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Study of Factors Affecting Success of ERP System Implementation in Iranian Organizations with Change Management Approach

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Author Affiliations

  • 1Islamic Azad University, UAE Branch, IRAN
  • 2 Department of Executive Master of Business Administration, Alborz, IRAN
  • 3Department of Management, Institute of Management and Planning Studies, IRAN
  • 4Department of Management, Alborz, IRAN
  • 5Department of Management and Global Economy, Instroct Scientific Applied Training Center, Tehran, IRAN

Res. J. Recent Sci., Volume 3, Issue (11), Pages 70-78, November,2 (2014)

Abstract

In the developing world today, application of techniques which increase the speed of processing activities in businesses and simultaneously lead to an increase in profit and yield and reduce costs, has constantly been the center of attention of organizations. In this connection, the Enterprise Resource Planning is among instruments that are highly effective in this respect. But, implementation of the system involves a complex process that is often met with failure. Iranian organizations are not exempt from this rule and a limited number of them have been successful in implementing ERP. In this study, which is an applied research with descriptive survey method, first the explorations conducted in the field of factors affecting success of ERP system were examined. As a result, change management was identified as a vital factor in success of the implementation of ERP system. Then, change management strategies from the viewpoint of Kuzic and Thi van Hau including effective communication, top management support, effective training, project teams, presence of project champion, clear and systematic planning, broad participation of employees, incentives and feedback were used. Thus, effects of change management strategies in success of EPR system implementation were examined through using a questionnaire, which was distributed among experts of the Ministry of Cooperatives, Labor and Social Welfare, who were experienced in the field of implementation of an enterprise resource planning system. Statistical population of the research was 46 people and because of having access to all of them, the complete enumeration method was used in determining the sample. The validity of the questionnaire was determined through face validity by using viewpoints of experts and its reliability through Cronbach's alpha was 0.958, which is indicative of the strong reliability of the questionnaire. To examine the hypothesis of the research, binomial test was used, the result of which was indicative of the effective role of all change management strategies in successful ERP implementation except for the presence of project champion.

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