Enterprise Resource Planning for Supply Chain

Literature Review

Introduction

In the current competitive business environment, efficiency is one of the most important operational concepts that define the ability of a firm to achieve success. Das and Dayal (2016) explain that it is critical to make sure that activities within an organisation are conducted with precision and in a timely manner to meet the needs of customers at the lowest cost possible. Supply Chain Management (SCM) is the initial stage of ensuring that a firm produces quality products at the lowest cost possible. Some of the principal factors that have to be considered when sourcing for materials include the quality of supplies, the reliability of the supplier to be consistent, timeliness in the delivery, capacity to deliver the needed quantity and pricing of the supplier.

We will write a custom Enterprise Resource Planning for Supply Chain specifically for you
for only $14.00 $11,90/page
308 certified writers online
Learn More

Tarhini, Ammar, Tarhini and Masa’deh (2015) argue that the supply chain manager should ensure that the organisation is given the best quality products at the most competitive price in the market and in a consistent way. Internal systems and structures within an organisation often define the effectiveness of the supply chain department. Chofreh et al. (2016) argue that the needed raw materials should be made available to the production department in the right quality, quantity and at the right time. Ordering excess materials would increase the cost of warehousing and handling the materials. On the other hand, underestimating the number of products needed may ground operations in the production unit.

It is important to have an effective communication system between the production unit, the supply chain department and the finance department to know when and what to order. The introduction of technological concepts has helped in enhancing such coordination and improving the overall efficiency in the operations of modern companies. Enterprise resource planning (ERP) is one of the technological concepts, which have gained popularity in the modern-day supply chain management. In this section, the researcher will review the works of other scholars in relation to the effectiveness of enterprise resource planning in the supply chain management of an organisation.

Enterprise Resource Planning: A Theoretical Perspective

Definitions

It is important to start by defining enterprise resource planning before discussing its relevance to supply chain management in the current competitive business environment. Parsons (2016) defines ERP as “a business process management software that allows an organisation to use a system of integrated applications to manage the business processes, often in real time and automate back-office functions” (p. 67). The definition identifies ERP as software that enables a firm to integrate and coordinate internal operational activities. The automation process makes it possible for interdepartmental and intradepartmental coordination in real time. It means that the finance and procurement departments would have the capacity to monitor the materials needs of the production department in real time. In the past, these departments had to communicate through internal memos or other related means.

The finance department had to wait for information from the procurement department to release the needed funds for the acquisition of raw materials (Bahssas, AlBar, & Hoque, 2015). On the other hand, the procurement department had to get information from the production unit to know how to act. When using this new technology, the information will be available and the departments can coordinate their activities with ease. The fact that the automated system makes the information available in real time makes it easy to plan the procurement process in a way that avoids both the delay and cases where excess raw materials are delivered to the firm.

Key components

Enterprise resource planning, in its basic form, has five main components. They include finance resource planning, supply chain management and manufacture resource planning, human resource management and customer resource planning, as shown in figure 1 below (Costa, Ferreira, Bento, & Aparicio, 2016). It means that this system brings together all the departments of an organisation into an integrated system where information is readily available in real time to help in making strategic management decisions. The manufacturing unit will have information about the quality and quality of resources needed in the market from the sales unit.

The information will be available immediately to the procurement and finance unit to facilitate the acquisition of the needed raw materials. The transport unit will know what is should plan for in terms of delivering raw materials to the firm and making available the finished products to the retail stores. Human resource management unit will know when to increase the number of casual employees during peak periods (Tarhini et al., 2015). The integrated nature of the system that makes it easy to plan and coordinate activities within an organisation is what makes EPR unique in the current business environment.

Get your
100% original paper on any topic done
in as little as 3 hours
Learn More
Key components of ERP.
Figure 1. Key components of ERP (Ross, 2015, p. 78).

Uses

Enterprise resource planning plays an important role in demand planning within an organisation. The system provides information, in real time, about resources consumed in each department, especially in the manufacturing unit and provides a forecast about the time within which a new batch of materials should arrive. When customised effectively, Das and Dayal (2016) argue that ERP can state the specific quality of materials that should be purchased. Alternatively, the production manager should define the quality of materials needed and the information will be available, through the system, to all the relevant officers in the firm. Procurement is another important use of this software. The automated system makes it easy to communicate with suppliers about the needed resources and means through which they can be delivered (Tarhini et al., 2015).

The automated and integrated communication means that in case one department makes a mistake, others can identify and correct it. If the procurement department ordered for a wrong quality of raw materials, the manufacturing department can have access to the information and address the issue before raw materials can be delivered. The system has also become popular in the shipment of finished products to the market. The integrated communication system makes it possible for the logistics unit to know when to deliver what in the market (Bahssas et al., 2015). It also helps in monitoring inventory to eliminate cases of pilferage in the supply chain.

Challenges and benefits

Enterprise resource planning has benefits and challenges that one should understand before embracing it. One of its biggest benefits is that it reduces redundancy in data management (Costa at al., 2016). Once the procurement department has made information available, other departments do not need to create their own files reflecting the same information. They only need to act upon the information provided. Another major benefit is that it provides real-time information to all departments. As such, it improves decision-making within the firm and it is easy to address mistakes as soon as they are detected (Fredendall & Hill, 2016).

The system makes it easy for all the relevant stakeholders to share information critical in improving operational efficiency. It saves time that would be spent when one department had to wait for another to prepare files and deliver them before specific actions could be taken. The system eliminates theft and other unethical practices because the action of every employee and the use of resources can be monitored in real time (Gavidia, 2017). When people know that their every action is under surveillance, they tend to embrace ethical practices. Through the system, it is possible for a firm to embrace a single-sourcing system as a way of cutting cost, improving efficiency and creating a close business relationship with a trusted supplier.

It is important to appreciate the fact that this system has weaknesses despite the benefits discussed in the section above. According to Das and Dayal (2016), it takes a lot of time to train employees on how to use the system. They have to learn how to enter data into the system, process it, interpret the information and act upon specific instructions (Nwankpa & Roumani, 2014). Some employees who are not ready to embrace change may find it difficult to operate under this new system. The initial cost of installation may be high (Tarhini et al., 2015). The find would need to purchase modern computing systems with large storage and processing capacity.

Various points of operation may also need to be installed with computers or hand-held devices connected to the internet to make it possible to share information in real time. The fact that data is centralised for easy access by everyone creates security risks. If the central database is compromised, operations in the entire form may be paralysed (Gavidia, 2017). Cyber-criminals can also attack such a database and access all the critical information they may need. Chofreh et al. (2016) explain that customising the ERP may not be easy. The firm has to redesign its operating system to suit the architecture of ERP. Despite these weaknesses, enterprise resource planning has become popular and critical in enhancing a firm’s success.

SCM: Review of Theoretical Literature

Definitions

Ross (2015) defines supply chain management as “the broad range of activities required to plan, control and execute a product’s flow, from acquiring raw materials and production through distribution to the final customer, in the most streamlined and cost-effective way possible” (p. 87). It is a range of activities from the acquisition of raw materials, processing of the material and making the final product available in the market. Supply chain management involves almost every department within the organisation. Chofreh et al. (2016) argue that supply chain management defines the quality of products that a firm makes available to its customers and the unit cost of its operations. Streamlining these operational activities helps in ensuring that high-quality raw materials are acquired at the lowest price possible, processing is done within the required time and as per the set standards, warehousing is minimised by making products available in the market as soon as they are manufactured and transportation is done in the most efficient way possible. These activities have to be coordinated to ensure that the desired level of success is realised.

We will write a custom
Enterprise Resource Planning for Supply Chain
specifically for you!
Get your first paper with 15% OFF
Learn More

Key elements and review of the value chain

It is important to identify and discuss key elements of SCM. Table 1 below identifies these elements. The first element is the customer. SCM starts with understanding the specific needs of customers. Bahssas et al. (2015) explain that customers’ needs would define the chain of activities that would take place within the company. Forecasting is another critical element of SCM. The firm would need to predict the number of products needed and the time within which they should be delivered. Design is another element, which involves incorporating the needs of the customers into the manufacturing process. It is the deliberate attempt to make available what customers desire. Processing is another element, which primarily focuses on controlling the quality and schedule activities. Gavidia (2017) believes that other than delivering the right quality produce in the market, timing is also critical. It helps in avoiding cases where products are manufactured in excess, forcing the firm to spend more on warehousing.

When goods are stored for a long time, their quality may be compromised either through short-shelf value by the time they are delivered to the market or constant handling. Inventory is another element, which focuses on making the needed products available to customers at the lowest cost possible. SCM also involves purchasing, where the procurement department makes available the needed raw materials at the most competitive price possible. Suppliers also form part of the key elements of supply chain management (Costa at al., 2016). The selected supplier should be reliable, capable of delivering the needed quality of raw materials and willing to set competitive prices in the market. Location as an element of supply chain management entails identifies the right geographic places to make a firm’s products available to customers. Finally, the logistics aspect focuses on the movement of raw materials from the supplier to the firm, storage and movement of finished products to the market.

Key elements of SCM.
Table 1. Key elements of SCM (Parsons, 2016, p. 78).

Essential practices that depict effective SCM

It is important to maintain essential practices that would depict effective supply chain management. According to Das and Dayal (2016), one of the most essential practices is to set up a supply chain council. As explained above, SCM brings together different departments within an organisation. The head of these departments should form council members and a leader identified to ensure that there is one centre of command. The council will be responsible for strategic and some important operational management decisions. Defining the appropriate staff involved in the system is another important practice. Role and responsibilities of every individual within all these departments should be spelled out in clear terms to avoid cases of overlaps or incidences where other activities are not conducted (Fredendall & Hill, 2016).

Another standard practice is to identify specific areas where technology can be applied to streamline and improve processes (Tarhini et al., 2015). In the current business environment, technology is playing a key role in enhancing efficiency, reducing cost and improving product quality. The council should identify areas where technology can be applied and find ways of implementing technological concepts. Chofreh et al. (2016) explain that it is also important to maintain a healthy relationship with suppliers. The supplier must understand that its success is tied to the success of the company. As such, contracts made between the firm and these suppliers should be mutually beneficial and non-exploitative. It is also necessary to take steps to ensure that there is a consistent reduction in the cost of operation.

ERP and SCM: A Theoretical Perspective

The ecosystem of supply chain entails planning controlling, execution and monitoring of various activities in the manufacturing, supplies, distribution and retailing within a given firm. According to Shen, Chen and Wang (2016), when operating in a highly competitive business environment, every effort should be made to ensure that operations are made as efficient as is possible because of various reasons. The first reason is related to cost. In an environment where customers can choose from various brands offering similar products, one of the main factors that often define their choice of product is price. Gavidia (2017) explains that clients are likely to settle for products considered less expensive if they have the perception that the value they offer is the same.

The second factor is quality. When trying to improve efficiency in operations, the goal is to ensure that there is a consistent improvement in the value of the product in the entire value chain. It starts with acquiring the right raw materials, engaging a skilled and experienced workforce in the production process and ensuring that the product is made available to customers in the shortest time possible. Developing a strong brand in the market depends on how well a firm is capable of meeting the market needs at the most competitive price possible. According to Ross (2015), enterprise resource planning is capable of addressing these issues in the most effective way possible. ERP introduces the use of technology in the SCM processes. The following are the main areas of SCM where ERP plays a critical role.

Material flow

The flow of materials within an organisation is the primary focus of supply chain management. The process of ordering raw materials, storing them in a firm’s warehouse, processing them and delivering finished products to the market requires precision. Gavidia (2017) explains that to cut down operational cost and improve the overall quality of products, especially when handling perishable goods, it is critical to ensure that a firm produces exactly when the market needs. It means that the cost of storing raw materials and finished products would be minimised as much as possible. ERP helps to forecast market demand. The information would be made available to the production department in real time. As such, an appropriate decision can be made on the number of goods that should be produced within a given period. The information will then be used to make an order for raw materials, defining the required quality and quantity (Bahssas et al., 2015). The expectation is that there would be a smooth flow of materials in the entire supply chain, eliminating dead stock in the process. The manufactured products will be delivered to the market based on the forecasted demand.

Not sure if you can write
Enterprise Resource Planning for Supply Chain by yourself?
We can help you
for only $14.00 $11,90/page
Learn More

Information flow

The ease with which information flows in an organisation that uses ERP in its SCM is a major factor that has made firms to embrace this new system. In a traditional business environment, the marketing department had to make an official communication, through memos or letters, to the production department explaining the demanded amount of products, quality and time within which it should be delivered. The production unit would then determine the number of raw materials needed to deliver these orders and send a message to the procurement department (Tarhini et al., 2015). Once a supplier is identified and the cost established, the information would be sent to the finance department to release funds needed for the acquisition of the raw materials. Such processes were lengthy and prone to misinterpretation and delays. Enterprise resource management addresses these concerns by integration of the communication system to ease information flow. Each department can have access to information relating to strategic activities in real time through the shared database (Nwankpa & Roumani, 2014). Operational decisions can be made with ease in this technology-based system.

Financial flow

Enterprise resource planning also plays a crucial role in the financial flow and management within a given company. According to Fredendall and Hill (2016), one of the biggest concerns in supply chain management is the misappropriation of funds. Cases of misappropriation or outright theft of funds meant to purchase raw materials and facilitate various operations may affect the entire cost of production. Enterprise resource planning eliminates such possibilities (Nwankpa & Roumani, 2014). Every financial action taken by each department will be available in the database even before funds are released.

Clear information will have to be provided, explaining why an amount of money has to be paid to a given entity. Payment processes start with the definition of the item that an organisation needs, possible suppliers that offer the needed item and the choice of a given supplier based on quality and pricing. Members of the council should have access to such information, especially when making major purchases and issue an approval if it is convinced that it offers the needed value. Any irregularity would be identified and addressed before the firm can lose financial resources. Eliminating pilferages often lower operational cost in the market.

Empirical Review

Many large corporations around the world have implemented enterprise resource planning as a way of improving their operations and lowering their production cost. According to Shen et al. (2016), Cadbury and Nestle are some of the multinational corporations, which have implemented ERP successfully and have outlined various benefits of the new system. However, it is not always a success when introducing the system. The same study shows that the implementation of ERP failed in Hershey Candies and PG&E. Failure of this system may be attributed to internal inadequacies within a firm, a mismatch of expectations, or the relationship between the vendor and the client. Gavidia (2017) also explains that a firm can register failure in the first attempt, but when the fundamental weaknesses are addressed, the system can run smoothly.

As shown in the statistical analysis below, most of the firms that participated in the review (60%) reported that the outcome of the implementation was a success. They stated that upon the implementation of this technology-based system, operations were improved, cost reduced and intradepartmental engagements increased. Another 30% of the firms reviewed stated that they were neutral in terms of whether the implementation of ERP was a success. They explained that it had numerous benefits, but some issues in the system made it impossible to state whether it was appropriate for their operations. Only 10% of the companies in the review stated that the implementation was a failure. They cited limited skills and a mismatch between the expectations and value delivered as some of the main factors that led to the failure. Figure 2 below summarises findings made in that specific study.

The success rate in the implementation of ERP.
Figure 2. The success rate in the implementation of ERP (Ross, 2015, p. 49).

According to Parsons (2016), selecting an appropriate enterprise resource-planning vendor is an important factor that one should consider. Just like is the case with any other purchase, a company that is planning to implement the system should ensure that the vendor meets the basic requirements and has the capacity to meet ultimate expectations. As shown in table 2 below, SAP SE is the leading vendor in the global market, controlling 28% of the market share. Oracle is the second-most dominant player, with a market share of 15%. Microsoft comes in third, at 12% of the global market share. Other dominant players include Infor, Epicor, IFS AB and Lawson. When selecting the vendor, factors such as quality of the service offered, post-purchase services that a firm gets and other requirements should be considered.

Table 2: ERP vendors.

Firm SAP Oracle Microsoft Infor Epicor IFS Lawson Others
Mkt. Share 28% 15% 12% 7% 5% 2% 2% 29%

Conclusion

Enterprise resource planning has become critical software in modern-day supply chain management. As shown in this review of literature, ERP integrates the communication system within an organisation, making it possible for different departments to have access to information they need in real time. It eliminates time wastes in information sharing and coordination of operational activities. ERP makes it possible to monitor the current stock and determine when it would be necessary to order for additional stock. When used effectively, the system eliminates cases where products are ordered in excess, which means that it reduces the cost of operations. It is also evident that it enhances accountability within an organisation.

Expenses of all resources are well documented in real time, which makes it easy to defeat the attempt of unscrupulous employees to steal from the firm. Despite these benefits, the review of literature shows that the system comes with various challenges. One of the main challenges is that the initial cost of installing the entire system within an organisation may be high. The fact that data is centralised makes it vulnerable for attack by cybercriminals. A firm would also have to take its employees through thorough training to equip them with skills needed to operate under the new system. They should not resist change. Although these challenges exist, the benefits of ERP outweigh weaknesses, making it an effective tool that any successful firm should not ignore.

Conceptual Framework

The conceptual framework can help in illustrating the information presented in the review of literature above. As shown in figure 3 below, ERP solves specific challenges associated with SCM. On the one end are the challenges such as poor communication and integration, delayed deliveries and loss of resources. In the middle is the ERP. The other end outlines the benefits such as improved communication and integration, improved delivery of resources and reduced wastage of resources.

Research Methodology

Introduction

The previous chapter has provided a review of the literature relevant to this study. Books, journal articles and other reliable online materials reviewed have provided background information about enterprise resource planning and its relevance in supply chain management. In this chapter, the focus is to provide a detailed explanation of the method that will be used to collect primary data from respondents. The section starts by defining the research design that was used, the population, sample size and sampling method, sources of data and a discussion of data collection instrument. It also discusses the method used to present primary data.

Research Design

In the proposal, it was stated that the study would use both interpretivism and positivism as the appropriate research philosophies. It is appropriate to define the design in line with the philosophies and research approach. The mixed method research design was considered most appropriate for this study. As stated in the research aim, the primary goal of this study is to evaluate the effectiveness of enterprise resource planning in the supply chain management of a selected organisation. Quantitative research will help to quantify the effectiveness of ERP and the extent to which it is used in this organisation. On the other hand, qualitative research design will make it possible to have a more comprehensive analysis of the issue, by providing an explanation as to why the firm considered it appropriate to introduce ERP in its SCM, specific challenges that have been encountered and ways in which these challenges can be addressed. Phenomenology is one of the best ways of collecting detailed information about a specific issue. As such, the mixed method research design will provide a comprehensive analysis of the issue under investigation.

Population

Defining population is a critical step in determining how a firm should have a sample to participate in the project. Enterprise resource planning as a tool for enhancing supply chain management is an issue that is relevant to every single organisation in the country, irrespective of its size. It means that millions of people working in different companies would qualify to participate in the project, especially those whose companies are currently using the system. However, the population had to be narrowed down further, before defining how to select a sample from it (Bell, Bryman, & Harley, 2018). Texas Instruments Inc., formally known as Geophysical Service Incorporated, was selected as the organisation whose employees would participate in this study. Based on the number of employees at this firm, the population for the study was 29,714 people.

Sample Size

The limited time within which this study had to be completed meant that it was not possible to collect data from the entire population. As such, a manageable sample had to be selected that represents the entire population. A sample size of 60 participants was considered appropriate. The sample had for senior executives at the firm and ten mid-managers. They represented the views of the managerial unit at the firm. Other 46 participants were employees in non-managerial position. These participants formed the majority of the participants not only because it was easy to reach out to them but also because they are the majority in the company. They are also responsible for the implementation of any new concept introduced by the management. All the participants have been working with this company for more than 6 months.

Sampling Methods

Purposive sampling, which is a non-probability sampling technique, was considered appropriate when selecting individuals to participate in this study. According to Hair et al. (2015), one of the main benefits of purposive sampling is the fact that data collector is assured that the individual included in the sample has the capacity to provide the needed information. It eliminates cases where a researcher would have a large number of participants who have limited knowledge of issue under investigation. Purposive sampling also helps in ensuring that the sample is a representation of the entire population. The sample had to meet the requirement of having 4 senior managers, 10 mid-managers and 46 non-managerial employees.

Sources of Data

In this study, data will be obtained from two main sources. The first was secondary data sources. Information was obtained from books, journal articles and reliable online sources. They formed the basis of the literature review conducted in chapter 2 of the project. As Erlingsson and Brysiewicz (2017) observe, secondary data provides background information. The review makes it possible for a researcher to understand what other scholars have found out and knowledge gaps that still need to be addressed. The second data source in this study (primary data) came from interviews with the sampled respondents. Primary data source made it possible to address understand the relevance of ERP in SCM based on experiences of the respondents at their current company.

Data Collection Instrument

When a sample has been identified, the next step is to find an effective way of collecting data from them. Hair et al. (2015) explain that the approach used in collecting data depends on the size of the sample, their geographic distribution, time available for the study and willingness of the individuals to engage in a face-to-face interview, which is often the most desirable method of collecting data. A questionnaire was considered an appropriate instrument of standardising the process of collecting data. The questionnaire has two sections. The first section focused on collecting demographic facts about the participants. Erlingsson and Brysiewicz (2017) state that determining factors such as academic background and experience of a respondent enables one to determine the authority that one has in a given field. The second section focused on facts relating to the effectiveness of ERP in SCM within the selected organisation. Data was collected through the following methods:

Personal interview

Personal interview was used to collect data from the four top executives of this company. A face-to-face interview was conducted with these respondents to determine their perception of the effectiveness of ERP in SCM. Hair et al. (2015) believe that an interview is the best way of collecting data. It makes the respondents appreciate the importance of the information to the researcher. One can also collect non-verbal cues such as body language and facial expression to help determine the perception of a respondent towards a given issue. Interviews were conducted in their respective offices within the stipulated period. This method was used to collect data from the four participants because it was necessary to ask them to clarify specific issues stated by other respondents. Their position within the firm makes it possible for them to provide further details.

Mailing of the questionnaire

Mailing of the questionnaires to the respondents was the other method used to collect data from the other participants. Because of the limited time within which this study had to be completed, the researcher opted to mail the questionnaires to the majority of the respondents, especially those who are not in a managerial position. After mailing the questionnaires, the researcher made a phone call to each one of them, explaining how they should respond to the questions. They were given two weeks to answer each question in the questionnaire and send the document back through the same e-mail address.

Data presentation

Data analysis was conducted both qualitatively and quantitatively. Data analysed through quantitative method was presented using charts and graphs. Bell et al. (2018) explain that presenting data using figures makes it easy for readers to understand the content without having to go through the entire facts in the documents. Using a chart that represents the percentage of respondents who feel that ERP is effective in SCM makes it easy for one to know the acceptability of the new system among the population. Information obtained through qualitative analysis was presented in the form of direct quotes.

Data analysis procedures

Descriptive statistics were used in this study. Quantitative data analysis was conducted using the statistical package for social scientists (SPSS) software. Data obtained from the participants were coded and then entered into the SPSS spreadsheet. The researcher then determined mean and modal factors as would be appropriate. The output of the analysis was presented in the graphs and figures as discussed above. The SPSS was also used to conduct the T-test as was explained in the proposal. Qualitative data analysis took the form of phenomenology, where respondents explained their perception based on a specific event that happened within the firm. Direct quotations were used to present information analysed qualitatively.

References

Bahssas, D.M., AlBar, A.M., & Hoque, M.R. (2015). Enterprise resource planning (ERP) systems: Design, trends and deployment. The International Technology Management Review, 5(2), 72-81.

Bell, E., Bryman, A., & Harley, B. (2018). Business Research Methods. Oxford, UK: Oxford University Press.

Chofreh, A.G., Goni, F.A., Ismail, S., Shaharoun, A.M., Klemeš, J.J., & Zeinalnezhad, M. (2016). A master plan for the implementation of sustainable enterprise resource planning systems (part I): Concept and methodology. Journal of Cleaner Production, 136(1), 176-182.

Costa, C.J., Ferreira, E., Bento, F., & Aparicio, M. (2016). Enterprise resource planning adoption and satisfaction determinants. Computers in Human Behavior, 63(1), 659-671.

Das, S., & Dayal, M. (2016). Exploring determinants of cloud-based enterprise resource planning (ERP) selection and adoption: A qualitative study in the Indian education sector. Journal of Information Technology Case and Application Research, 18(1), 11-36.

Erlingsson, C., & Brysiewicz, P. (2017). A hands-on guide to doing content analysis. African Journal of Emergency Medicine, 7(3), 93-99.

Fredendall, L.D., & Hill, E. (2016). Basics of supply chain management. New York, NY: CRC Press.

Gavidia, J.V. (2017). A model for enterprise resource planning in emergency humanitarian logistics. Journal of Humanitarian Logistics and Supply Chain Management, 7(3), 246-265.

Hair, J., Wolfinbarger, M., Money, A.H., Samouel, P., Page, M.J., Wolfinbarger, M., … Page, M.J. (2015). Essentials of Business Research Methods (3rd ed.). London, UK: Routledge.

Nwankpa, J., & Roumani, Y. (2014). Understanding the link between organizational learning capability and ERP system usage: An empirical examination. Computers in Human Behavior, 33, 224-234.

Parsons, J.J. (2016). New perspectives comprehensive computer concepts 2016. Boston, MA: Cengage Learning.

Ross, D.F. (2015). Distribution planning and control: Managing in the era of supply chain management. New York, NY: Springer.

Shen, Y.C., Chen, P.S., & Wang, C. H. (2016). A study of enterprise resource planning (ERP) system performance measurement using the quantitative balanced scorecard approach. Computers in Industry, 75(1), 127-139.

Tarhini, A., Ammar, H., Tarhini, T., & Masa’deh, R. (2015). Analysis of the critical success factors for enterprise resource planning implementation from stakeholders’ perspective: A systematic review. International Business Research, 8(4), 25-40.

Appendices: Questionnaire

The goal of this study is to investigate the effectiveness of enterprise resource planning in the supply chain management of an organization. I need your help with primary data collection. Kindly answer the following questions to the best of your knowledge. If there is a need for clarification, kindly do not hesitate to contact me

Section A: Background and Demographic Information

  1. What is your Nationality?
    1. American
    2. Non-American
  2. Kindly select your highest academic qualification?
    1. High School
    2. Diploma
    3. Bachelor
    4. Master
    5. Doctorate
  3. Do you have specialized training in the field of enterprise resource planning?
    1. Yes
    2. No
  4. How long have you been working in the in this company?
    1. 1-3 Years
    2. 4-6 Years
    3. 7-9 Years
    4. Over 10 Years
  5. In which department of this company do you work?
    1. Procurement
    2. Logistics
    3. Production
    4. Marketing
    5. Finance
    6. Other (Please specify)

Section B: Effectiveness of Enterprise Resource Planning in the Supply Chain Management

  1. Do you understand the relevance of enterprise resource planning in supply chain management?
    1. Strongly understands
    2. Understands
    3. Somehow understands
    4. Limited knowledge about it
    5. EPR is a completely new term
  2. Do you use ERP in your current organization to enhance SCM activities?
    1. Yes
    2. No
  3. Do you believe there is goodwill among the management in supporting the use of ERP in SCM at your firm?
    1. Strongly Agree
    2. Agree
    3. Not Sure
    4. Disagree
    5. Strongly Disagree
  4. Do you believe stakeholders in this company, especially the managers and junior officer, understand the relevance of ERP in promoting effectiveness in SCM?
    1. Strongly Agree
    2. Agree
    3. Not Sure
    4. Disagree
    5. Strongly Disagree
  5. Do you believe employees at your organization have the right skill that can enable them to work effectively when ERP is fully implemented?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  6. Do you agree with the argument that ERP improves interdepartmental and intradepartmental communication and coordination?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  7. Do you believe that ERP can help your organization to cut unnecessary costs and reduce wastage?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  8. Do you agree with the argument that ERP is one of the best ways of addressing the problem of resource theft at your organization?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  9. Do you believe your organization is fully prepared to automate its SCM through the use of ERP?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  10. Is there a direct relationship between your firms’ current performance and its implementation of ERP (only applicable if your firm is currently using this system)?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  11. What are some of the benefits of ERP in SCM for a firm operating in a competitive business environment?
    1. …………….
    2. …………….
    3. …………….
    4. …………….
    5. …………….
  12. What are the main challenges that you have noticed when implementing ERP in SCM?
    1. …………..
    2. …………..
    3. …………..
    4. …………..
    5. …………..
  13. How does your organization address challenges that it faces when implementing this system in SCM _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______ _______
  14. Do you believe the long-term benefits of ERP are worth the investment that your company has made to install the system and train its employees?
    1. Strongly Agree
    2. Agree
    3. Not sure
    4. Disagree
    5. Strongly Disagree
  15. Do you have any personal reservations towards full implementation of ERP in your firm’s SCM? (Kindly explain)
    1. Yes: _______ _______ _______ _______ _______
    2. No: _______ _______ _______ _______ _______

Thank you very for your participation in this study. Data collected is purely meant for my academic project and will not be shared with industry experts for economic benefits. Your identity will remain confidential.

Check the price of your paper