A4 Conference proceedings

Challenges of ERP implemation in SMES: empirical study in developing countries

Open Access publication

LUT Authors / Editors

Publication Details
Authors: Hasheela-Mufeti Victoria, Smolander Kari
Publication year: 2016
Language: English
Title of parent publication: Online Proceedings of the 13th European, Mediterranean & Middle Eastern Conference on Information Systems (EMCIS)
Start page: 200
End page: 210
Number of pages: 11
ISBN: 9789606897092
JUFO-Level of this publication: 1
Open Access: Open Access publication

Enterprise Resource planning (ERP) is widely adopted around the world for its ability to integrate organizations' business processes and to make operations efficient and less prone to errors. However it was originally developed for large organizations, and its business processes architecture are designed according to the first world organizations, as that is where they were originally developed. However many third world organizations have also adopted ERP in order to remain competitive as their counterparts. Due to several drawbacks, these organizations experience challenges. This is especially so for small and medium sized enterprises (SMEs) that have limited funds. This study looked at these challenges that SMEs in developing countries undergo when implementing ERP. The study found a gap between built in capacity and the realities of organizations. It also found lack of experts and technical skilled staff and lack of knowledge by vendors' representative in local markets. Unreliable internet connection and electricity supply also some of the challenges identified. The study also found that ERP costs are too high for small organizations as they usually operate on limited resources. The findings of the study may be used by ERP vendors when developing systems to cater for SMEs, because it will help them to better understand the SMEs challenges.

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Last updated on 2018-19-10 at 08:49