ERP systems in small and medium-sized enterprises: Barriers and prospects

Abstract

ERP systems are among the most effective tools for managing small and medium-sized enterprises. However, the mechanisms for introducing such systems have not yet been comprehensively developed in relevant theoretical and empirical works. The article examines the ERP systems market in Russia, compares their benefits and drawbacks and delves into the details of implementing such systems in small and medium-sized enterprises (SMEs). The process approach to describing the stages of ERP system implementation constitutes the methodological basis of the research. The study has a quantitative design; the empirical data were obtained from 103 respondents in the period between June–October 2023, as well as from the Russian Federal State Statistics Service (Rosstat) for 2016–2021. We have found that 1C Company can boast the most advantageous position in the Russian ERP systems market for small and medium-sized businesses. The comparative analysis of the leading Russian ERP solutions confirms that 1C ERP is the most adequate product for SMEs in terms of its functionality, price, and speed of implementation. Resultantly, we have proposed an integrated model of ERP system for SMEs that can be adopted in a fast and effective manner, which is critically important for this sector of the economy. The approach can also be seen as guidelines to implementing an ERP system in small and medium-sized enterprises. The research findings highlight the importance of SMEs digital transformation through ERP systems.

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