GHANA TECHNOLOGY UNIVERSITY COLLEGE

MSC. MANAGEMENT INFORMATION SYSTEMS

ENTERPRISE SYSTEMS GTUM06EKM
INDIVIDUAL ASSIGNMENT

DAVID ABEKU FYNN 05AG0915029

10TH OCTOBER, 2015

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TABLE OF CONTENTS
PART ONE
1.0 BACKGROUND OF STUDY ...................................................................3
2.0 EXPECTED BENEFITS.............................................................................4
2.1 PRODUCT LIFE CYCLE MANAGEMENT.............................................5
2.2 ACCOUNTING AND FINANCIAL MANAGEMENT SYSTEM...........5
2.3 CUSTOMER RELATIONSHIP MANAGEMENT....................................5
2.4 SUPPLY CHAIN MANAGEMENT SYSTEM...........................................5
3.0 OVER ALL SCOPE OF THE ERP PORTFOLIO OF REPORTS...............5
3.1 PRODUCTLIFE CYCLE MANAGEMENT SYSTEM................................6
3.2 ACCOUNTING AND FINANCIAL MANAGEMENT SYSTEM.............7
3.3 CUSTOMER RELATIONSHIP MANAGEMENT......................................8
3.4 SUPPLY CHAIN MANAGEMENT SYSTEM............................................9
4.0 RECOMMENDATION ON SYSTEMS REQUIREMENTS........................9
4.1 RECOMMENDATION FOR SERVER OR PROVIDERS SIDE SECURITY..9
4.2 RECOMMENDATION FOR SECURED CONNECTIVITY............................9
4.3 RECOMMENDATION FOR SECURED CONNECTIVITY............................10
3.4 REFERENCE ........................................................................................................11

1.0 Background of the study

At the dawn of a new century, JLS Global Distilleries systems, applications and services have
had to cope with major structural changes requiring them to reorganize their current business
processes. This modification stems from major factors such as technological developments and
Information and Communication Technology. JLS Global Distilleries had to move from silo
systems to an enterprise information system, where seamless integration of data and services to
support the new organization structure and business processes. ERP allows an enterprise to
automate its fundamental business applications, reduce the complexity and the cost of the
collaboration, force the enterprise itself to take part in the Business Process Reengineering (BPR)
to optimize its operations, and finally result in a successful business" (She & Thuraisingham,
2007, p. 152).
The adoption of an ERP system will be a central tool and enabler for a number of key strategies
embarks on by JLS Global Distilleries within the Long Term Strategic Plan. The ability of JLS
Global Distilleries to build a responsive communications interface between JLS Global
Distilleries and its branch offices and key stakeholders will depend to a larger extent the
effectiveness of the ERP implementation.
JLS Global Distilleries Long Term Strategic Plans have been formulated around these core
objectives:

Corporate objective is to serve our customers better, and to create improved satisfaction
and loyalty;

To provide access to consultants, vendors and contractors via the CRM system;

To assess the business requirements of all business units or departments and offer
integrated system.

The establishment of these core objectives will enable the achievement of JLS Global Distilleries
strategic goals and the return on investment (R.O.I). The implementation of a comprehensive and
integrated Enterprise Resource Planning (ERP) solution will provide the tools, processes and the
integrated environment needed to support the promotion of the core objective.
JLS Global Distilleries have multiple applications such as Customer Relationship Management
(CRM) system, Product Life Cycle Management system, and an Accounting and Financial
Management system. The Company intends to add to their collection a Supply Chain
Management (SCM) system. These applications are designed to perform and support the needs
of a particular user group in the execution of their specific tasks. Each of these systems has
different data structures, different priorities, different user interactions, and different levels of
importance to the business operations. The adoption of ERP System byJLS Global Distilleries
will allow for integration on the data and functional levels in a way that aims to avoid data
redundancy. In today's global economy, the company can also benefit by allowing partners,
vendors, consultant and customers access to some internal information.
Lastly, this proposal provided recommendations on systems requirements for a secured ERP
implementation. These can be looked at Server or Providers Side Security, Secured Clients
Systems and Secured Connectivity.

2.0 EXPECTED BENEFITS

1.The implementation of the ERP system will enable the establishment of an integrated
organization that is efficient, responsive and delivers value for money. This will lead to a more
efficient business processes that cost less than those in unintegrated systems. The ERP will be
implemented on the basis of a clear vision and an enabling regulatory framework and

Will provide easy-to-use tools, automated workflows, productivity

improvements and the opportunity for JLS Global Distilleries staff to perform
value added work, such as analysis and reporting.
Will allow management to monitor and manage operations. For example,
analyze data for a comprehensive integrated picture has been generated by the
system. This allows management to focus on improving business process and
make JLS Global Distilleries more adaptable when change is required.
Will allow easier global integration. Barriers of currency exchange rates,
language, and culture can be bridged automatically, so data can be integrated
across international borders. This makes it very flexible when transacting
business between customers from different countries in a customer-centric
manner.
Facilitate decision making based on enhanced access to improved performance
and enterprise management information;
The following benefits are expected from the four main areas:
2.1

Customer Relationship Management (CRM) system:

It helps to gain customer loyalty and make proper decisions regarding

substantive customer relationship management attributes that are known
to be important to customers and then relate to the product or service
performance and availability. Fornier defines customer loyalty as an
attitude which indicates an individuals overall attachment to a product,
service, or brand (Fornier, 1994)

Centralized repository providing a single consolidated view of branch

offices, customers, stakeholders and their needs;

Reduce cost of sales: The costs regarding selling are reduced owing to
existing customers are usually more responsive. In addition, with better
knowledge of channels and distributions the relationship become more
effective, as well as that cost for marketing campaign is reduced
(Swift, 2001)

Sophisticated analytics and reporting capabilities providing flexibility to

interrogate data, uncover hidden trends and to improve information
availability to branch offices , customers and stakeholders;

Use of consolidated customer data to potentially increase revenues

through a better understanding of customer needs.

2.2

Product Life Cycle Management system

Increased planning productivity in JLS Global Distilleries such as;

o Reduce capital equipment costs by the reuse of certified processes.
o Eliminate and detect problems within the production systems.
o Streamline communications for quicker customer demands,
adaptation and decisions based on fact,
Optimized Manufacturing Productivity in JLS Global Distilleries such
as;
o Optimize the logistics and performance of entire production
systems.
o Minimize capital investment and maximize long term ROI
through increased planning accuracy and efficiency.
o Optimize resource utilization and accelerate product launches
with proven solutions for process optimization.

2.3

There is quicker time to the market and allows the business to stay ahead
of competitors and establish customer loyalty.
Increase innovations in a form of new designs and features to meet the
changing needs of the consumer base.

Accounting and Financial Management system

Reduce the time spent compiling, reconciling and consolidating data from
fragmented systems.
Enable finance to provide improved business-decision support.
Securely access financial reports from anywhere using a web browser or

mobile device.

2.4

Supply Chain Management (SCM) system

3.0

Generate flexible reports and ad-hoc reporting

Increased cash-to-cash velocity
Superior channel relationships
Flexible customer response(Gregory M. Magnan, 2008)
Better asset Management (Stanley E. Fawcett, 2008)

OVERALL SCOPE OF THE ERP PORTFOLIO OF PROJECTS

The first phase will be an Initiation and Foresight phase. Where the vision of JLS Global
Distilleries Portfolio Vision will be defined and accepted for the core functional areas that the
portfolio of projects will impact. It will take into consideration future directions for customers,
management and administrative services based on the companys Strategic Plan in the
objectives. This phase will outline the mode of operations, guidance and direction for each core
functional areas within the company. It will provide the key principles of how JLS Global
Distilleries will manage its resources and a conceptual design of the required future solution,
taking into consideration the accountability framework for JLS Global Distilleries and the
delegation of authority needed to achieve effective results.
Moreover, this phase will seek to analysis the effect of the conceptual design and delegation of
authority on current systems, tools and processes, including master data changes such as the
chart of accounts. The Portfolio Vision will provide clarity, guidance and will help to ensure that
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all the projects within the portfolio deliver solutions that are coherent, aligned and support JLS
Global Distilleries strategy. The project will provide benefits to JLS Global Distilleries in the
area of better customer service, satisfaction and loyalty. Also, deliver business capabilities
supported by an integrated set of tools and applications across the four main areas as follows:
3.1

Customer Relationship Management systems

Customer-centric manner is a core-value that is sought to be established and promoted in the

strategic plan of the Company, where customers in the various branch offices are served better,
and improved their satisfaction and loyalty. The availability of improved customer information is
a key enabler for Customer-Service. JLS Global Distilleries at present operate different silo
systemswhere customer information is held within many different systems across the branch
offices. None of these systems provide a single view of a customer, their relationship with the
Company and their needs. A Customer Relationship Management (CRM) system would sit
above and gradually integrate with the existing systems to provide a single consolidated view of
JLS Global Distilleries customers. This would help JLS Global Distilleries to understand
customer needs, satisfaction and loyalty more clearly. There is an improvement in branch offices
and stakeholders reporting and help JLS Global Distilleries to implement strategies to increase
revenue accumulation.CRM System such as SAP, Oracle, Microsoft Dynamics, Salesforce, etc,
provides access to consultants, vendors and contractors via the CRM system.JLS Global
Distilleries can select from any of these software vendors and benefit from the software
constituents.
A fully installed CRM system would provide an opportunity for the company to have a
customer-centric service in the future, such as grouping services, supporting different
pricing strategies, allowing discounts and additional value-added and fee-paying
services.JLS Global Distilleries systems will benefit from additional functionality
through changes and modification to the existing system. This proposal includes
integrating the other functional areas to the latest versions of the softwaretools,
modules and configuration changes to enable new features.
(i)

Diagram of centralized CRM System and the functional areas.

Source: online CRM System advantages

3.2 Product Life Cycle Management system

Product Lifecycle Management (PLM) in JLS Global Distilleries sought to integrate all the
functional areas of the administration and control all product-related processes and data across
the whole product lifecycle from manufacturing to recycle of the products. The first step which is
the pilot phase is to standardize and integrate Product Lifecycle Management System (PLM)
with Supply Chain Management System, so that products manufactured can be supplied to
customers in real time for expected results. The second phase look at improving internal
collaboration and control of providers: once the foundations of the Information System
stabilized, results will be correlated by comparing use of functionalities by internal and external
partners. There is a dedicated team for lobbying, training; controlling respect of guidelines will
definitively help to maintain quality over long terms.
Lastly, this final phase will provide real time interfacing of Product Lifecycle Management
(PLM) system tools and Supply Chain Management information system in each sequences of
product life: after having ordered profitability studies, priorities needs to be set regarding
complexity and length of specific cycles because it will necessitate heavy investments in terms of
interfaces and change management. Product Lifecycle Management (PLM) system is a "Must to
Have" for JLS Global Distilleries in order to evolve in this competitive environment.
(ii)

Diagram of Product Lifecycle Management (PLM) and Supply Chain

Management Integration Levels

Source: Siemens PLM, 2005

3.3 Accounting and Financial Management system

The vision to operate a very effective accounting and financial management system in JLS
Global Distilleries will manifest by fully integrating the range of functional areas. This has been
categorized into internal environment stage, systems stage (strategic, tactical, operational and
transaction processing) and the external environment stage. This system will accelerates the
financial close, as well as providing strong expense management, and ensures complete real-time
visibility into the financial performance of the business processes of JLS Global Distilleries. It
should be noted that this stages of Accounting and Financial Management will enable every user
to work from a single source of finance, sales and customer data without any system
interruptions. The diagram below gives detail explanation to the system
(iii)

Diagram of Accounting and Financial Management system

SOURCE: VIVEK K. SINGH, 2013

3.4 Supply Chain Management system

The hallmark of a good supply chain management system assures the company agility and
flexibility in todays web-enabled competitive landscape. JLS Global Distilleries vision is to
improve trust and collaboration among supply chain partners and to integrate the processes in the
system, therefore improving supply chain responsiveness and efficiency. The introduction of a
supply chain management system to the company is to make all functions that are part of JLS
Global Distilleries supply chain contribute and see to it that these functions do not operate in
isolation. Each functional strategy must support other functional strategies for the company to
reach its competitive strategy goal. The supply chain management system of the company is
structured to meet the goals and vision of the company.JLS Global Distilleries will ensure that its
supply chain capabilities support its ability to satisfy the targeted customer segment
( iv) Diagram of Supply Chain Management System

Source:Gurpreet Singh and JasanpreetKaur (2001)

4. 0 Recommendation on Systems Requirements
The systems security to be considered by JLS Global Distilleries should be holistic covering
server side, connectivity and client side in the provision and use of the ERP.

4.1 Recommendation for Secured Connectivity

Since JLS Global Distilleries will be using the Internet to access the software package in its
offices, it is important that the connectivity between the software package hosting provider and
the staff
or client using the package is secured. A secured connection will prevent hackers to retrieve
clear data whiles data is in transit between the software providers and JLS Global Distilleries.
We recommend that JLS Global Distilleries uses Virtual Private Network (VPN) connectivity
between the software providers and JLS Global Distilleries branch offices.

4.2

Recommendation for Secured Clients Systems

Cloud and mobile computing capabilities have extended accessing of software to smart
phones and tablets. The use of these devices to access corporate information has introduced a
number of risks including data loss. This data loss and unauthorized access can be prevented by
the provision of containerization for all devices that will be accessing the software package. This
will ensure that staff of data of the CRM software on staff devices; we recommend that JLS
Global Distilleries provides a secured containerization for all devices that will be accessing the
software package. This will ensure that staff of the company uses complex passwords on devices.
4.3 Recommendation for Server or Providers Side Security
JLS Global Distilleries will not host the database but will be hosted by the ERP software
providers, so there is the need to encrypt all sensitive data in the software (Customer
Relationship Management system, Product Life Cycle Management system, Accounting and
Financial Management system and Supply Chain Management System) database. The encryption
of the sensitive data like payment (credit/debit card) details, login credentials(passwords), etc.
will ensure unauthorized users do not have access to the sensitive data if they should get direct
access to the software database.

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4.4 REFERENCES
Kern, T., Lacity, M., Willcock L. (2002) Application Service Provision: Risk Assessment
and Mitigation.MIS Quarterly Executive. 1(2). p.115 125.
Mihelis, G., Grigoroudis, E., Siskos, Y., Politis, Y. &Malandrakis, Y.(2001) Customer
Satisfaction Measurement in the Private Bank Sector. European Journal of
OperationalResearch. 1. p.347-360
Stanley E. Fawcett, Gregory M. Magnan and Matthew W. McCarterVolume 13 Number 1
2008 35 48
Wikimedia commons/ malakooti, b. (2013) operations and production systems
KIT University of the State of Baden-Wuerttemberg and National Research Center of the
Helmholtz Association, 2002
Motiwalla& Thompson (2012) Enterprise Systems for Management Instructors Manual.
Pearson Education, Inc. Publishing as Prentice Hall pp
2015 Siemens Product Lifecycle Management Software
Vivek k. Singh accounting-information-system, 2013
http://erpsolutions.co.za/customer-relationship-management
http://www.slideshare.net/wiweck/accounting-information-system
http://bestcrmservice.com/

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QUESTION 2
TABLE OF CONTENT
2.0 INTRODUCTION ........................................................... 13
2.1 SYSTEM INTEGRATION................................................13
2.2 SYSTEM OPTIMIZATION...............................................13
2.3 INFORMATION SYSTEM ................................................13
3.0 VALUES FROM SYSTEM..................................................14

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QUESTION 2
2.0 Introduction
According to Accenture Institute for Strategic for Change an Enterprise Resource Planning
(ERP) implementation takes several years to be stabilized for the full expected benefits.
Both ERP system and Traditional system deployment approaches commonly used project
management practices, it is the degree and emphasis placed on these practices that set the
methodologies apart. This disparities between the two systems based on the Accenture Institute
finding are expatiated under the following:
2.1 System Integration
The adoption of ERP system by organization makes it work as a system and all the departments
as its sub-systems. General information about the organization is centrally stored and used by all
the departments to achieve the organizational goals. Major functional areas do not work in
isolation from each other to pursue their independent goals but execute task through
interconnections to achieve their common goal. The Integration of ERP systems minimize the
complexity in the organization and collect and organize data from all levels of the enterprise.
This is a work in progress within the system which is done at every stage within the ERP
Lifecycle. Traditionally, systems implemented by organizations are divided into different units
based on the functions performed by the units. The departments have their own goals and
objectives and functioned in isolation from each other and had their own system of data
collection and analysis and hence no-one knew what the other is doing and this leads to chaos in
the organization.
2.2 system optimization
For a company to become competitive in the global environment it must adapt to changes when
the need arises. ERP optimization is not this is because most successful organizations have
developed optimization efforts over time which allow them to become more agile and
responsive to customers needs. Companies are advised not to view ERP optimization as a magic
tool which will transform all major functions overnight but a strategic tool that aligns the
applications and business processes seamlessly. This strategic tool provides a comprehensive
review and detailed study of all the features, functions and the alignment of your business
systems to your current and future business processes. There is the need for ERP optimization
when the company has the following under listed malfunctions within the system:
o
o
o
o
o

ERP system inability to improve customer satisfaction

ERP system inability to increased market share
ERP system inability to achieve a competitive advantage
ERP system inability to give the needed information and metrics
ERP system inability to shortened the time-to-market

2.3 Information system

Data within the company is converted to useable information for decision making. These data
passes through three phases, which are the input phase, process phase and the output phase. The
input phase captures the data and translates it into a machine readable format that a computer
can store. The data is then passed to the process phase, where it is processed according to the
rules and procedures defined in the software. Finally, the processed data is sent to the output
phase, where it is translated back to a format that is displayed on a screen, printed on a printer,
or saved on a storage device for later usage.

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Diagram of phases of an information system

Information system

Raw Data

Processed Data

Output Report

Using Business
Processes

3.0. VALUES FROM THE SYSTEM

Companies that recognize the value of their ERP systems must invest more time and money to
transform their ERP system into a strategic tool to reap the expected benefits. The steps to obtain
more value from the system after implementing an ERP system for Y2K are as follows:
i. Conduct in-depth interviews with all key and end users
The views of key and end users should be heard through interviews to avoid system imposition.
Moreover, ERP systems are more complicated system and there is the need to identify and
evaluate skills needs of those individuals who are dealing with this system. Many system
implementation projects have failed as a result of ignoring user involvement with an excuse of
time and fund. Therefore for a company to reap the expected benefits it has to involve users from
initial stage of implementation to bring more adaptability and great solution. A user-centered
design provides a better experience for the end users in the overall process.
ii. Review business processes in relationship to software and best business practices there is
the need for companies to examine their business processes to match the system and bring out
the best practices. Current business processes will need to be changed over time to use the
functionality of ERP system fully. According to Kimberling, The problem isnt in the software;
its in the way companies implement the software and get their organizations to adapt to it..It is
recommended that the ERP software's technical capabilities match the defined business
requirements. Many companies concentrate more on the technical aspects of ERP software,
rather than on what requirements are most important to the business. Software features or
functionality that dont align with the companys business needs often lead to an unnecessary
waste of implementation resources, time, and money that might be better spent on other activities
such as software customization or training.
iii. Prepare a departmental review of systems functionality
To obtain more value from the system there is the need to review major functional areas within
the organization. Information system support major business functions as manufacturing,
marketing, accounting, finance, and HR. These areas serve the different management levels, and
must be examine to check for the systems compatibility with the functions and the need to
integrate them. Also, each functional area has different information needs and report
requirements.
iv Implement policies, procedures, and business rules to support todays business needs,
as well as tomorrows vision. The business processes by the company must support the current
needs and future strategic goals of the company to get more value for the ERP system.
iiv. Conduct new education and training
The typical training model used in ERP implementations is based on a train the trainer
approach. This approach gives system training to some selected key users by the ERP vendor.
The key users also transfer system knowledge to the other colleagues. The key users continue to
be the source of training for new users and the people in the organization who are consulted
when the business requirements dictate that the system might need to be used in a different way.
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QUESTION 3
TABLE OF CONTENT
1.0 INTRODUCTION................................................................................................. 16
1.1 SCOPE OF NEW ERP STRATEGIES..................................................................16
2.0 CRITICAL SUCCESS FACTORS OF ERP IMPLEMENTATION.....................17
2.1 TOP MANAGEMENT INVOLVEMENT AND SUPPORT..................................17
2.2 CHANGE MANAGEMENT...................................................................................17
2.3 PROJECT MANAGEMENT .....................................................................................17
2.4 BUSINESS PROCESSES RE-ENGINEERING AND CUSTOMIZATION............18
2.5 USER TRAINING......................................................................................................18
2.6 IMPLEMENTATION TEAM......................................................................................19
2.7 VISIONING AND PLANNING..................................................................................19
2.8 CONSULTANT SELECTION.....................................................................................19
2.9 COMMUNICATION PLAN.........................................................................................19
3.0 VENDOR SELECTION................................................................................................19
3.1 REFERENCES...............................................................................................................20

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QUESTION 3.
1. 0 Introduction
Cloud computing (CC) have three distinctive services such as Infrastructure-as-a-Services (IaaS),
Platform-as-a-Service(PaaS) and Software-as-a-Service SaaS provides complete applications on
CC environment. Whereas PaaS allows customers to develop, test, host, deploy and maintain
their applications in the same integrated environment, whiles IaaS provides customers with the
use of cloud infrastructure according to their demands for particular time and pay only for what
they use. Cloud based ERP environments offer many characteristics that make them promising
for future IT applications and services. Among these characteristics are: On-demand self-service,
broad network access, resource pooling, rapid elasticity, measured services, multi-tenancy,
scalability, economies of scale, cost effectiveness, customization, efficient resource utilization,
maintainability, collaboration, virtualization, green technology, and high performance.
The systems reduce the need for IT support team, technical IT labors, requirements gathering and
project management efforts and provides cost effective solutions to mid-size companies. Most
mid-size companies look forward to scale up and upgrade their masses, therefore, Cloud
computing with its scalable, high performance resource pooling offer provides this benefits. In
recent years there has been a move by traditional software vendors to market solutions as Cloud
Computing which is generally accepted to not fall within the definition of true Cloud
Computing, a practice known as cloud-washing.
1.1 Scope of new ERP strategies
The three distinctive ERP strategies used by mid companies are as follows: Software as a Service
(SaaS), Platform as a Service (PaaS) and Infrastructure as a Service (IaaS).
(i) Software as a Service (SaaS) is defined as software that is deployed over the internet and
allows provider licenses an application to customers either as a service on demand, through a
subscription, in a pay-as-you-go model. It has the following characteristics:
Web access to commercial software
Software is managed from a central location
Software delivered in a one to many model
Users not required to handle software upgrades and patches
Application Programming Interfaces (APIs) allow for integration between different pieces of
software.
(ii) Platform as a Service (PaaS) can be defined as a computing platform that allows the
creation of web applications quickly and easily and without the complexity of buying and
maintaining the software and infrastructure underneath it. PaaS is analogous to SaaS except that,
rather than being software delivered over the web, it is a platform for the creation of software,
delivered over the web. It has the following characteristics.
Services to develop, test, deploy, host and maintain applications in the same integrated
development environment. All the varying services needed to fulfill the application development
process
Web based user interface creation tools help to create, modify, test and deploy different UI
scenarios
Multi-tenant architecture where multiple concurrent users utilize the same development
application
Built in scalability of deployed software including load balancing and failover
Integration with web services and databases via common standards
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(iii) Infrastructure as a Service (IaaS) is a way of delivering Cloud Computing infrastructure

servers, storage, network and operating systems as an on-demand service. This service buy
those resources as a fully outsourced service on demand rather than purchasing servers, software,
data center space or network equipment, clients. It has the following characteristics:

Allows for dynamic scaling

Has a variable cost, utility pricing model
Resources are distributed as a service
Generally includes multiple users on a single piece of hardware

2.0 Critical Success Factors (CSFs) of ERP implementation

Some ERP proponent like Digman (1990) defined critical success factors (CSFs) as The areas
where things must go right for the business to flourish. Okland (1995) also defined them as:
What the organization. In an ERP context, it is define as a set of activities that need special
considerations continual attention for planning and implementing of an ERP system.
The conditions that have a direct and serious impact on the efficiency, effectiveness, and
viability of the ERP implementation strategies of the Organization must be performed at the
highest possible level of excellence to achieve the intended overall objective. These ten critical
success factors are as follows: Top Management support and involvement, Change management,
Project Management, Business Process Re-engineering and Systems Customization, user
training, Implementation team, Visioning and planning, Consultant selection, Communication
Plan and vendor selection.
2.1 Top Management Involvement and Support:
Top management Involvement and support is the ability of top management to be involved in the
strategic planning and prepares toward any temporal malfunction that might be encountered in
the organization. This is very critical in an ERP implementation because any negligence on the
part of top management to carefully controlled the system will lead to the system rather
controlling top Management or the project is most likely to fail or fail to deliver the full range of
benefits expected .ERP implementation should be viewed as a high priority project and the
system automatically will change the organization operations. Proponents such as Sarker and Lee
(2003) empirically proved that strong and committed leadership at the top management level is
essential to the success of an ERP implementation. Top management support and involvement
should not stop at the initiation and facilitation stage, but should extend to the full
implementation of the ERP system in order to reap the expected benefits. Involvement and
support by top management across all functional areas within the organization will lead to
successful implementation of the ERP implementation.
2.2 Change Management
the change management is vital for ERP implementation as it prepares an organization for
changes to how the business is done. It is an undeniable fact that most ERP implementation
system have failed to achieve the intended benefits because of the negligence on the part of
managers to successfully manage the changes that took place. Research has also shown that
many ERP implementation projects have failed due to lack of communication between technical
staff and customers, this factor has always been overlooked during the implementation stage. It is
therefore necessary to develop, understand, and communicate the return on investment, business
processes, and the need for change. In an attempt to compare one successful and one failed ERP
implementations, Motwani et al. (2000) conducted a research and concluded that a project that is
supported by top management without appropriate organizational readiness and adequate change
management strategies in place is more likely to fail, it is therefore believe that a cautious,
evolutionary and bureaucratic implementation that is supported by careful change management,
network relationships, and cultural readiness can lead to successful ERP implementation.

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Moreover, the implementation of an ERP system will change the operations of the organization,
and this require re-engineering of essential business processes to support the organization's
goals. This changes can lead to problems among users of the new system and employees
resistance may place additional risks on ERP implementation. In the ERP context the success of
implementing a system depends on the ability of top management spread out its vision to change,
enlist employees adherence and readiness to the new system, and ensure they are familiar and
satisfied with the changes that will occur (Motwani et al., 2005).
2.3 Project Management
For a successful ERP implementation Project management must provide a strong leadership, a
clear and understood implementation plan, and close monitoring of budget, they serve as the glue
that holds the project together. The project manager is important in ERP implementation success,
therefore there is the need for top management provide the necessary support and resources for
the project manager to ensure the success of the implementation. Many setbacks to a successful
ERP implementation arose from project management issues, due to lack of understanding of the
project and an inability to provide guidance and adequate leadership to project team members.
However, for an effective and efficient project Management an organization must ensure that all
important project steps are clearly defined and included in the project plan, clear definition of the
project objectives, the development of a work and resource plans, and a cautious tracking of the
projects progress for the system to be implemented successfully. Some proponents like Bender
et al. (2000) argued that the use of a detailed project plan, that is used to set project deadlines and
key milestones, is an essential element of project success. It is strongly recommended that
deadlines, timelines and the effort needed to accomplish specific tasks should be realistically
estimated and clearly stated.
2.4 Business Process Re-engineering and Systems Customization
There are two critical strategic approaches to implementing an ERP system. These are the reengineering and customization approach. Mostly Organizations re-engineer their business
processes in order to fit into the functionality of the ERP system package. This leads to drastic
changes in the business processes as well as employees responsibilities. However,
Organizations customize the ERP system package to fit the existing business processes.
Customization could be dangerous to the Organization and should be avoided, or minimized as
much as possible, in order to achieve the full benefits of the ERP system. This is because
customizing ERP system will increase the project time, ruin schedules, introduce new bugs into
the system, and make the upgrade to the vendors new released software harder. There is the
need for the Organization to opt for '' vanilla'' ERP implementation with no or minimal
customization of the system.
2.5 User Training
Training plays a critical role in the success of ERP implementation project. It is highly
recommended that education and training should be provided to users of the new system to
make users understand the operations of the new system and how it can help them to execute
their daily tasks. Companies are advised to provide and support users with the necessary printed
and on-line user manuals, tutorials, workshops, and help desks, for a comprehensive
understanding of the ERP system functionality. Some school of thoughts believe that the endusers and training facilities have received the least amount of attention because of scarce
resources for training, leading to short term gains for the Organization.
2.6 Implementation Team
ERP implementation team should consist of representatives from all functional units of the
organization, from technical experts to senior executives, because the effort and collaboration of
technical and business experts and the systems end-users are essential to the success of ERP
project. Most failure in an ERP implementation is the inability of top management of the
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organization to provide the right internal resources to execute the project. The implementation
of an ERP system requires the selection of the best employees to be part of the team in order to
maximize the chances of a successful implementation. The right implementation team is critical
because it will be responsible for creating the preliminary and full-detailed project plan, project
schedules, assigning the required responsibilities to accomplish a set of tasks, and determining
the deadlines.
2.7 Visioning and Planning
For a successful ERP implementation projects an Organization should have a clear vision,
project objectives, project mission and comprehensive project plan to fit into the Organization
goals. This will mitigate the misunderstanding of project requirements which can lead to project
risk or failure. The project plan provides guidance throughout the implementation process and
allows the project team to keep focused on the project goals and objectives. Thus, project
requirements provide a clear view to what needs to be done during the project, and the project
plan provides detailed steps on what needs to be accomplished in the project. This project plan
can be built to support and improve this vision, because the investment in ERP systems should
be closely link to the strategic direction of an organization, and be aligned with its vision and
future direction.
2.8 Consultant Selection
ERP Consultants can help staff the project team, help to back-fill positions, be charged with
responsibility for project management, audit the project, serve as the prime contractor, and be the
one source for everything from software to hardware and personnel for the ERP. Thus, many
researchers have supported the need to include an ERP consultant as part of the implementation
team. However, as part of this relationship, it is important to transfer knowledge from the
consultant to the implemented organization, so as to decrease the dependency on the
vendor/consultant.
2.9 Communication Plan
Communication among various levels is essential for ERP implementations, this is because the
whole organization is aware of the project scope, its objectives and activities as an effective
communication plan which will have a direct impact on the success of the change management
program. Strong communication in the implementation stages is essential in allowing employees
to understand what is going on in the project, why change is necessary, and how it will benefit
the organization. For instance, Al-Mashari and Al-Mudimigh (2003) argued that the importance
of an effective communication plan relies on the fact that it could build the ability of the entire
organization in business process reengineering, and gain all stakeholders support and
commitment.
3.0 ERP System/Vendor Selection
There is the need for careful consideration and attention in selecting a specific ERP system and
a select team should be appointed to carry it out. Most organizations often fail to consider
whether the chosen system will fit their overall business processes and enable them to avoid, or
at least minimize, software customization. Thus, a detailed requirements specification for ERP
software selection will increase the probability that the ERP system will meet the organization's
requirements and support the newly redesigned operational processes. Siriginidi (2000)
addressed several factors to be considered when selecting an ERP system, including: the stability
and history of the ERP vendor, last 12-month track record of ERP sales, implementation support
from the vendor, and improvement in ERP software packages.

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3.1

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