Enterprise Resource Planning Essay

There atomic number 18 twenty KSFs considered in this study. They were chosen from lit timeture review. The KSFs are classified into five stages of ERP effectuation aliveness bicycle namely project preparation, technology option, project aspect, executing/development and deployment. To address the study objectives, a behold questionnaire was considered the most appropriate research method. It was sent to 74 companies that see been implementing ERP system for at least angiotensin converting enzyme year. The respondents are lag at heed level, IT staff and drug users involved in the development and use of the ERP system.The scan received 248 responses from 740 quesitionnaires that were sent to the companies. To find the priority of KSFs on ERP performance liveliness cycle, a quantitative abbreviation is applied to identify the weighting of KSFs toward ERP implementation victory. The succeeder of ERP implementation can be measured through and through five indicators namely system quality, information quality, inspection and repair quality, tactical impact and strategical impact. Based on the weighting of KSFs on severally stage of ERP implementation life cycle, it is frame that the communication is most critical KSF on project preparation stage (? 0. 664). plot of land the strong ERP product (package selection) is most critical KSF on technology selection stage (? = 0. 554). The change management is most critical KSF on project formulation stage (? = 0. 406), and on implementation/development stage, user training is the most critical KSF (? = 0. 422). This study is pass judgment to improve knowledge in ERP implementation, especially the fiber of KSF on for each one stage of ERP implementation life cycle. bring upwords Priority of KSFs, ERP execution of instrument Success, ERP Implementation Life Cycle, Key Success Factors (KSFs) ___________________________________________________________________________________________________________ __ Introduction Enterprise Resource preparedness (ERP) system is an integrated information system that is utilize to support worry suees and resource management within an organization. These systems integrate between one business building block with other business units. With the implementation of this system in an organization to support the ships corporations operations, it is pass judgment to provide optimum benefit for the company. This is especially needed by the various industrial sectors in this era of lobalization. So, the company can compete with competitors or tear down create a competitive advantage. In addition, ERP selection is also done with various strategic reasons twain tangible and intangible. ERP software has grown rapidly the finally 10 years. According to AMR Research, ERP system sales increase dramatically in 2004 reached 23. 6 billion dollars. trade Journal of Enterprise Resource Planning Studies 2 growth rate re of imported stable in 2005, and the give nonice of 2009 the ERP software sales reached 24. 5 billion dollars (Hestermann, Anderson Pang, 2009). bingle of the largestERP companies is exhaust AG (a German Company). The company controls most 40% of the food market and it is the third largest software company in the world. Based on entropy from SAP AG, about 80% of SAPs sales occur in Europe and the United States, plot of land the remaining 20% spread in Asia. The main reason of the investment made by companies is repayable to the ERP system integration business and it promises to improve the companys competitive position in the market (Luo and Strong, 2004). Some benefits have also been frequently cited in several studies related to the ERP system, such as data and pplication integration as a substitute for bequest systems, lower cost and faster deployment compared with in-house development, adopting ERP best practices into business company processes (Markus, 2004). However, some other cases show that inves tments of training Technology (IT) with substantial funds may not necessarily bring optimal benefits. This is shown by Dantes & Hasibuan (2010) who exemplify that nearly 60% of ERP implementation in Indonesia in both public and private companies have failed. plain big companies in the world such as FoxMeyer Drug and Dell Computer have write quite a lot of funds for implementation of ERP but the benefits obtained are not optimal (Kalakota and Robinson, 2001). It was constitute that FoxMeyer like all large companies engaged in pharmaceutical declare themselves bankrupt because of mishap in implementing the system. In line with the above data, a pot conducted by Robbins-Giowa in American companies in 2001 found that about 51% of companies in America have failed in the implementation of ERP (IT Cortex, 2003), In China, it is estimated that the ERP implementation success rate is only 10% (Zhang et al. , 2003).Success and failure of ERP system implementation is influenced by severa l aspects of both internal and external organizations. Various factors are influencing the success of ERP implementation. Many researchers found critical success factors on ERP implementation, but they were not put in practice. Therefore, in this study we examine the KSF and propose a priority of KSFs on ERP implementation life cycle, both practiced and non technical issues that influence the ERP implementation success. Theoretical orbit The following sub sections discuss ERP implementation life cycle, KSFs on ERP mplementation process, and measurement of ERP implementation success model. Implementation Life Cycle ERP implementation is changing from bequest systems into ERP system. It is more on process change kind of of technology change itself. This section will describe the stages on ERP implementation from previous research, in which each model has different stages. In general, ERP implementation process has three main stages pre-implementation, implementation and post-implem entation (Capaldo and Rippa, 2009). However, some researchers considered each stage to be sub-stages according to their perspectives.