Critical failure factor affecting Enterprise resource planning implementation in Indian manufacturing sector: A quantitative study
Year: 2019
Type: dissertation
Study design: Observational Study
Abstract: PURPOSE – The purpose of this research is to illustrate the deficiencies that are causing increasing failure rates at Indian manufacturing sector. Sophisticated tools like ERP can be a challenging venture, and adopting technological system is an intricate process which causing risk of failure due to various internal and external factors. Around 75 percent of ERP projects are classified as a failure or continue to be painful and unfruitful. Exploring these deficiencies while considering previous literatures to determine a comprehensive list of critical failure factors in context of Indian manufacturing sector act as guidelines for successful deployment of ERP packages. ORIGINALITY/VALUE – The outcome of this research will provide awareness about failure factors in the process of system implementation. The identification and prioritization of factor will act as input for building successful ERP framework. Design/methodology/approach – Paper tries to explore critical failure factors at different stages of ERP implementation, quantitative research conducted with the help of survey instrument. A questionnaire distributed amongst participants who have active involvement in ERP project. These participants includes consultant, project management teams, management representatives, ERP vendors and end-users. The received data is analyzed with the help of SPSS statistical tool. And crucial factors amongst them are determined by using Pareto analysis. Findings – Result of this study highlights the fourteen critical failure factor which are, lack of top management commitment, Absence of business process reengineering, software misfit, improper training and education, user resistance to change, weak testing and troubleshooting, inadequate project team composition, insufficient IT maturity, poor vendor support, over-reliance on heavy customization, tight schedule, poor user involvement, lack of communication, inappropriate legacy system and absence of monitoring and revaluation. For successful ERP integration, these factors need to be examine properly and eliminate them in pre and post-implementation phases.
Author: Ninad Sandesh Meher
Language: English
Subfield: Management Information Systems
Domain: Social Sciences
Open Access status: green
OpenAlex ID: W2995044892