Technology Adoption Issues and Challenges for ERP Systems Analysis

This report delves into the multifaceted challenges and issues surrounding the adoption of Enterprise Resource Planning (ERP) systems. It begins with an introduction to ERP, highlighting its importance in modern business operations and the increasing trend of its implementation across various organizational sizes. The report then meticulously outlines the steps involved in ERP implementation, emphasizing the significance of strategic planning, infrastructure analysis, customization, change management, and employee training. It further explores the impacts of ERP implementation, including data integration, improved efficiency, and enhanced customer relationship management. The report also examines the acceptance model, cost factors, and factors affecting ERP adoption, with a focus on the challenges businesses face. Finally, the report provides insights on avoiding common pitfalls and concludes with a comprehensive overview of the key takeaways.

Technology Adoption Issues and Challenges for ERP Systems

Abstract
In today’s world of information technology, every business organization wants to show its presence on
Internet. Business operations are becoming more complex and need advanced technology for fast and
reliable processing. ERP (Enterprise resource planning) is one of them. It is considered a complete
business solution tool and mostly used in all the type of businesses worldwide. ERP is being used by most
of the small and medium scale organizations to enhance the quality of business operations. It is the most
common topic right now for research and scholarly articles. There are number of online literatures and
blogs available for the implementation of ERP in business. When implementing ERP there might be
chances of some technical issues and problems which may be faced by companies. In our research
project, the main focus is on the importance and impact of ERP is developed and developing countries
and the issues which might occur while adopting the ERP in business organization.
Keywords
Enterprise resource planning, ERP, Adoption of ERP, acceptance model, Impact of enterprise
resource planning, pitfalls of ERP adoption, cost factors of ERP implementation.
Table of Contents
Abstract.......................................................................................................................................................1
Keywords.....................................................................................................................................................1
Introduction.................................................................................................................................................1
ERP implementation....................................................................................................................................3
Strategic planning....................................................................................................................................4
Review the plan.......................................................................................................................................4
Analyzing the infrastructure....................................................................................................................4
Customization..........................................................................................................................................5
Change management...............................................................................................................................5
Training...................................................................................................................................................5
Final evaluation and living the system.....................................................................................................5
1

Impacts of ERP implementation..................................................................................................................6
Acceptance model.......................................................................................................................................8
Cost factors in ERP adoption.....................................................................................................................11
Architecture of system...........................................................................................................................12
Number of users involved......................................................................................................................12
In or out house ERP implementation.....................................................................................................12
Customization level...............................................................................................................................12
Migrating data.......................................................................................................................................13
Deployment...........................................................................................................................................13
Factors affecting the ERP adoption...........................................................................................................13
Challenges in the ERP adoption in business..............................................................................................14
Avoiding the pitfalls..................................................................................................................................18
Conclusion.................................................................................................................................................22
References.................................................................................................................................................23
Introduction
ERP stands for Enterprise Resource planning. It is an application software used to integrate
various functions of a business into a single well managed system. This consolidated system is a
shared system within a business organization (RupashreeBaral, 2017). Basically ERP was
originated from manufacturing or production division of any business and was mainly used in
businesses related with manufacturing but later on in 1990, the ERP systems were expanded into
other functional units of businesses also such as finance, sales, human resources etc. At present
we can see the importance of ERP in almost every field of business included supply chain
management and customer relationship management.
The main objective of ERP system in business is to improve the efficiency of business operations
on a reduced cost. ERP makes it possible to communicate in an integrated way all the
2

departments of business organization and all the business operations can be performed in a
cooperated manner to share the information (Rawani, 2016). ERP is best suited for streamlining
the flow of data among diverse operations of a business and create a single transaction system.
According to the Hitt, Wu and Zhou, “The standardized and integrated ERP software
environment provides a degree of interoperability that was difficult and expensive to achieve
with stand-alone, custom-built systems.” If the operations of any business organization is
standardized and integrated, all the activities regarding managing and controlling the business
operations will be centralized and improves the functionality of information system on a reduced
cost (Seo, 2013). ERP can be used to enhance the customer relationship management and get
connected with suppliers all the time. The response time for almost all the basic needs of
business operations is decreased in a great extent.
In this way ERP is now proved to be the most important tool is business Intelligence for all the
business organizations let it be small scale, medium or large scale businesses. Day by day the
new technologies are integrating with ERP to make it more powerful and efficient to support the
business operations (Smedley, 2014). This continuous advancement of technological integration
is a very complex procedure and requires regular updates in system. Most of the ERP vendors
are now practicing to grab the opportunity to enhance the ERP software to meet with changing
needs of business.
Although there are enormous benefits of ERP systems but more of the systems result in a big
failure while implementing the technological enhancements in ERP system. As per the research
done it is proved that there are not just the technical issues but behavior aspects are also
responsible for the same. Business organizations must plan accordingly prior the adoption of new
3

system from the employees and customers point of view. There must a clear strategy for the
employees to face any challenge which might occur and can be resolve to achieve the target.
In this research report, we will analyze various problems and technical issues which might occur
in the technological adoption process of ERP. It will focus on three main aspects: firstly what
may be the issues in the adoption of ERP. Second which types of resources are available for the
same topic and third what are the reviews of peer researchers about the same topic (Erturk,
2010). There are so many research papers, journals, white papers, articles and conference papers
available which are already published on the adoption issues of ERP and it is difficult to discuss
each and every one in this research report. So we will try to provide a consolidated summarized
form to describe the problem.
ERP implementation
The tough competition in the business markets leads to the requirement of implementing ERP in
business to get the optimal use of resources and improve the efficiency and reliability of business
operations. The selection of best ERP software for business is the foundation of success, as it is
said that the war can be won if the first step is right. If the chosen ERP software fulfills all the
basic needs of specific business, there is no need of customizing it otherwise it will be a time
consuming process and will add extra overhead of cost (Sean W. O’Donnell, 2013). The
successful implementation of ERP software needs a step by step process:
Strategic planning
Before planning to implement ERP, the objective must be identified. The KPI (key performance
indicators) must be identified in accordance to analyze the requirements of ERP. These
requirements must focus on present as well as on future. Proper strategy allows scalability and
4

any changes or modification in the current business. After the objective is defined, the team
which will handle the business operations from various departments of organization must be
created. The goal of team must be accommodated for a specific task (Light. Zaglago, 2013). The
role of team is to analyze the issues in current system and how the problems may be resolved.
The outcome is the project plan what to do and how to do? As per the survey done in 93% cases,
the business organizations customize their ERP software as per their need. It increased the
chances of failure of ERP system.
Review the plan
The project plan is reviewed through intensive review procedure of the system. Whether the
changes are necessary or not? Once the solution is identified, data migration is to be done with
extensive care. It must be decided which data must be migrated (Almeida, 2016).
Analyzing the infrastructure
Preparing the infrastructure for the implementation of ERP is at the core and is very crucial step.
In most of the cases, the ERP system fails because of the wrong decision about the infrastructure.
The data which is migrated on new infrastructure is verified about accuracy (Shang, 2005). To
test the accuracy of data real test cases must be run. In this phase the integration of ERP system
with other systems is also verified and the issues must be resolved if any.
Customization
In most of the cases the vendors of ERP, design the software as per the basic needs of
organization but in some cases the customization is necessary therefore the management team
has to analyze the ERP software and evaluate the requirement of changes.
5

Change management
It is the human tendency that they feel comfort in their daily routine activities, any changes in it
is not acceptable easily. It is called the change management. ERP is a system and it will
definitely change the working environment and culture of the company. Here is the role of
management to encourage their employees and prepare them for all these steps. The employees
must be trained about why the changes are important and what would be the benefits of adopting
this new culture? To boost the confidence level of employees, continuous sessions must be
planned (tom, 2011).
Training
ERP system fails in 21% cases in lack of proper training and improper customization of software
due to insufficient knowledge of information technology. Training of ERP system is the most
important aspect in the adoption phase of ERP. The management team of organization must
ensure the technological training of employees and the supporting staff regarding this.
Final evaluation and living the system
This is the final stage, before making system live, it is recommended that a final checklist must be
prepared. This checklist must contain all the points which must be reviewed before implementing the
system. Some points may be (Thuraisingham, 2007):
1. Whether the inventory or resources needed are available or not?
2. While the system is migrated from traditional old system to new system, some transition issues
might be occurred. If so, whether the required solutions will be available on time or not?
3. The data which is to be migrated is checked or not?
4. The employee may require training to use the system efficiently. Whether the training resources
for employees are available or not?
6

Once all the above aspects are verified and ensured then the system can be live. Experts’ advice
one last functional test to minimize the chances of failure. ERP adoption is a continuous process
and it will keep all the tabs of ERP system busy. Software updates must be checked on regular
basis and maintenance if required must be done periodically (Carpenter, 2016). Ongoing support
is the key for successful adoption of ERP system.
ERP Implementation
Impacts of ERP implementation
The major impact of ERP system is to manage the information sharing and processing among various
departments of business. It includes maintain good relationship among business partners, fulfilling
customer requirements and improve the business operations. ERP systems are application software
which are generally used for business operations such as: planning about production, supply chain
management, handling inventory and distribution department for managing accounts and customer
services etc. These all operations will be surely improved by implementing the ERP system.
7

The integration among all the departments of an organization is possible due to the use of Internet
nowadays (Ince, 2016). The main purpose of ERP implementation is to gain the advantages of business
processing like:
1. Data Integration
2. Computerized business processing
3. Enhanced flexibility
4. Less manpower needed
5. Improves the globalization
6. Centralized information system
According to DeLone and McClean, there are many factors available which may influence the ERP
adoption process. These factors are categorized in following types (R., 2012):
1. Quality of system
2. Quality of information
3. The usage amount of system
4. The level of customer’s satisfaction
5. Effects of individual type
6. Impacts related with organization
Acceptance model
The Acceptance Model Specifies the basic relationships between systems and their designs or features,
perceived of each case, usefulness and the attitude towards using. The base of this model is that the more
acceptance the new systems get from users, the more they get willing to make suitable changes in their
working process and techniques. This also help them to use their time and efforts in a very effective and
8

efficient manner. This model consists of two major determinants just to analyze the key reasons for the
acceptance and the rejections in IT as “Perceived Usefulness” and “Perceived Ease of Use”.
Acceptance model of ERP system
Perceived Usefulness
It can be defined as the significant key to which a person might think that by using a particular system
would bring a sudden enhancements in his job performance or skills in doing right things. This can also
be defined as the degree of point that is just to make the person think that it would fulfill all his gaps in
his working efficiency and will improve his overall skills.
Perceived Ease of Use
It represents the capability to analyze between the two situations:
9

The first situation is to compare that whether any product or process if adopted will results in diminishing
the efforts or not?
The second situation is if the efforts will not decrease then whether the same efforts will result in better
result or not?
This addresses the major issues that how the user accepts start to use such system or technology.
Numerous significant ways have been found and made over the last decades in explaining and making
predictions over the acceptance of IT. Theoretical as well as empirical supports has been build up in the
favor of the acceptance model and this also compares in a favorable manner with the alternative models
like “Theory of Reasoned Action” and “Theory of Planned Behavior”. Over such a long period of time
this acceptance methodology has been used to predict the acceptance of the technology by the user. Some
of the studies also found that both the project communication and training somehow influences the beliefs
of such technology. The influence of top management support, communications, cooperation and
technical complexity during ERPs acceptance has been considered as the most significant than any others,
as they make the best impact over this IT system and its acceptance by the users. Acceptance model
arouse form the theory that a technology observed by the people that would be easier to use and would
have higher usefulness will be more likely to have a better acceptance. It also affects the attitude towards
usage of systems in a much effective manner.
The critical success factors are also helpful in explaining all the aspects of initial failure and the
eventual success of implementing the ERP. However making the ERP system to work in an effective way
is more than an issue of social accommodation. Furthermore, it has been tested primarily on the systems
that are relatively working in a simple manner. It has been recommended that Acceptance Model should
be revised so as to address the user attitude, intent and behavior when it is being applied to complex
systems in an organization. As ERP users have an effective impact over the others, they are left with no
choices to avoid the system, without any respect of the attitudes about the ERP systems. Thus it is being
observed that ERP has a feedback that refers to the user’s mental acceptance for the working system. That
10

is the main reason why the Acceptance Model is being considered very much useful for explaining or
predicting the attitude of the customers towards the ERP systems or working organizations.
To complete the whole advanced proposed model, there is a requirement to include three external
variables somehow that relates with the cultural factors and can be stated relevant for health care to
initiate the use of ERP. Such variables might influence the attitude towards the behavior through any
indirect way by making a deep effect over the beliefs of the people:
Resistance to Change
The aligning of the standard ERP with the organization’s business processes is surely for a long duration
that is considered to be as a critical step of implementing the process. The implementation of ERP is
always having a requirement of business process reengineering, as the need to adapt the organizational
processes to match the business objectives or goals. There are many examples where people are not ready
to accept the sudden changes as:
● The purpose is not made clear.
● Participants are not that active in planning things.
● Ignorance to some of the basic key points.
● Exceeding work pressure over the team.
Thus this external factor was being introduced so that it could cause some resistances to change by the
users and somehow also affects the attitude towards the efficient use of ERP.
Perceived Risks
Some major organizations make regular efforts to lower the risks due to the serious barriers involved.
Legal and economic barriers as well as gaining the customer’s trust among the market also gets affected.
11

Thus perceived risks have made a very significant impact on the attitude of users towards the usage of
new introduced technologies.
ERP have vital advantages as all the information is centralized in a single relational database that
is somehow accessible by all the modules, along with the eliminations of the need for the multiple entries
of the same data. Along with all this, the ERP is needed to be defined very precisely. Most of the times
the formal information is not provided completely, as the implementers do not know that where all this
information exists in the company or the organization. Thus ERP at this time would be risky because it
may lead to missing the functions or to optimize the parts of the organization.
Resistance to be controlled
By centralizing the information at a single place and collect that as a single unit so that it can be shared by
all the organization’s key functional systems and business processing across the whole functioning. Thus
ERP offers the promise of integration. Integration and standardization of data and the processes that helps
in improving the control systems, and it can also affect the controls that how things are to be made
visible. In such a way, ERP involves the centralization of control over information.
Cost factors in ERP adoption
Budget is the main constraint while adopting ERP system. Although there is no perfect answer
about how much will be the cost of ERP implementation but there are some key factors which
might play a very crucial role in it. There are six main factors as follows:
Architecture of system
The overall architecture of a system can affect the budget of ERP implementation in different
ways. What features and modules will comprise the architecture and what are the possible
customizing features which we can add are also important.
12

Number of users involved
The numbers of users which may involve in the ERP system also affect the cost of system. The
more are the number of users, the more is the cost. In some cases initially there are less number
of users needed but later on the number of users will increase. It is the recommended approach
that the number of users must keep in control and may increase whenever necessary.
In or out house ERP implementation
The implementation of ERP system can be done in house or outside the organization depending
on the skilled manpower availability. If the expert IT employees are available it will reduce the
implementation cost of ERP system but in lacking of the skilled persons some help might be
taken from outside the organization and it will surely increase the cost of ERP system
implementation.
Customization level
ERP systems are available as per the general needs of business organizations. If the system is
capable to fulfill the requirements of business and there is no need of any add-on software or
customization, the cost will be in control but if the company needs more features it will increase
the cost as well.
Migrating data
The amount of data which is to be migrated from current system will add extra cost in the
implementation of ERP system. So, only the necessary and accurate data must be migrated from
current system to control the cost of the system.
13

Deployment
In the ERP implementation, the biggest confusion is whether to choose on premise ERP system
or cloud ERP. In both type of implementation different budget factors are involved. Generally
cloud ERP has monthly consumption fee and one subscription fee. It also involved maintenance
and support fee on the other hand on premise implementation has upfront fee and support fee.
Etc.
Factors affecting the ERP adoption
According to the research done in the field of ERP adoption, there are various factors in an
organization which may affect the adoption of ERP system. One of the main factor among them
is managing people. The main cause behind the failure of business is inefficient use of human’s
power. The change management is the most crucial and difficult factor in ERP adoption.
Organizational culture of any business affects the change management. The attitude of
employees and the zeal to learn something new can make the changes easy and effortless.
The structure of management team and its strategy also affects the ERP adoption. The strong
management and controlling power is the key of success into any business. It empowers the
decision making process. Responsible and confident managerial team can take the decisions on
their own risk and compete with other businesses. On the other hand threats related with ERP
adoption, improper decisions, unclear statements and incomplete approval during the process of
ERP adoption will create improper ERP adoption strategy and the result will be ERP adoption
failure.
Before the ERP implementation takes place, the appropriate training and active participation of
employees must be ensure. Improper efforts for the technological training of employees will
14

affect the ERP adoption process negatively. Due to inefficient communication between
employees and non-helping behavior of employees will adversely affect the business.
The technological support during and after the implementation of ERP is essentially required.
Inadequate analysis by non-capable team will increase the chances of system failure.
Some internal factors are also there which impact the ERP adoption process. The most
importantly the top level management and its strategic planning impacts the system. In external
factors the policies of government and the regulatory terms and conditions are main factors
which may affect the ERP systems. The policies regarding license and the limits of raw material
impacts the ERP implementation.
Challenges in the ERP adoption in business
With advancements in the IT sector in the past decades, adoption of technology is considered
along with the implementation of the ERP as a vital key in business transformation (Osintsev,
2016). It provides right information in the right flow and with a right significance that helps to
bring the marvelous returns or benefits to the enterprise in the competitive market. Thus there
has been always a significant need of an efficient and effective information flow system like
ERP, so as to compete in a proper way with organizations. Though the implementation of an
ERP system is being considered as a significant strategy for the establishment of new accounting
processes and practices for improving the survival rate.
Standard ERP system and its implementation generally needs a significant input from the
organization in the form of efforts, money and time. On the other hand it also creates certain
obstacles in the ERP implementation or in the adjustment of ERP. Some of these constraints that
are being faced by the organizations for the standard ERP adoption are:
15

Resource-Intensive Nature of Standard
ERP implementation also requires to have appropriate workforce allocation, intensive training
and a better management commitment. This requirement becomes more complex if it requires
ERP.
Long Implementation Time Frame
ERP also requires a little bit more time for the proper implementation than any other software
package. The extensive usage of resources for a long time, and this may have a negative impact
for the organization’s core business.
High Cost of Standard ERP implementation
ERP is also famous for its high performance, customization, resources and training costs.
Financial barriers play a major role in the rejection of ERP. It demands solutions at a reduced
price from a limited ERP vendors or workers. And on the other hand it is also very difficult to
offer ERP at a reduced price.
Compact/ Pre-Configured Solutions
The ERP vendors provide a full pre-configured product to the working system that also offers an
overall integrated key process. This all consists of the overall requirements or needs of any
particular working system. Pre-configuration of ERP system is specific to each other and also
includes software menus, software test catalogues and documentations and their functionality
along with the support for particular industries.
Pricing Policies
16

ERP vendors also follow the flexibility in pricing for the products that are also being targeted
towards the market. The working systems can also buy the core solutions according to their
requirements, and the ERP pricing options are also more attractive when hosted on the clouds.
But on the other hand these pricing rates are also dependent on the basis of several other clients,
and their licenses. This indirectly leads to deliver a much more competitive environment, making
it difficult to expand firm business.
Lack of Organizational Leadership
Any ERP system implementation process is being followed effectively over a specific time
period. In most of the cases the interest and the commitment of the organization usually decline.
Depending on such situations the understanding of ERP is affected due to size, scope, and
technical problems at the top management level. This all further leads to lack of commitment in
providing the resources required for a justified implementation.
Ineffective Communication
Effective communication plays a significant role in ERP implementations. The firm and clear
expectations from the management at every level is needed to be communicated to ERP vendors.
Thus Poor communication is one of the most major factors that leads to an unsuccessful ERP
implementation. Sometimes the communication gapes start showing up at the very beginning and
it starts increasing at each level till the end. Thus this effects the organizations as they won’t be
able to judge or analyze the serious factors that will have a major impact on their services.
Inadequate End-User Training
Another major factor in unsuccessful ERP implementation is the insufficient training of the ERP
system, as it has been always underestimated due to the budget, and lack of time duration. A
17

good training plan is always much more beneficial as it helps to make the best efficient and
effective use of resources and as well as the planning (Haddara, 2013). Thus everyone should
have the proper knowledge to gain the efficient methods while interacting with the working
systems or business processes. Lack of training leads to the insufficient knowledge of how the
ERP changes the existing business processes and serve for the successful ERP implementation.
Redundant Processes
ERP offers process scoping and its efficient functionality that is also practically redundant and
not useful for the working. As it increases the bureaucracy when implemented and doesn’t
support any kind of practical management among the working system or among the organization
leading to insufficient information flow.
Thus in short, the key challenges that needed a framework by the existing systems are
(TomásEscobar-Rodríguez, 2015):
● The lack of vital information on the business skills and its performance. Even though
they can be retrieved from many sources.
● Crashing of many working systems more frequently due to the system interoperability
and performance problems.
● Duplication in the data entry efforts also leads to the loose of control by the human
resource productivity. It also lead to the major need of the manual interventions.
● The crucial orders by the customer’s information also generated the requirements by the
sales workforce in that particular field.
18

The organization needs to have an efficient integrated system to overcome such challenges in the
business processes and operations. With the help of an effective ERP system, it becomes very
easy to improve the customer service and flow of services. Some of the Frameworks (Hwang,
2011):
● Use of Standard Functionality
● Integrated Working Models
● Use of Interactive and Collaborative flow of Information and delivering the services.
● Producing a proper solution to evaluated
● Refining the errors before wide release for the Users.
Avoiding the pitfalls
In an unsuccessful or inefficient ERP system there involves a lot of pitfalls that together leads to
the ineffective working of any organization or working system, these pitfalls are needed to be
determined and proper analysis is to be done along with the determination of proper solutions to
avoid them. Some of these solutions to pitfalls are (Maditinos, 2005):
Clear definition of scope
The mistakes done by the ERP companies conveys the wrong implementation of scope along
with the undefined scope that mostly leads to direct the overall project into a wrong or opposite
19

direction. Thus it is very important to have a very clear scope of goals the objectives that an
organisation wants to achieve (Zuyderduyn, 2011).
Provide Commitment on Upcoming Features
Over-commitment is one of the major mistakes that are being done by the ERP providers, some
ERP software are also mostly dependent and limited to predefined functionalities and does not
seem to be that flexible enough to adapt the vast business changes in much efficient manner.
Thus there should exist a wide range of flexibility for the demands along with more effective
terminologies that would fit in for all the working systems, this would raise the standard of
commitment allowing the customers to have major benefits (lee, November).
Sell ERP According to Business specialization
Many of the ERP tools are specialized in various other ERP domains across vast market
demands and the working organizations, sometimes ERP vendors somehow manage to complete
the deals for the clients but that are not fulfilling the business demand of the customer and many
a times this also leads in major in ERP failure as well as its implementation (Schiff, 2017). Thus
it generates a need to be more specific and accurate in providing the services to the
organizations, so as to achieve the better accuracy among providing the services.
Use of Proper Planning
Inadequate Planning is generally very risky for the working of the projects as it goes without
planning and also with the lack of checkpoints that may lead to ERP failure at the end. So a
proper planning is very much required to have a knowledge that what is needed to be done
consecutively in a step by step process (thompson, 2013).
Selection of Correct Implementation Methodology
20

Inappropriate selection of methodologies is one of the most common mistakes done by the
companies that are following the ERP (Johnston, 2002). As different projects require different
implementations and those implementations would be having effective strategies to cope up with
only that particular working process, depending on the type of working systems they are being
consisting of. So just to avoid the mix usage of methodologies or in confused manner, there
needs to be a very clear objective goal to meet the right and appropriate methodology.
Proper Business Mapping
Business process mapping in a wrong manner is one of the key reasons for the downfall. As ERP
failure somehow directly or indirectly affects the bond or working capability between business
process & ERP software (Vokurka, 2004). So just to avoid such gapes a proper business
mapping is required, so as to attain the knowledge of a right and clear step by step process.
Lack of Advertising Unique Benefits
Showcasing of benefits in an inappropriate manner or in an insufficient flow of information for
the whole system may lead to a major mistakes by the ERP software and that would affect the
services and their demands in the market (Day, 2014). Thus, unique benefits are needed to be
showcased in a right manner to attract more demand in the market, and also to attain the right
positive flow of information.
More focused Customer Approach
Missing the right and effective approach towards the customers is also one of the common
mistakes. Mostly the focus is always on ERP software, due to which the approach towards the
customers are somehow affected, but this also has a major impact over the ERP implementation
and its demands. So it has to be given proper priority.
21

Proper Handling of Budget
Inaccurate budget handling is also considered to be the biggest mistake as the customers buy
only those products that would meet up their requirements along with considering their budget
according to their demands. So this is very important that the services should lien somewhere in
the budget range of customers.
Proper Resource Allocation
Resource allocation is needed to be done through proper skill matrix along with the desired
expectations and not by just the random allocation, as the right usage of resources can only be
attained if they are allocated in a right and proper manner (Leung, 2017). Thus the resources are
needed to be arranged based on their availability.
Proper Communication
Unscheduled meetings leads to communication gaps and is also stated as one of the most regular
blunders in working systems or companies and this tends to increase lack of appropriate flow of
information that in turn increases the risk of wrong frameworks for things or solutions
(O'Donnell, 2016).
Proper Planning
Lack of user handling & training leads to increase more chances of rejection and avoidance for
the system and hence some priority is needed to be given for proper planning of things and
shaping the work process in a right manner (hood, 2014).
Right Approach towards Deadlines
22

Many a times the wrong approach towards the deadlines or commitments leads to be the biggest
mistake done and that also costs the working organizations in ERP failure and hence, priority
should be given to it, even before a well-defined plan is being established for a particular project
or system (Moon, 2007).
Conclusion
It is clear from this research project that businesses now need a well-defined technology to
streamline the business operations to improve the efficiency and effectiveness of business. It will
surely decreases the cost of business operations as almost all the business processing will be
done using technology (k, 2011). It improves the capability and efficiency of employees of
organization. While implementing ERP, company must plan proper training of existing
employees, so that they will not get any type of operational issues. Employees are hence became
sharper and technically expert. ERP adoption can be used to achieve the target of business
growth and to achieve this target, all of the business operations must be integrated. In this way
the data can be shared among other processes of business. The main goal of ERP system is to
share accurate, reliable and related data. We have seen in this report all the impacts of ERP on
business operations along with the implementation issues which might occur. Although the ERP
system is considered as the boon of business but the adoption process of ERP in small and
medium scale organization is not very much simple. On the basis of research analysis of ERP
implementation during 2005-2015, in this research paper the adoption issues are explained. It is
concluded that to implement ERP in companies, first need is software and hardware. It will
increase the cost of business. ERP implementation has some issues related with integration
process, such as integration with legacy systems and business patterns.
23

References
Almeida, M. Q. S. A. S. P. L., 2016.
http://www.sciencedirect.com/science/article/pii/S1809203916300067. 13(1), p. 9.
Carpenter, L., 2016. common-challenges-with-erp-software-implementation. [Online]
Available at: https://www.nchannel.com/blog/common-challenges-with-erp-software-implementation/
[Accessed 25 October 2017].
Day, T., 2014. 5-pitfalls-avoid-erp-implementation. [Online]
Available at: http://noblue.co.uk/blog/5-pitfalls-avoid-erp-implementation
[Accessed 25 October 2017].
Erturk, J. K. A. a. E., 2010. 1701.08329.pdf. [Online]
Available at: https://arxiv.org/ftp/arxiv/papers/1701/1701.08329.pdf
[Accessed 24 October 2017].
Haddara, M., 2013. www.sciencesphere.org/ijispm/archive/ijispm-010201.pdf. [Online]
Available at: http://www.sciencesphere.org/ijispm/archive/ijispm-010201.pdf
[Accessed 24 October 2017].
hood, J., 2014. ieeexplore.ieee.org. [Online]
Available at: http://ieeexplore.ieee.org/document/6927770/
[Accessed 24 October 2017].
Hwang, W., 2011. http://utdr.utoledo.edu/cgi/viewcontent.cgi?article=1611&context=theses-
dissertations. [Online]
Available at: http://utdr.utoledo.edu/cgi/viewcontent.cgi?article=1611&context=theses-dissertations
[Accessed 24 october 2017].
Ince, H., 2016. The Impact of ERP Systems and Supply Chain Management Practices on Firm
Performance. Elsevier, 99(16), p. 9.
Johnston, S. J., 2002. 3141.html. [Online]
Available at: https://hbswk.hbs.edu/archive/3141.html
[Accessed 25 October 2017].
k, R., 2011. advantages-disadvantages-of-erp-enterprise-resource-planning-systems. [Online]
Available at: http://www.excitingip.com/2010/advantages-disadvantages-of-erp-enterprise-resource-
planning-systems/
[Accessed 25 October 2017].
lee, J., November. https://www.bistasolutions.com/resources/blogs/13-common-erp-mistakes-avoid-
making/. [Online]
Available at: https://www.bistasolutions.com/resources/blogs/13-common-erp-mistakes-avoid-making/
[Accessed 24 october 2017].
24

Leung, T., 2017. improve-internal-communication-with-erp-software. [Online]
Available at: http://www.winman.com/blog/improve-internal-communication-with-erp-software
[Accessed 25 October 2017].
Light. Zaglago, I. A. C. C. a. H. S. M. I., 2013. The Impact of Culture in Enterprise Resource. The Impact of
Culture in Enterprise Resource, 3 July, p. 6.
Maditinos, D., 2005. http://abd.teikav.edu.gr/new_articles/028d_factors.pdf. [Online]
Available at: http://abd.teikav.edu.gr/new_articles/028d_factors.pdf
[Accessed 24 october 2017].
Moon, Y., 2007. Enterprise Resource Planning (ERP): a review of literature. Syracuse University, 10(2), p.
31.
O'Donnell, J., 2016. Why-communication-is-critical-to-implementing-ERP. [Online]
Available at: http://searcherp.techtarget.com/podcast/Why-communication-is-critical-to-implementing-
ERP
[Accessed 25 October 2017].
Osintsev, A., 2016. the-5-biggest-challenges-when-implementing-erp-for-the-first-time.html. [Online]
Available at: https://www3.technologyevaluation.com/research/article/the-5-biggest-challenges-when-
implementing-erp-for-the-first-time.html
[Accessed 24 October 2017].
R., H., 2012. The impact of ERP implementation on organizational capabilities and firm performance.
Emerald insight, 23(2), p. 12.
Rawani, S. K. M. a. A. M., 2016. ERP SYSTEM IMPLEMENTATION ISSUES AND CHALLENGES IN developing
nations. ARPN Journal of Engineering and Applied Sciences , 11(12), p. 8.
RupashreeBaral, C. A. a., 2017. Adoption of ERP system: An empirical study of factors influencing the
usage of ERP and its impact on end user. IIMB Management Review, 27(2), p. 12.
Schiff, J. L., 2017. https://www.cio.com/article/2397802/enterprise-resource-planning/article.html.
[Online]
Available at: https://www.cio.com/article/2397802/enterprise-resource-planning/article.html
[Accessed 24 october 2017].
Sean W. O’Donnell, 2013. http://www.datacorinc.com/articles/news/erp.pdf. [Online]
Available at: http://www.datacorinc.com/articles/news/erp.pdf
[Accessed 24 october 2017].
Seo, G., 2013. ic3.mit.edu. [Online]
Available at: https://ic3.mit.edu/sites/default/files/documents/2013-07.pdf
[Accessed 24 October 2017].
Shang, S. S. C., 2005. A Model for Analyzing Organizational Performance of ERP Systems. pacies, 145(4),
p. 7.
25

Smedley, E. Z. &. J., 2014. FULLTEXT01.pdf. [Online]
Available at: http://hh.diva-portal.org/smash/get/diva2:239523/FULLTEXT01.pdf
[Accessed 24 October 2017].
thompson, M., 2013. http://www.mrpconsulting.com/methodology/pitfalls.html. [Online]
Available at: http://www.mrpconsulting.com/methodology/pitfalls.html
[Accessed 24 october 2017].
Thuraisingham, W. S. a. B., 2007. Security for ERP. UTDallas, 16(3), p. 13.
TomásEscobar-Rodríguez, 2015.
http://www.sciencedirect.com/science/article/pii/S1138489114000259. Revista de Contabilidad, 18(2),
p. 10.
tom, P., 2011. http://www.skywardtechno.com/blog/erp-implementation-steps/. [Online]
Available at: http://www.skywardtechno.com/blog/erp-implementation-steps/
[Accessed 24 october 2017].
Vokurka, M. D. O. a. R. J., 2004. Process mapping in successful ERP implementation. CiteseerX, 104(2), p.
7.
Zuyderduyn, J., 2011. benefits-and-pitfalls-of-erp-systems. [Online]
Available at: http://www.softwareshortlist.com/erp/articles/erp-selection/benefits-and-pitfalls-of-erp-
systems/
[Accessed 25 October 2017].
26