The Effects of Industry Classification on a Successful ERP Implementation Model

Sangmin Lee and Dongho Kim
Volume: 12, No: 1, Page: 169 ~ 181, Year: 2016
Keywords: Enterprise Applications, Enterprise Resource Planning, ERP Industry, ERP Succe
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Organizations in some industries are still hesitant to adopt the Enterprise Resource Planning (ERP) system due to its high risk of failures. This study examined how industry classification affects the successful implementation of the ERP system. To achieve this goal, we reinvestigated the existing ERP Success Model that was developed by Chung with the data from various industry sectors, since Chung validated the model only in the engineering and construction industries. In order to test to see if the Chung model can be applicable outside the engineering and construction industries, the relationships between the ERP success indicators and the critical success factors in the Chung model and those in the sample data collected from ten different industry sectors were compared and investigated. The ten industry sectors were selected based on the Global Industry Classification Standard (GICS). We found that the impact of success factors on the success of implementing an ERP system varied across industry sectors. This means that the success of ERP system implementation can be industry-specific. Thus, industry classification should be considered as another factor to help IT decision makers or top-management avoid ERP system failures when they plan to implement a new ERP system.

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Cite this article
IEEE Style
S. L. D. Kim, "The Effects of Industry Classification on a Successful ERP Implementation Model," Journal of Information Processing Systems, vol. 12, no. 1, pp. 169~181, 2016. DOI: 10.3745/JIPS.03.0047.

ACM Style
Sangmin Lee and Dongho Kim. 2016. The Effects of Industry Classification on a Successful ERP Implementation Model, Journal of Information Processing Systems, 12, 1, (2016), 169~181. DOI: 10.3745/JIPS.03.0047.