both from practitioners and academicians. As such, there is a migration from the traditional ERP to the Cloud ERP system, and employees in most organizations are accustomed to the traditional ERP system. In order to improve the efficiency and effectiveness of the Cloud ERP system used in the operation stage. Organizations need to research the factors that have an impact on users’ satisfaction and managerial decision making. There is a great deal of prior studies that measured users' adoption of ERP systems using a technological acceptance model (TAM). Thus, this study also utilized the TAM model in examining the factors that influence users’ adoption of Cloud ERP systems. To get the maximum value of the validity and reliability of the findings, the study was conducted in two folds which are pre-implementation and post-implementation. In addition, structural equation modelling was employed to reach the findings. Finally, the study identified the technology factor, employee factor, perceived usefulness and perceived ease of use as important variables for affecting Cloud ERP adoption; and as important antecedents influencing managerial decision making. This study comes to be the first study to employ the TAM model in the Cloud ERP area in two waves: pre-post implementation phases. Interestingly, the relationships between the variables in pre and post-implementation do not differ significantly.

Investigating the Moderating Role of Environmental Uncertainty between Institutional Pressures and ERP Adoption in Jordanian SMEs

Small and Medium Enterprises (SMEs) are struggling to survive in the present competitive environment. Enterprise resource planning (ERP) technologies have great potential to facilitate firms in achieving sustainable competitive advantages and to survive in such situations. However, the adoption of ERP among Jordanian SMEs has been reported as relatively low, which, in turn, does not affect SMEs effectively. Therefore, this study aims to examine the roles of the external forces (mimetic pressure (MP), coercive pressure (CP), and normative pressure (NP)), and Environmental Uncertainty (EU) on the adoption of ERP. Through the use of institutional theory and contingency theory, this study includes the role of EU as a moderating variable in the relationships between institutional factors (MP, CP, and NP) and ERP adoption. Data were collected from small- and medium-sized enterprises operating in Jordan. A total of 741 questionnaires were distributed to the selected SMEs, of which 192 were returned and used for analysis. The empirical data were analyzed using Partial Least Square-Structural Equation Modelling (PLS-SEM). The results show that MP, CP, NP, and EU have significant direct relationships with ERP adoption; however, contrary to our expectations, EU did not moderate the relationships between institutional factors and ERP adoption. These findings provide important insights for managers, researchers, and policy makers, helping them to understand the importance of ERP system adoption in enhancing firm performance. One limitation of this study is that it is based only on SMEs. Therefore, future studies can concentrate on the development of such research not only in SMEs, but also using larger organizations.

مستوى تبني نظام تخطيط موارد المؤسسة (ERP) وأثـره في تحقيق جودة نظام المعلومات المحاسبـي (AIS) في القطاع الصناعي الأردني: تصورات أصـحاب المصالح الداخلية The Adoption Level of Enterprise Resource Planning System (ERP) and its Effect in Achieving the Quality of Accounting Information System (AIS) in the Jordanian Industrial Sector: The Perception of Internal Stakeholders

هدفت هذه الدراسة للتعرف على وجهات نظر أصـحاب المصالح حول مستوى تبني نظام تخطيط الموارد وآثـره على جوده نظم المعلومات المحاسبية في الشرکات الصناعية الأردنية، تکونت عينه الدراسة من أصـحاب المصالح الداخلية من المديـريـن المالييـن، ورؤساء أقسام المحاسبة والمحاسبيـن والعامليـن في أقسام (IT) في الشرکات الصناعية، من خلال الاختبارات الوصفية ونموذج الانحدار الخطي کأحد الأساليب المناسبة للمنهجية الوصفية التحليلية المعتمدة في هذه الدراسة لتحديد درجة تأثيـر المتغيـرات المستقلة الفرعية على المتغيـر التابع، توصلت الدراسة إلى جملة من النتائج، أبـرزها: أن مستوى تبني نظم تخطيط الموارد جاءت بدرجة مرتفعة، کما خلصت الدراسة إلى وجود أثـر ذو دلالة إحصائية لاستخدام کل من نظام إدارة التوريد على جوده نظم المعلومات المحاسبية، في حيـن أن النظم إدارة المخـزون والموارد البشرية والموارد المالية لم يکن لها أثـر ذو دلالة إحصائية على المتغيـر التابع. وفقا لذلک أوصت الدراسة بضرورة استمرار الإدارة في دعمها لفکرة تبني نظم تخطيط التوريد إلى جانب نظام إدارة الموارد المالية للنهوض بمستوى جودة نظم المعلومات المحاسبية، کما توصي الدراسة بضرورة فهم تصورات مجموعات مختلفة من أصـحاب المصالح بالممارسات المتبعة في إدارة المخـزون وأداره الموارد البشرية وفهم جميع العوامل المحيطة بها في محاولة لفهم التحديات التـي تواجهها هذه الأنظمة في سبيل دعم جوده المعلومات المحاسبية. This study aimed to identify the views of stakeholders on the level of adoption of the Enterprise Resource Planning (ERP) system and its impact on the Quality of Accounting Information System (QAIS) in Jordanian industrial companies. The sample of this study included the following internal stakeholder groups (i.e.: financial managers, heads of accounting departments, accountants, and employees in IT departments of industrial companies). Analytical descriptive tests adopted in this study to determine the degree of adoption of ERP systems in the sampled companies. Multiple linear regression models were also the most appropriate analysis technique to analyse possible relationships between sub-independent variables on the dependent variable.The study reached a set of results, most notably: as the stakeholders’ perceptions that adoption of ERP systems came at a high degree. The results also showed that there is a statistically significant effect of adoption of supply management system on the quality of accounting information systems, while the inventory management systems, human resources and financial resources did not have a statistically significant impact on the dependent variable. Accordingly, it’s recommended that top management should continue their support to the procedures of the supply chain system to improve the quality of accounting information systems.Furthermore, the study also recommended that there is urgent need to understand more about the perceptions of other groups of stakeholder on the practices of inventory management and human resource management. Understanding all the surrounding factors as an attempt to understand the challenges of ERP adoption was also from our important recommendations in order to support the quality of accounting information system.

How Organizational Citizenship Behavior Affects ERP Usage Performance: The Mediating Effect of Absorptive Capacity

Enterprises have implemented enterprise resource planning (ERP) systems as a strategic vehicle to gain a competitive edge. However, such ERP systems do not always guarantee successful results. While ERP systems may provide an organization with numerous benefits, they can also destroy a business if not successfully adopted, owing to enormous investment losses coupled with low business efficiency. To explore a way to reverse this situation, we examine how organizational citizenship behavior influences the successful management of ERP systems. Moreover, the mediating role of absorptive capacity in this relationship is investigated. The empirical analysis results, based on 188 surveyed organizations in Korea, reveal a partial mediating role of absorptive capacity on the relationship between organizational citizenship behavior and ERP usage performance. The findings of the study shed light on the ways of how the companies that adopt ERP systems to facilitate ERP usage and to gain business sustainability.

Examine Factors Affecting Success of Enterprise Resource Planning System Adoption on Organization Performance among Medium-Sized Enterprises Sector

The current study applied resource-based value, contingency and diffusion of innovation theories to explain the factors affecting ERP system adoption. In this light, a proposed conceptual framework has been designed based on information obtained from newly developed questionnaire which were distributed to one hundred and forty-four (144) medium-sized enterprise organisations in Ondo State, Nigeria. For this study, the CEO/director and managers of these companies were selected as the key respondents and the empirical data were analyzed using the partial least squares structural equation modelling. The result obtained revealed that technological change significantly influences the adoption of the ERP system to enhance the performance of medium-sized enterprises organisations. However, government policy has no significant relationship with the performance of medium-sized enterprise firms. In this light, the outcomes of this study are useful for organisations adapting ERP to help them strategise future ERP system implementation in different industry.

The Impacts of Enterprise Resource Planning System Adoption on Firm's Performance Among Medium Size Enterprises

The main objective of this study is to investigate the impacts of ERP system adoption on the relationship between performance of medium enterprises (PME) and communication process (CP), organization structure (OS), technological change (TC), and technology infrastructure support (TIS) and moderated by top management support. This study proposes a theoretical framework based on theories such as resource-based view, contingency theory, and diffusion of innovation. The data was collected from the medium-sized enterprise firms operating in South Western Nigeria. Out of the 658 questionnaires distributed, only 355 were useable. The empirical data was analyzed using the partial least squares structural equation modelling and the results showed that CP, OS, TC, TIS, ERP and TMS have significant direct relationship with the PME. Hence, ERP system adoption mediates the relationship between the CP, OS, TC, and TIS with PME. The findings show that CP, OS, TC, TIS will influence the performance of medium enterprises in the adoption of ERP. The findings also confirm that the top management support plays an important role in moderating the relationship between ERP and PME. The findings provide important insights to CEO, managers, policymakers and researchers to understand the important use of ERP system that will enhance the performance of medium-sized enterprise organizations in Nigeria. Limitation of the study is based on medium-sized enterprise only and another limitation is that author has not included other measures of medium sized enterprises performance outside of the procurement area despite these factors could provide further insights to medium sized enterprises performance, and will be an interesting topic for future research. In this light, future research can focus on the evolution of small enterprises and large firms.

Prioritising critical failure factors for the adoption of ERP system using TOPSIS method

Enterprise resource planning (ERP) applications are complex and difficult to implement. Even after implementation many ERP projects are not used or adopted by employees. Organisations are struggling to convince and motivate employees to adapt smoothly to them. Several personal, managerial and organisational issues contribute to successful adoption. This research paper attempts to identify potential issues that lead to failures in the adoption of ERP systems in enterprises. Earlier studies have identified different contributing issues to the failure of ERP systems. A questionnaire was developed around these significant influencing issues reported in literature and industry people mostly senior managers having good experience with ERP systems were asked to rate the importance of these factors. TOPSIS method was applied to rank the factors based on their importance in the failure of ERP systems. From the results, it is found that poor top management support and poor quality of testing were the two most important critical failure factors for ERP adoption. While implementing ERP systems, an organisation has to give importance to these failure factors based on this rank to ensure ERP implementation success.

The impact of ERP system's adoption on management accounting practices in the Jordanian manufacturing companies

This study aims to explore the impact of enterprise resource planning (ERP) implementation on management accounting practices (MAPs), and main attributes that influence the ERP implementation in Jordanian manufacturing companies. A questionnaire survey was distributed to Jordanian manufacturing companies. This study shows that ERP has connected and integrated a wide range of companies functions and resources, which offers them a new platform of information on how to manage their operations holistically. This can explain the considerable variation in the extent of MAPs' adoption among the Jordanian companies, and enterprise systems have the potential to facilitate both conventional and advanced MAPs. Dealing with changes in business operations, the best practice recommendations, and recommendations from different professional bodies were found as main institutional attributes leading to the use of ERP. Lack of sufficient support and lack of top management support were the two main other factors that may prevent ERP implementation in the Jordanian context.

The Empirical Evidence of Enterprise Resource Planning System Adoption and Implementation on Firm’s Performance Among Medium-Sized Enterprises

The objective of this study is to examine the mediating role of enterprise resource planning (ERP) system adoption on the relationship between performance of medium enterprises (PMEs) and organizational culture (OC), communication process (CP), organizational structure (OS), information technology readiness (ITR), technological change (TC), government policy (GP), information access (IA) and technology infrastructure support (TIS). This study also includes the role of top management support (TMS) as a moderating variable on the relationship between ERP and PME. This study proposes a theoretical framework based on theories such as resource-based view, contingency theory and diffusion of innovation. The data were collected from medium-sized enterprise (ME) organizations operating in South Western Nigeria. A total of 658 questionnaires were distributed to selected MEs and only 355 were returned and used for the analysis. The empirical data were analyzed using the Partial Least Squares Structural Equation Modelling (PLS-SEM). The results showed that CP, ERP, GP, IA, ITR, OC, OS, TC, TIS and TMS have significant direct relationships with the ERP and PME while GP is not significantly linked to ERP adoption. Moreover, IA, ITR, OC, OS and TC have no significant relationship with PME while ERP system adoption mediates the relationship between the CP, OC, OS, TC and TIS with PME. The findings showed that the presence of CP, OC, OS, TC and TIS will influence the PMEs in the adoption of ERP and confirmed that TMS plays an important role in moderating the relationship between ERP and PME. The findings provide important insights to CEO, managers, policymakers and researchers to help them understand the importance of using the ERP system to enhance the performance of medium-sized enterprise (PMSE) organizations. Limitation of the study is based on MEs only. In this light, future research can focus on the evolution of not only small enterprises but also large firms.

The Impact of Adopting ERP on Key Performance Indicator by the Mediation Effect of Critical Success Factors and Performance Indicators in Automobile Ancillary Industries

To meet the very high expectation of the customer in the competitive and luxury Automotive global market segment, the organization requires flexibility, business integration and automation of the business process which will reduce the cost and time in various business processes. An Enterprise Resource Planning (ERP) system plays a major role in improving the performance of the supply chain. Some studies expressed that Organizations, which have good ERP systems, generate higher profit because of reduction in Cost and Time. However, there is a lack of scientific research carried out that effective ERP Implementation leads to better business performance which helps to attain the Key Performance Indicator set by the organization. In this paper, we attempt to determine how the companies that have adopted ERP Systems in Automobile Auxiliary Industries have improved their business performance, by evaluating and analyzing the association between the performance indicators Time Reduction and Cost Reduction using Structural Equation Modeling (SEM) . The findings of the SEM research stated that, companies that adopted ERP system improves their business performance Indicator, particularly in relation to Key Performance Indicator. Furthermore, we found that the impact of ERP Systems Performance study absolute fit indices fits the sample data and reveals that the proposed model has the acceptable fit, by way of satisfying the recommended values.

EVALUATING MANAGEMENT SYSTEMS AND THE INTANGIBLE PERFORMANCE OF ORGANIZATION INFLUENCED BY THE ENTERPRISE RESOURCE PLANNING

This study investigates the effects of enterprise resource planning systems adoption on Intangible performance of a firm. Specifically, the role of informal management control systems is investigated as mechanisms which mediate the effect of enterprise resource planning systems adoption on intangible performance of a firm.The empirical analyses of this study are based on survey data drawn from 4 companies that were collected by questionnaire. This study test our structural equation model using the multivariate statistical method Partial Least Squares (PLS) .The findings of this study demonstrate that informal types of management control systems do not mediate the positive effect between enterprise resource planning systems adoption and Intangible performance. These results are very important because the evidence on the joint roles of enterprise resource planning systems and management control system on improving the firm performance is very limited in prior literature. The results of this study show that the use of enterprise systems results in improved firm performance in the long run, and that more formal than informal types of management controls help firms achieve future performance goals.

Critical Success Factors in ERP System Adoption: Comparative Analysis of the Private and the Public Sector

This research provides useful insight into differences in the perception of signifi cance and the degree of fulfi llment of Critical Success Factors (CSFs) of Enterprise Resource Planning (ERP) adoption between private and public sector organizations. The survey was conducted on a sample of 77 Serbian organizations, with approximately equal representation of those from the private and the public sector. A comprehensive list of CSFs, compiled as a result of an extensive literature review, was included in the questionnaire. The collected data and statistical procedures applied revealed the CSFs that differentiate the organizations from the two observed sectors. Involvement of end users in ERP adoption and implementation activities has proven to be the CSF in relation to which the assessments and attitudes of organizations from the two sectors differ the most. Results of this research indicate that differences between private and public sector organizations are more distinct in terms of their level of fulfi llment of ERP adoption CSFs than they are in terms of their assessment of CSFs’ signifi cance. This points to a conclusion that differences in the way of functioning and governance of organizations from these two sectors infl uence their ability to tackle the problems much more than their ability to recognize them. The practical contribution of this research is in providing some useful fi ndings that can greatly assist relevant stakeholders to achieve a higher success rate in an ERP adoption. In addition to responding to the initial research questions, this paper has also revealed new issues, suggesting the need for further research.