Performance drivers of ERP systems in small- and medium-sized enterprises

Abstract

The adoption of ERP systems by Small and Medium-sized Enterprises (SMEs) is a major endeavour and a complex project with many potential difficulties concerning budget overruns and benefits reached. SMEs must apply contemporary performance measurement methodologies to ensure efficiency and effectiveness in their overall Information Technology (IT) and business strategy, which in most cases can lead to superior competitive positioning. This paper develops a novel framework for measuring the impact of ERP implementations at SMEs; it is based on the concept that success is achieved only when the organisation is capable of better performing every operation embedded within the ERP system, and when the integrated information platform can contribute to overall performance enhancements. We focus on key performance measures, which are linked to a previously developed model (the 'six-imperatives' framework) and are relevant to the ERP implementation.

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