changeability of erp systems literature research

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| Datum 21-November-2013 Changeability of ERP Systems Literature Research Master student: Vitosh Kolev Doynov Supervisor: prof. dr. Manda Broekhuis Client and supervisor: prof. dr. Laura Maruster Client and supervisor: prof. dr. ir. J.C. (Hans) Wortmann Master Thesis Presentation Business Administration Programme Supply Chain and Operations

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Changeability of ERP Systems Literature Research. Master Thesis Presentation Business Administration Programme Supply Chain and Operations. Master student: Vitosh Kolev Doynov Supervisor: prof. dr. Manda Broekhuis Client and supervisor: prof. dr. Laura Maruster - PowerPoint PPT Presentation

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|Datum 21-November-2013

Changeability of ERP Systems Literature Research

Master student: Vitosh Kolev Doynov

Supervisor: prof. dr. Manda Broekhuis

Client and supervisor: prof. dr. Laura Maruster

Client and supervisor: prof. dr. ir. J.C. (Hans) Wortmann

Master Thesis Presentation

Business Administration ProgrammeSupply Chain and Operations

|Date 21-November-2013 2

Contents Introduction

Research questions

Methodology and Research Design

Results

Conclusion

Questions and comments

|Date 21-November-2013 3

Introduction

ERP – a concept, composed of a set of processes, methods and techniques for effective planning and control of resources¹.

ERP – a cornerstone in any organization².

The maintenance of the EPR systems is expensive - an average ERP upgrade carries a price tag of $1.5 million³.

In general change is a risk factor, contributing to project failure⁴.

|Date 21-November-2013 4

Research questions

What is ERP changeability? How is it defined in the literature?

What framework for ERP changeability can be used in order to analyze ERP changeability results?

What recommendations and applications for ERP practitioners can be derived from the analysis of the results?

|Date 21-November-2013 5

Methodology and Research Design I Literature review provides possibilities to summarizereport and evaluate previously reported evidence⁵.

Table with following columns is created:

Title Description of Change Agent of Change Effect of Change Mechanism of Change Organizational Impact

|Date 21-November-2013 6

Methodology and Research Design II

Content analysis for determination of Organizational Impact.

Three standard⁶ steps for content analysis:

Open Coding Axial Coding Selective Coding

|Date 21-November-2013 7

Changeability – How to define it? Aspects of changeability :⁷ change agents change effects change mechanisms

System parameters of changeability: Flexibility Adaptability Scalability Modifiability Robustness

|Date 21-November-2013 8

Configuration Identification std. SW package

Deployment model

Single/Multi-site scope

Mod

ific

atio

n

0 Vanilla-ERP

1 Configured vanilla ERP

2 Upgrade vanilla

ERP to new service pack

3 Upgrade vanilla

ERP to new release

9 Deployment mode from

‘On premise’ to ASP

11

Expansion of scope to multi-site (vanilla)

4

Vanilla ERP into modified

ERP

5

Configured modified ERP

6

Upgrade modified ERP to new service pack

7 Upgrade modified ERP to new vanilla

release / 8

Upgrade modified ERP to new

modified release

10

Deployment mode from ‘On premise’ to SaaS

12

Expansion of scope to multi-site (modification)

13 change mechanisms are recognized.

Introduction of selected framework

ERP changeability can be expressed with the terms⁸: Configuration Modification

|Date 21-November-2013 9

Title

Application of SAP R/3 in on-line

inventory control

A decision framework for

enterprise resource planning

maintenance and

Estimating the impact of ERP

project management

decisions on post-

ERP evaluation during the

shakedown phase: lessons from an

after-sales division

An exploratory study of the impacts of

upgrading packaged software: a stakeholder

Accounting logics, reconfiguration of

ERP system and the emergence of new

accounting practices

Open

codi

ng

User Training, PC usage training and additional training

after go-live

User training User trainingExtensive retraining

of the staffTraining

Premature application training,

leading to lack of user ERP skills

Training and retraining

Training

Integration in ERP environments: rhetoric, realities and

organizational possibilities

Title

An exploratory study of the impacts of

upgrading packaged software: a

From means to ends: The transformation

of ERP in a manufacturing

Application of SAP R/3 in on-line

inventory control

Integration in ERP environments:

rhetoric, realities and organizational

What is IT? SAP, accounting and

visibility in a multinational

Accounting logics, reconfiguration of

ERP system and the emergence of new

ERP evaluation during the

shakedown phase: lessons from an

Open

codi

ng Nerves during the implementation

Visible necessity of organizational and

cultural change

Tension within the company; Stress of

the employees

Friction between project team and lead consultants

ComplaintsTension between

faculty and supporting stuff

Pressure

Title

A decision framework for

enterprise resource planning

maintenance and

Integration in ERP environments:

rhetoric, realities and organizational

possibilities

What is IT? SAP, accounting and

visibility in a multinational organisation

Open

codi

ng Better information on customer history

End of self-made spread sheet

reporting

Access to more information

Better information sharing

Improvement of the decision making processes due to

available data

Ability to audit order processing workflow

Increasing speed and quality of decision

making due to available data

Strategies for the adaptation of ERP systems

Results I

Results from the Content analysis steps:

Open Coding Axial Coding Selective Coding

|Date 21-November-2013 10

Results II Mechanisms of change fromthe 18 case studies.

Summarized results of changeeffects.

Summarized results forexpected change effects.

|Date 21-November-2013 11

Results III

Total number of studies,having the organizational impacts – resistance, chaos and tension.

Presence of Tension, Resistanceand Chaos in case studies, where functionality loss and bad performance are reported.

Organizational Impacts of ERPchangeability project.

|Date 21-November-2013 12

Results IV

Sequence of negativeorganizational impacts of two selected changeability projects.

|Date 21-November-2013 13

Conclusions What have we done? Presentation and test of ERP changeability framework. Collection and summary of organizational impacts from ERP

changeability projects.

What knowledge have we obtained? Results from the ERP changeability framework test. Summary of organizational impacts from ERP changeability

projects.

Why is it useful?

Strengths and weaknesses of the paper.

|Date 21-November-2013 14

Thank you for your patience!

Please, share Yourquestions and comments for this paper!

|Date 21-November-2013 15

References1. Schönsleben, P. (2012). Integral Logistics Management. CRC Press

2. Motiwalla L. F., Thompson, J. (2012). Enterprise Systems for Management, Pearson Education Inc.

3. Bonasera, J. (2002). AMR Research Report Evaluates the Costs, Challenges and Added Benefits of ERP Upgrades, AMR Research [www document] http://www.thefreelibrary.com/AMR+Research+Report+Evaluates+the+Costs,+Challenges,+and+Added...-a084208743 (accessed 26th August 2013)

4. Brehm, L., Heinzl, A., Markus, M. (2001). Tailoring ERP Systems: A Spectrum of Choices and their Implications. Proceedings of the 34th Hawaii International Conference on System Sciences

5. Denyer, D., Tranfield, D. (2009). The Sage handbook of organizational research methods. Los Angeles (CA): SAGE

6. Cavana, R.Y., Delahaye, B.L. Sekaran, U. (2001). Applied Business Research: Qualitative and Quantitative Methods, Wiley, Brisbane

7. Ross, A. M., Donna, H. R., Hastings, D.E. (2008). Defining Changeability: Reconciling Flexibility, Adaptability, Scalability, Modifiability and Robustness for Maintaining System Lifecycle Value. System Engineering, 11(3):246-26

8. Brehm, L., Heinzl, A., Markus, M. (2001). Tailoring ERP Systems: A Spectrum of Choices and their Implications. Proceedings of the 34th Hawaii International Conference on System Sciences