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Exploring an alternative method of evaluating the effects of Erp: A multiple case study created by Sylvestre Uwizeyemungu and Louis Raymond

By: Contributor(s): Material type: TextTextSeries: Journal of Information Technology ; Volume 24, number 3London: Palgrave, 2009Content type:
  • text
Media type:
  • unmediated
Carrier type:
  • volume
ISSN:
  • 02683962
Subject(s): LOC classification:
  • T58.5 JOU
Online resources: Abstract: Previous research has already established that compared to other types of investments, information technology (IT) investments are insufficiently or not at all evaluated. This can be partly explained by the lack of adequate IT evaluation methods and tools. In the case of enterprise resource planning (ERP) systems whose effects on organizational processes and performance are intrinsically profound and wide-ranging compared to those of traditional IT limited to some spheres of organization, evaluation activities may be an issue of great concern. This study thus aims to propose and test an alternative evaluation method adaptable to the organizational context, making it possible to measure the contribution of an ERP system to organizational performance in all its aspects. Combining a process-based model and a scorecard model, the proposed method was first designed from a review of information systems evaluation literature. It has then been validated and refined through a multi-case study of manufacturing firms: an in-depth pilot case study was conducted, and thereafter the study was replicated on two other cases. Results show that the method proposed here enables organizations to determine the extent to which the firm's operational and overall performance has been impacted by the adoption and use of ERP systems, through the automational, informational, and transformational effects of ERP on their business processes. From a practical point of view, three contributions must be mentioned: the proposed method allows for a strong contextualization of its application, it is action-oriented, and it allows comparison across organizations even though organizational contexts may totally differ.
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Holdings
Item type Current library Call number Vol info Copy number Status Notes Date due Barcode
Journal Article Journal Article Main Library - Special Collections T58.5 JOU (Browse shelf(Opens below)) Vol. 24, no. 3 (pages 251-268) SP2343 Not for loan For in house use
Journal Article Journal Article Main Library - Special Collections T58.5 JOU (Browse shelf(Opens below)) Vol. 24, no. 3 (pages 251-268) SP2343 Not for loan For in house use

Previous research has already established that compared to other types of investments, information technology (IT) investments are insufficiently or not at all evaluated. This can be partly explained by the lack of adequate IT evaluation methods and tools. In the case of enterprise resource planning (ERP) systems whose effects on organizational processes and performance are intrinsically profound and wide-ranging compared to those of traditional IT limited to some spheres of organization, evaluation activities may be an issue of great concern. This study thus aims to propose and test an alternative evaluation method adaptable to the organizational context, making it possible to measure the contribution of an ERP system to organizational performance in all its aspects. Combining a process-based model and a scorecard model, the proposed method was first designed from a review of information systems evaluation literature. It has then been validated and refined through a multi-case study of manufacturing firms: an in-depth pilot case study was conducted, and thereafter the study was replicated on two other cases. Results show that the method proposed here enables organizations to determine the extent to which the firm's operational and overall performance has been impacted by the adoption and use of ERP systems, through the automational, informational, and transformational effects of ERP on their business processes. From a practical point of view, three contributions must be mentioned: the proposed method allows for a strong contextualization of its application, it is action-oriented, and it allows comparison across organizations even though organizational contexts may totally differ.

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