Analysis of ERP implementation to develop a strategy for its success in developing countries

Research studies provide evidence of large number of Enterprise Resource Planning (ERP) projects implementation failures. Even then organizations are shifting their strategic focus on ERP to gain various tangible benefits. The key objective ofthisresearch study is to develop a strategy based on empirical evidences to overcome the issues of ERP implementations failure for developing countries like Pakistan. The mixed method of research with sequential strategy has been used to explore and explain the realities behind success and failure of ERP implementation. In the 2nd phase of the research, surveys have conducted, qualitative data has been gathered through extensive literature review and interviews. NVivo 10 software has been used to explore the critical success factors of ERP implementation. SPSS 20 tool has been used for applying exploratory factor analysis and then Partial Least Square based Structural Equation Modelling (PLS-SEM) with Smart PLS 3 has been used to know the existence and strength of relationship between dependent and independent variables identified in the study. It has been found that Commitment by the Top Management, Project-Management, Change Management, Business Process Re-Engineering have strong relationship with the successful implementation of ERP, whereas Training-education and Vendor management have been found to be less significant for the ERP implementation success. This study has provided a great contribution for the recipient client organizations, ERP implementers, ERP vendors and Consultants intending to join the implementation cluster. The implementation strategy was validated through a case study in public sector organization which gave encouraging results.

Automated summary

Research studies have shown that commitment by top management, project management, change management, and business process re-engineering are strongly related to successful ERP implementation. On the other hand, training and education as well as vendor management have less significant impact on ERP implementation success.