Evaluating ERP projects using DEA and regression analysis

Authors:
S. Parthasarathy;N. Anbazhagan
Affiliations:
Department of Computer Science & Engineering, Thiagarajar College of Engineering, Madurai 625 015, Tamil Nadu, India;Department of Mathematics, Alagappa University, Karaikudi 600 004, Tamil Nadu, India
Venue:
International Journal of Business Information Systems
Year:
2008

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Abstract

Enterprise Resource Planning (ERP) projects appear to be a dream come true. This study evaluates ten ERP projects based on their productivity using Data Envelopment Analysis (DEA). The results of the DEA for preeminent ERP projects are uploaded into a project database. Regression analysis is then applied to the data in the project database to predict the efforts required for new ERP projects to acquire high productivity. Extensive literature survey shows that the DEA is the preeminent slant to evaluate ERP projects. The upshots of the study are: (1) Function Points (FP) and project efforts are the performance indicators of the ERP projects from the viewpoint of software engineering; (2) Lines of Code (LOC) have considerable influence over the efficiency of ERP projects; and (3) DEA, in combination with regression analysis, produces fruitful results for the ERP projects. Future directions in the performance enhancement of ERP projects are also indicated.