Enterprise Resource Planning in organizations

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Running head: - ENTERPRISE RESOURCE PLANNING
ENTERPRISE RESOURCE PLANNING
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1ENTERPRISE RESOURCE PLANNING
Table of Contents
Introduction................................................................................................................................2
Discussion of Enterprise Resource Planning in organizations...................................................3
Conclusion..................................................................................................................................9
References................................................................................................................................10
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2ENTERPRISE RESOURCE PLANNING
Introduction
Enterprise Resource Planning refers to the integrated management of all the primary
procedures for business that occurs in real time and is specifically mediated with the help of
related software and that of technology. ERP is commonly referred to as a primary category
of business management software that consists of a typical suite of integrated applications
that is properly utilized by a specific organization for business to carry out the particular
activities of collecting, storing, managing and interpreting data (Mahmud, Ramayah and
Kurnia 2017). ERP systems and the relative software are specifically utilized by the business
organizations because of the fact that it provisions the respective enterprises with the
integration and continuous updating of the core processes for business making use of
common databases that are properly maintained with the help of database management
system. business organization, which have implemented the relative procedures and methods
of ERP systems have benefited from the facts that these systems provision with a helping
hand towards tracking of all the business procedures that usually take place under the roof of
a respective business organization. All such activities include the likes of maintaining and
tracking of cash, production capacity as well as raw materials required for a business
organization on a regular basis for the primary activities. The production capacity that is
looked after by the ERP systems include the likes of status of business commitments,
purchases of orders as well as payroll (Kosasih et al. 2019). In reference to the recent
conditions, ERP systems have found a way to majority of the business organizations because
of the fact that these systems provision with a helping hand towards the primary procedures
for all such organizations in particular. This report also provides with a brief description of
how such systems have benefitted different organizations and how they can be implemented
for better results within the field of business.
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Discussion of Enterprise Resource Planning in organizations
According to Hustad, Haddara and Kalvenes (2016), the ERP journey for majority of
the organizations operating within the field of business is referred to as a black hole into
which money is never seen once invested and puts forward with disappointing outcomes in
the end. For primary parts of a respective organization, an ERP implementation project is a
common procedure of installing newer features or upgrading a computer system for better
results of business. The entire impact of such decisions taken before the particular software
purchase may end up in having a major impact upon the overall outcome of the project
(Hasan et al. 2018). In reference to majority of the business organizations the primary
objective to convert the ERP related software to that of a belief, which states that the project
is already completed and that at any stage will place forward with results of the same. The
real scenario in this regard is that declaring a specific project complete way before its actual
completion is a common thinking of such organizations, which have gone through difficult
situations during the procedures of project delays, software modifications, budget overruns as
well as internal disruption. Once the proposed system has been turned on, it is specifically
visible that the work right before a successful completion of the respective project was not
done properly (Pontoh et al. 2019). The primary impact of such shortcuts taken during the
development of the system right before the step of implementation is expected to come back
with devastating consequences that might have a major effect upon the long run of the
respective business organization in particular.
Live running is considered to be one of such stages during the overall ERP project as
well as declaring the project over during the implementation or the designing phase of the
real time system. However, in real a lot of work is still left for the organization such as the
like of tidying up the issue that had not been considered or might have been ignored during
the initial phases that requires completion at the current situation of the company to save it

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4ENTERPRISE RESOURCE PLANNING
from unavoidable consequences in near future (Shen, Chen and Wang 2016). In addition to
this, removal of manpower from the projects earlier than required may end up placing
forward the fact that the organization might end up having no manpower later on when such
issues are required to be fixed on an urgent basis. In accordance to such issues that are
usually left unresolved during the implementation phase of the projects can have major
impacts upon the proper working of the organization in particular that is inevitable. This
might even lead to loss of visibility over the existing business operations as well as in some
cases may have a particular impact upon the financial results or might as well lead the
organization to undergo bankruptcy (Makori and Osebe 2016). The business organizations in
particular get involved into variable ERP projects before the phase of live running in the form
of systems that might have suffered failure or might have been minimised due to the fact that
they might not have been effectively working. Such recovery of poorly performing ERP
systems puts forward a typical reflection of how the company carries out its initial activities
in relation to an ERP project.
As stated by Thakur (2016), Discovery as well as Planning stage is considered to be
the primary stage within an ERP systems journey performing the activity of initiating the
design along with the implementation of the ERP systems by having an association with that
of an organization. The procedures of business within an organization is in need of goals as
well as objectives that shall be identified during this stage having the inclusion of carrying
out analysis as well as studies along with that of multiple meetings for the business (Costa et
al. 2016). One of the majorly working activity that are specifically covered within this stage
refers to the identification of the team members belonging to a project in particular. This
stage also allocates various roles and responsibilities of the team members within the project.
The second stage of the ERP systems journey is commonly referred to as the design
stage that arrives right after the planning as well as the discovery stage. This stage has the
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inclusion of the primary activity that includes the master records to be shown to the clients
for a review. The orientation of the ERP system as well as the walkthrough is particularly
carried out within this stage for all the stakeholders to provision them with the information
regarding the resources that are individual needed for the project to be carried out (Cao et al.
2018). In addition to this, the initial configuration for the systems are also carried out within
this stage that belongs completely to the ERP systems journey. Lastly, creation of the
prototypes as well as putting forward a brief description regarding the roles of various
relative users are considered to be a primary activity that is again carried out in this stage in
particular.
Development stage is the third stage that belongs to the journey of ERP systems
having the inclusion of the incorporation of all the required qualities such as the like of
flexibility, adaptability as well as scalability required for a proper development of this stage.
This stage also refers to the development of an environment required for the particular
creation of the ERP systems having the primary inclusion of preparing for a go-live system in
particular (Jirava and Toseafa 2017). In addition to this, the simulation that is required for an
ERP system is also performed within this stage having multiply associated benefits taking the
form of a product depending upon the performance of the system. The next stage following
the above is commonly referred to as the testing as well as the deployment stage. Testing
particular refers to such an activity that is completely developed is verified and again
validated against all of the existing requirements along with the inclusion of specifications.
Following this, deployment stage puts forward the activities that refers to the fact of making
the system go live having the proficiency of all the end users that is particularly assessed as
well as established. Lastly, a decision whether the system is fit for making it live or not is
also taken according to the particular performance of the system in this regard as a part of the
ERP systems journey to be exact (Chofreh, Goni and Klemeš 2018). This stage has the
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primary inclusion of a number of benefits such as the like of identifying the defects along
with the deviations of the system that is being developed in regards to the functionality of the
same.
As quoted by Haldipur, Narapareddy and Vishwanath (2017), Wipro refers to a
business organization that had been working for years within the field of information and
technology provisioning all of its customers with solutions in relation to the field it has been
working. The company also provisions all of its customers with an e-commerce solution for
Becton, Dickinson and Company (BD) having a complete dependency upon the Hybris
platform including the like of a SAP solution residing in the background of the entire
working system. The implementation of the ERP that had been done by the company upon
the Hybris as well as the SAP platform had been termed as a particular procedure that has the
primary requirement of a procedure for continuous development that is required (Chofreh,
Goni and Klemeš 2018). As a reason, the support from the post production that had the
primary requirement of the project had gone out for multiple years after the deployment of
the same. Technology in common terms refer to a particular object that is visibly identified to
be showing changes on a rapid scale within the field of information and technology. Hence,
this puts forward the particular fact that the fact of necessarily updating the ERP system by
installing updates is necessary for the deployment of the ERP systems.
Hershey’s is a major company within the field of business in its relative field that had
suffered a huge failure while implementing the relative procedures and methods of ERP due
to some of the associated issues such as the like of testing, overall management as well as
scheduling of the project (Victor and Kimencu 2017). The company in particular, had carried
out some major mistakes in regards to the estimation of the demands associated to the users
as well as placed aside the primary activities such as the like of testing along with
provisioning the users with the required amount of training. A rapid procedure for

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7ENTERPRISE RESOURCE PLANNING
implementation had been followed back at Hershey’s instead of approaching the same with a
stepwise procedure for the same. This had particularly acted as a primary contributor towards
the failure of the ERP implementation within the company. In addition to this, the entire
timeframe for the implementation of the ERP into the company had been estimated around 48
months that had been cut down to 30 months by the company assuming that they would be
able to build the entire system way before the estimation period counts (Hasan et al. 2017).
This also led to a failure for the company in terms of implementing the ERP system within its
procedures of business. All of these mentioned errors had led the company to face a major
failure while carrying out such activities in particular. From the above two examples of case
studies in regards to the implementation of ERP system within the business organizations, it
can be understood that the ERP systems journey refers to a non-stop process along with the
fact that the project does not reach the end with the phase of going-live with the entirely
developed system in particular. There is the shared existence of variable phases before the
phase of production that need to be considered as well as dealt with proper required amount
of resources to have a better understanding of how the system works and how the entire work
should be carried out and maintained (Fan, 2018). This shall be done to face no failure after a
successful completion of the ERP system to install it within the respective organizations of
business to ease the business processes for better yields of business.
As argued by Azman, Idris and Chun (2019), ERP systems have been on the rise
within the field of business as a part of getting implemented within the business organizations
for a number of benefits that is encouraged by the various ERP systems. A number of
advantages have been placed forward by the researches that evidently prove the fact that all
the business organizations that have specifically implemented the same have benefitted from
the successful implementation of the same. As a reason, ERP systems are considered to be
assets by majority of the business organizations, which have implemented the same and have
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tasted benefit after installing them within the business procedures that they carry out on a
daily basis (Attri and Panwar 2018). Installation of ERP systems into the organizations are
often considered to be large investments of revenue, but have the potential capability of
unifying the IT related costs as well improving the efficiency of the business procedures.
Instead of making investments for multiple systems, a respective business organization can
typically gather all of that revenue and utilize it to get hold of an ERP system for them and
get done with all of such activities at one go. This is because, an ERP system has the potential
capability to perform in majority of the common activities that takes place within a respective
organization in the field of business such as the like of customer resource management, HR
management, accounting as well as supply chain management (Jafari and Zolfagharian 2019).
Hence, implementation of ERP systems have been proved to be beneficial for all the business
organizations in reference to the long run.
Another benefit of the ERP system refers to the fact that it is considered a major
selling point for the particular software. ERP provisions with the allowance to have the
access into every individual important process related to business by making the data
belonging to every individual department accessible to every individual employee of the
company wherever and whenever required (Alomari et al. 2019). This puts forward the fact
that all of the information belonging to a particular company is centralized provisioning with
the allowance to increase the particular collaboration as well as to have a more streamlined
completion of the required tasks within the procedures of business. In addition to this, with
that of improved visibility of the company related information, better insight is also
considered to be a major advantage that is aligned to the usage of ERP systems and their
relative implementation within the business organization. From a singly existing source, the
ERP system that is particularly implemented into the business organization carries the ability
to generate reports that are useful as well as analytics at the same time (El-Mashaleh et al.
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2016). This software also provisions with the ability to analyse as well as compare all the
existing functions in all of the departments without having the inclusion of maintaining sheets
for the same. Hence, implementation of ERP system within business organizations have
proved to be beneficial at almost every individual business process of the organization getting
offered with various functionalities.
Conclusion
Enterprise Resource Planning systems have been visibly identified as a system that
has been rising with its usage within the field of business in majority of the organizations.
Such organizations have been properly utilizing all of its features along with the procedures
to bring a vast improvement in their business processes that are carried out on a daily basis.
This report firstly identifies a brief description of what an ERP system journey is in real time
and how the companies within the relative field of business have placed it to use by aligning
all of the respective business process to that of the ERP system journey in particular.
Following this, the report puts forward the different stages that particularly need to be
covered to have a successful implementation of an ERP system journey within the
implementation procedure of the same into the business activities of an organization. The
entire journey is divided into four primary stages that each have a specific significance to get
hold of a proper ERP system in the form of a result. The report again considers the real time
ERP implementation within two of the major companies namely, Wipro and Hershey’s.
Wipro is referred to a company within the field of information and technology, which is
considered to have been in business by provisioning various solutions of IT to all of its
customers for a long period of time. This shows a successful venture for the company by the
implementation. On the contrary, Hershey’s has suffered a huge failure with the
implementation of an ERP system due to some of the reasons that had been ignored by the
company but led to the cause of serious damage to the organization having a major impact to

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10ENTERPRISE RESOURCE PLANNING
the business processes. Lastly, the report identifies all the benefits that make the business
organizations implement the ERP system within their business processes to successfully carry
out the business with better outcomes in the end.
References
Alomari, I., Amir, A.M., Aziz, K.A. and Auzair, S.M., 2019. Enterprise resource planning
system business process attributes: A research note. Int. J. Appl. Res. Stud, 5(3), pp.111-115.
Attri, R. and Panwar, N., 2018. A literature review on the implementation of Enterprise
Resource Planning (ERP) system. International Journal of Metallurgy and Alloys, 4(2),
pp.21-24.
Azman, S., Idris, N. and Chun, G.C.F., 2019. The Challenges and Benefits of Enterprise
Resource Planning (ERP) System Implementation: A Case in Malaysian Manufacturing
Firm. Management Research Spectrum, 9(1), pp.10-14.
Cao, F., Sun, J., Yuan, R. and Zou, H., 2018. Enterprise Resource Planning System Adoption
and Stock Price Crash Risk. Available at SSRN 3109697.
Chofreh, A.G., Goni, F.A. and Klemeš, J.J., 2018. A roadmap for Sustainable Enterprise
Resource Planning systems implementation (part III). Journal of Cleaner Production, 174,
pp.1325-1337.
Chofreh, A.G., Goni, F.A. and Klemeš, J.J., 2018. Sustainable enterprise resource planning
systems implementation: A framework development. Journal of cleaner production, 198,
pp.1345-1354.
Costa, C.J., Ferreira, E., Bento, F. and Aparicio, M., 2016. Enterprise resource planning
adoption and satisfaction determinants. Computers in Human Behavior, 63, pp.659-671.
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11ENTERPRISE RESOURCE PLANNING
El-Mashaleh, M.S., Hyari, K.H., Bdour, A.N. and Rababeh, S.M., 2016. A multi-attribute
decision-making model for construction enterprise resource planning system
selection. International Journal of Construction Education and Research, 12(1), pp.66-79.
Fan, G.G., 2018. Customized Manufacturing Enterprise Resource Planning System for
Offsite Modular Light Gauge Steel Construction.
Haldipur, R., Narapareddy, V. and Vishwanath, S.R., 2017. Wipro Ltd.: The Demerger of
Wipro Enterprises. Asian Case Research Journal, 21(02), pp.347-375.
Hasan, M.S., Ebrahim, Z., Mahmood, W.H.W. and Ab Rahman, M.N., 2018. Factors
influencing enterprise resource planning system: A review. Journal of Advanced
Manufacturing Technology, 12(Specialissue1), pp.247-258.
Hasan, M.S., Ebrahim, Z., Mahmood, W.H.W. and Rahman, M.N.A., 2017. AN INSIGHT
INTO ENTERPRISE RESOURCE PLANNING SYSTEM (ERP-S) RESEARCH
TREND. Jurnal ILMI, 7(1).
Hustad, E., Haddara, M. and Kalvenes, B., 2016. ERP and organizational misfits: An ERP
customization journey. Procedia Computer Science, 100(Supplement C), pp.429-439.
Jafari, S. and Zolfagharian, M., 2019. The Role of Enterprise Resource Planning System
Usage on User Satisfaction and organizational learning capabilities. International Journal of
Schooling, 1(3), pp.1-14.
Jirava, P. and Toseafa, E., 2017. An illustrative case study of the integration of enterprise
resource planning system. Journal of Enterprise Resource Planning Studies, volume 2017,
issue: 2017.
Kosasih, W., Salomon, L.L., Doaly, C.O., Ryandi, R. and Liman, S., 2019, April. Empirical
research of enterprise resource planning system implementation in indonesia: a preliminary
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study. In IOP Conference Series: Materials Science and Engineering (Vol. 508, No. 1, p.
012106). IOP Publishing.
Mahmud, I., Ramayah, T. and Kurnia, S., 2017. To use or not to use: Modelling end user
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Makori, E.O. and Osebe, N.M., 2016. Koha enterprise resource planning system and its
potential impact on information management organizations. Library Hi Tech News.
Pontoh, G.T., Rahman, A., Siraja, D. and Ibrahim, M.A., 2019. The effect of task
characteristics on enterprise resource planning system success with user characteristics and
organizational characteristics as mediating variables. Journal of Economics, Business, &
Accountancy Ventura, 22(1), pp.48-58.
Shen, Y.C., Chen, P.S. and Wang, C.H., 2016. A study of enterprise resource planning (ERP)
system performance measurement using the quantitative balanced scorecard
approach. Computers in Industry, 75, pp.127-139.
Thakur, A., 2016. Enterprise resource planning (ERP) implementation in technical
educational institutes: Prospects and challenges. International Journal of Multifaceted and
Multilingual Studies, 3(2), pp.1-5.
Victor, J. and Kimencu, L., 2017. Enterprise Resource Planning System and Performance of
State Corporations in Kenya.
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