Identifying the Critical Success Factors for Low Customized ERP System Implementations in SMEs

Abstract

So far the level of ERP system customization has not been taken into account when identifying critical success factors for ERP implementations in small to medium size enterprises (SMEs). This research empirically tests the influence of the level of system customization on success factors by surveying 216 SMEs. We find that motivation system and project team empowerment are more important in low customized ERP implementations. This study is relevant to both theory and practice as it identifies and analyzes factors contributing to a higher success rate in low customized ERP system implementations in SMEs.

Evaluation of factors contributing to the failure of information systems in public universities: The case of Iran

“…Because the existence of databases and data centers, as well as the appropriate hardware technology, have an extremely high impact on the extent to which information systems are being used [105], the absence of these conditions in Iran's public universities can help explain the failure of information systems. Researchers from information technology also suggest that organizations' capability to implement IS projects from economic aspect and the flexibility of related businesses to accept the possible changes, depend on the IT infrastructure [41]. Another reason which confirms the importance of this factor is the impracticality of IS/IT projects development without proper IT infrastructure [101].…”

“…To summarize, this is a crucial factor in explaining the success or failure of IS projects. Other researchers also argue that proper tests during the time of customizing IS software are necessary [41]. In this category, weak management of requirements, improper definitions of roles and responsibilities, unrealistic schedules, poor risk management, improper relationship between the organization and project manager and inappropriate software vendor were ranked second to seventh, respectively (see Table 3).…”

“…Finally, they applied their model to one of Turkey's biggest ERP vendors. Wolters et al [41] conducted a study to identify CSFs for low-level customized ERP system implementations in SMEs. The results of that study showed that criteria like motivation system and project team empowerment were more important within that given context.…”