A comprehensive study of the relationship between enterprise resource planning selection criteria and enterprise resource planning system success

Authors:
Wen-Hsien Tsai;Pei-Ling Lee;Yu-Shan Shen;Hsiu-Ling Lin
Affiliations:
Department of Business Administration, National Central University, Taoyuan 32001, Jhongli, Taiwan;Department of Business Administration, National Central University, Taoyuan 32001, Jhongli, Taiwan;Department of Business Administration, National Central University, Taoyuan 32001, Jhongli, Taiwan;Department of Business Administration, National Central University, Taoyuan 32001, Jhongli, Taiwan
Venue:
Information and Management
Year:
2012

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Abstract

We developed a conceptual framework for investigating how ERP selection criteria are linked to system quality and the service provided by suppliers and consultants, and thus how these influenced ERP implementation success. Through a cross-sectional survey of the top 5000 largest companies in Taiwan, using a balanced scorecard concept and path analysis, we showed that four system selection criteria (consultant's suggestion, a certified high-stability system, compatibility between the system and the business process, and the provision of best practices) were positively related to system quality. Three supplier selection criteria (international market position, training support by the supplier and supplier technical support and experience) had a significant influence on supplier service quality, and two consultant selection criteria (consultant's ERP implementation experience in a similar industry and consultant's support after going live) were related to consultant service quality. However, we found that most organizations did not consider all these criteria when implementing ERP systems. Our study also suggested that enhanced system quality and service quality could increase user perspective and ERP success.