The Effects of Industry Classification on a Successful ERP Implementation Model


Sangmin Lee, Dongho Kim, Journal of Information Processing Systems
Vol. 12, No. 1, pp. 169-181, Feb. 2016
10.3745/JIPS.03.0047
Keywords: Enterprise Applications, Enterprise Resource Planning, ERP Industry, ERP Succe
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Abstract

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
[APA 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), 169-181. DOI: 10.3745/JIPS.03.0047.

[IEEE Style]
S. Lee and 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.