2001Business Process Management JournalOpen access

Critical factors for successful implementation of enterprise systems

Fiona Fui‐Hoon Nah, Janet Lee‐Shang Lau, Jinghua Kuang

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Abstract

Enterprise resource planning (ERP) systems have emerged as the core of successful information management and the enterprise backbone of organizations. The difficulties of ERP implementations have been widely cited in the literature but research on the critical factors for initial and ongoing ERP implementation success is rare and fragmented. Through a comprehensive review of the literature, 11 factors were found to be critical to ERP implementation success – ERP teamwork and composition; change management program and culture; top management support; business plan and vision; business process reengineering with minimum customization; project management; monitoring and evaluation of performance; effective communication; software development, testing and troubleshooting; project champion; appropriate business and IT legacy systems. The classification of these factors into the respective phases (chartering, project, shakedown, onward and upward) in Markus and Tanis’ ERP life cycle model is presented and the importance of each factor is discussed.

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What this paper is about

Enterprise resource planning (ERP) systems have emerged as the core of successful information management and the enterprise backbone of organizations. The difficulties of ERP implementations have been widely cited in the literature but research on the critical factors for initial and ongoing ERP implementation success is rare and fragmented. Through a comprehensive review of the literature, 11 factors were found to be critical to ERP implementation success – ERP teamwork and composition; change management program and culture; top management support; business plan and vision; business process reengineering with minimum customization; project management; monitoring and evaluation of performance; effective communication; software development, testing and troubleshooting; project champion; appropriate business and IT legacy systems. The classification of these factors into the respective phases (chartering, project, shakedown, onward and upward) in Markus and Tanis’ ERP life cycle model is presented and the importance of each factor is discussed.

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Available abstract

Enterprise resource planning (ERP) systems have emerged as the core of successful information management and the enterprise backbone of organizations. The difficulties of ERP implementations have been widely cited in the literature but research on the critical factors for initial and ongoing ERP implementation success is rare and fragmented. Through a comprehensive review of the literature, 11 factors were found to be critical to ERP implementation success – ERP teamwork and composition; change management program and culture; top management support; business plan and vision; business process reengineering with minimum customization; project management; monitoring and evaluation of performance; effective communication; software development, testing and troubleshooting; project champion; appropriate business and IT legacy systems. The classification of these factors into the respective phases (chartering, project, shakedown, onward and upward) in Markus and Tanis’ ERP life cycle model is presented and the importance of each factor is discussed.

Key concepts: Enterprise resource planning, Process management, Implementation, Critical success factor, Business process reengineering, Computer science, Knowledge management, Enterprise system

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