Critical Success Factors for ERP Projects: Recommendations from a Canadian Exploratory Study

Abstract

This research paper discusses key recommendations for improving future Enterprise Resource Planning (ERP) implementations based on insights from an exploratory qualitative single case study in the Canadian Oil and Gas Industry. The study was conducted using a semi-structured interview guide from twenty participants belonging to four project role groups of senior leaders, project managers, project team members, and business users. The research evoked a comprehensive list of forty-two critical success factors (CSFs) and out of which, top ten CSFs discussed include: Know your data, longer and more integrated testing, utilization of the right people, longer stabilization period (hyper-care), communication, address legal and fiscal requirements, hyper-care must be longer, early buy-in from business, have a Lean Agile program, less customization and more vanilla out of the box, and project must be business-driven and not IT-driven. This study is one of first ERP case studies in the Canadian oil and gas industry and the research recommendations can prove to be beneficial for organizations when undertaking ERP implementations.

Best Practices and Implementation Challenges in Effective Project Management

“…The seminal works of Pinto and Slevin (1987), Somers and Nelson (2001), Menon (2016), Menon (2019), Menon (2020) further provide deep insights into the critical success factor theories that affect project performance. Top management support, people factors, communication, project planning, change management, stakeholder management are some of the critical success factors that have shown statistical significance to project success (Finney & Corbett, 2007;Menon, 2020;Nah et al, 2001;Pinto & Slevin, 1987;Shaul & Tauber, 2013). Critical success factors provide necessary inputs to project management practice, which can ultimately lead the project to success.…”

“…Critical success factors provide necessary inputs to project management practice, which can ultimately lead the project to success. Based on critical factors studies, some of the key challenges that can influence best practice implementation include top management support, Effective PMO, effective stakeholder management, insufficient project planning, and human or people factors (Menon, 2020).…”

“…Several success factor research have shown that top management support is the single most important factor, critical for the success of any project (Finney & Corbett, 2007;Menon, 2020;Nah et al, 2001;Pinto & Slevin, 1987). With such strong sentiments for top leadership support riding high, unsupportive top management is still a major cause for many project failures (Nelson, 2007).…”

“…An organization that has decided to choose the path of agile methodology may find it difficult to implement, if there is no competent project manager who knows its foundational principles. Major people factors that may directly affect project success are use of balanced team, consultant selection, dedicated resources, utilization of right people, and team competence (Finney & Corbett, 2007;Menon, 2020;Pinto & Slevin, 1987;Somers & Nelson, 2004;). The study conducted by Nelson (2007) accentuates the significance of people dimension.…”

Critical Success Factors for ERP Systems’ Post-Implementations of SMEs in Saudi Arabia: A Top Management and Vendors’ Perspective

“…As a result, many researchers have expressed concerns regarding the efficacy of the outlined CSFs and their contributions to optimization success. According to [4], organizations do not show the success of ERP systems after going live, but the ERP failure rate is extremely high. This is because; many factors can positively or negatively affect the success of ERP systems at post-implementation.…”