Advertisement

An ERP Adoption Evaluation Framework

  • Sanmurga Soobrayen
  • Mohammad Zawaad Ali Khan Jaffur
  • Bibi Zarine CadersaibEmail author
Conference paper
Part of the Advances in Intelligent Systems and Computing book series (AISC, volume 863)

Abstract

Small and Medium Enterprises (SMEs) are confronted to highly competitive markets and need to have recourse to more efficient and effective solutions. An Enterprise Resource Planning (ERP) system could be one solution. A review was performed to identify factors affecting ERP adoption by SMEs in developing countries including Mauritius. The benefits and challenges regarding ERP implementation together with the Balance Scorecard (BSC) have been used to derive dimensions to be considered and a cause and effect analysis diagram is presented. An ERP evaluation framework is then proposed which consists of an ERP dimension weightage matrix and quantitative ERP implementation assessments. Key Performance Indicators (KPIs) are derived for each dimension and the latter is used to propose a matrix for defining the weightage against each dimension. The dimension weightage together with the KPI impact (positive or negative) is then used to derive a formula to be used to evaluate an ERP implementation for SMEs.

Keywords

ERP ERP adoption ERP adoption evaluation framework SMEs 

Notes

Acknowledgements

The authors gratefully acknowledge the owners of SMEA and SMEB for their participation in using the ERP system, filling the Weightage Matrix as well as sharing their feedbacks.

References

  1. 1.
    Antoo, M.: Cloud computing adoption framework by Mauritian SMEs. Postgraduate Thesis, University of Mauritius, Mauritius (2014)Google Scholar
  2. 2.
    Small and Medium Enterprises Development Authority, SMEDA, http://www.smeda.mu (2014)
  3. 3.
    Gobin-Rahimbux, B., Cadersaib, Z., Sahib, N.G. Khan, M.: Investigating technology awareness and usage in Mauritian SMEs in the handicraft sector (2017)Google Scholar
  4. 4.
    Kambarami, L., Mhlanga, S., Chikowore, T.: Evaluation of enterprise resource planning implementation success: case study in Zimbabwe. In: Computers and Industrial Engineering, vol. 42 (June 2012)Google Scholar
  5. 5.
    Shahawai, S.S., Hashim, K.F., Idrus, R.: Enterprise resource planning adoption among small medium enterprises (SME) in Malaysia (2014)Google Scholar
  6. 6.
    Tome Mr, L., Allan, K., Meadows Mrs, A., Nyemba-Mudenda Ms, M.: Barriers to open source ERP adoption in South Africa. Afr. J. Inf. Syst. 6(2), 1 (2014)Google Scholar
  7. 7.
    Venkatraman, S., Fahd, K.: Challenges and success factors of ERP systems in Australian SMEs. Systems 4(2), 20 (2016)CrossRefGoogle Scholar
  8. 8.
    Rahman, A.: ERP Adoption in small and medium sized enterprises in Bangladesh. M.B.A. Thesis, Southeast University Bangladesh, Banani, Dhaka (2015)Google Scholar
  9. 9.
    Hasheela, V.T., Smolander, K., Mufeti, T.K.: An investigation of factors leading to the reluctance of SaaS ERP adoption in Namibian SMEs. Afr. J. Inf. Syst. 8(4), 1 (2016)Google Scholar
  10. 10.
    Khaleel, Y., Sulaiman, R., Ali, N.M., Baharuddin, M.S.: Analysis of enterprise resource planning system (ERP) in small and medium enterprises (SME) of Malaysian manufacturing sectors: current status and practices. Asia Pac. J. Inf. Technol. Multimedia, 10(1) (2011)Google Scholar
  11. 11.
    Kitchenham, B., Charters, S.: Guidelines for performing systematic literature reviews in software engineering [online]. Userpages.uni-koblenz.de. Available at https://userpages.uni-koblenz.de/~laemmel/esecourse/slides/slr.pdf (2007). Accessed 14 Oct 2017
  12. 12.
    Antoo, M., Cadersaib, Z., Gobin, B.: PEST framework for analysing cloud computing adoption by Mauritian SMEs. Lect. Notes Softw. Eng. 3(2), 107 (2015)CrossRefGoogle Scholar
  13. 13.
    Kamhawi, E.M.: Enterprise resource-planning systems adoption in Bahrain: motives, benefits, and barriers. J. Enterp. Inf. Manag. 21(3), 310–334 (2008)CrossRefGoogle Scholar
  14. 14.
    Lechesa, M., Seymour, L., Schuler, J.: ERP software as service (SaaS): factors affecting adoption in South Africa. In: Re-conceptualizing Enterprise Information Systems, pp. 152–167. Springer, Berlin, Heidelberg (2012)Google Scholar
  15. 15.
    Mukwasi, C.M., Seymour, L.F.: Interdependent enterprise resource planning risks in small and medium-sized enterprises in developing countries. In: IST-Africa Conference, 2015, pp. 1–10. IEEE (May 2015)Google Scholar
  16. 16.
    Upadhyay, P., Basu, R., Adhikary, R., Dan, P.K.: A comparative study of issues affecting ERP implementation in large scale and small medium scale enterprises in India: a pareto approach. Int. J. Comput. Appl. 8(3), 23–28 (2010)Google Scholar
  17. 17.
    Zach, O., Olsen, D.H.: ERP system implementation in make-to-order SMEs: an exploratory case study. In: System Sciences (HICSS), 2011 44th Hawaii International Conference on, pp. 1–10. IEEE (Jan 2011)Google Scholar
  18. 18.
    Amba, S., Abdulla, H.: The impact of enterprise systems on small and medium-sized enterprises in the Kingdom of Bahrain (2014)Google Scholar
  19. 19.
    Mirbagheri, F.A., Khajavi, G.: Impact of ERP implementation at Malaysian SMEs: analysis of five dimensions benefit. Int. J. Enterp. Comput. Bus. Syst. 2(1) (2013)Google Scholar
  20. 20.
    Wolcott, P., Kamal, M., Qureshi, S.: Meeting the challenges of ICT adoption by micro-enterprises. J. Enterp. Inf. Manag. 21(6), 616–632 (2008)CrossRefGoogle Scholar
  21. 21.
    Rosemann, M., Wiese, J.: Measuring the performance of ERP software–a balanced scorecard approach. In: Proceedings of the 10th Australasian Conference on Information Systems, vol. 8, no. 4. Wellington (Dec 1999)Google Scholar
  22. 22.
    Bauer, K.: KPI identification with fishbone enlightenment. Inf. Manag. 15(3), 12 (2005)MathSciNetGoogle Scholar
  23. 23.
    Badawy, M., El-Aziz, A.A., Idress, A.M., Hefny, H., Hossam, S.: A survey on exploring key performance indicators. Future Comput. Inform. J. 1(1–2), 47–52 (2016)CrossRefGoogle Scholar
  24. 24.
    Ramkhelawan, S., Cadersaib, Z., Gobin, B.: Cloud computing as an alternative for on-premise software for Mauritian hotels. Lect. Notes Softw. Eng. 3(2), 113 (2015)CrossRefGoogle Scholar

Copyright information

© Springer Nature Singapore Pte Ltd. 2019

Authors and Affiliations

  • Sanmurga Soobrayen
    • 1
  • Mohammad Zawaad Ali Khan Jaffur
    • 1
  • Bibi Zarine Cadersaib
    • 1
  1. 1.University of MauritiusReduitMauritius

Personalised recommendations