Journal of Positive School Psychology http://journalppw.

com
2022, Vol. 6, No. 10, 1762-1770

Erp Implementation Process Improvement: A Methodological

Proposals

Fayiz Momani 1, Anas G. Kanaan 2, M. Hafiz Yusoff 3, Syarilla Iryani A. Saany 4,

Amer Hatamleh 5, Yousef A.Baker El-Ebiary* 6

1
Assistant Professor Dr., Business & E-Commerce Department,
Faculty of Administrative and Financial Sciences, University of Petra, Amman,Jordan.
2
Assistant Professor Dr., Business & E-Commerce Department,
Faculty of Administrative and Financial Sciences, University of Petra, Amman, Jordan.
3
Assoc. Prof. Dato' Dr., Deputy Vice Chancellor for Student Affairs, UniSZA, Malaysia.
4
Assoc. Prof. Dr., Faculty of Informatics and Computing, UniSZA, Malaysia.
5
Assoc. Prof. Dr., Head of Management Information System Department,
Faculty of Financial and Business Science, Irbid National University, Irbid, Jordan.
*6
Assoc. Prof. Ts. Dr., Faculty of Informatics and Computing, UniSZA University, Malaysia.
https://orcid.org/0000-0002-4392-8015
Email: 1 Fayiz.Momani@uop.edu.jo, 2Anas.Kanaan@uop.edu.jo,
3
hafizyusoff@unisza.edu.my, 4syarilla@unisza.edu.my, 5aahatamleh@inu.edu.jo,
6
*yousefelebiary@unisza.edu.my

Abstract
In today's business context, ERP systems are highly complex. Many firms find it challenging to modify
their business procedures in order to improve their business system. The establishment of these systems
requires a substantial amount of money and effort. A comprehensive negotiation of the transformation
must address the present processes, the future processes, and the new requirements for process
automation of the future processes, forecasting and developing these extra demands. The primary
purpose of our study is to enhance the functionality of ERP system implementation in manufacturing
enterprises and minimise the risk of information systems system failure. Existing theoretical techniques
were analysed in order to design a more effective strategy for adopting ERP systems in businesses.
Theoretical evaluations and practical research highlighted deficiencies using a questionnaire survey.
The recommended ERP system implementation method for an industry sector should, in our view,
resolve these concerns. Our objective is to concentrate on the most essential ERP system deployment
components.

Keywords - ERP, enterprise resource planning, information system, ERP selection process, business
process, business process evaluation.

of the variables of manufacturers, therefore the

I. INTRODUCTION
enterprise's information system is a critical
Enterprise resource planning systems, also
aspect in business competitiveness [2]. As is
known as ERP, are a kind of corporate
well known, enterprise resource planning
information system that is historically difficult to
information solutions aid in the automation and
understand. The deployment of these systems
integration of an organization's core activities.
takes a significant investment of time, money,
The fourth and last major component of an
and other resources on the part of the business
information system is the process. To achieve a
[1]. At the moment, information has become one
1763 Journal of Positive School Psychology

goal, tasks are executed in a sequential manner. company. That's capable of handling the
A business process, on the other hand, is one that operations of an entire company: It is feasible to
aims to accomplish a business objective. At use an ERP in order to monitor all of the
some point in our lives, we have all participated processes that are taking place inside a business.
in a business process. In order to achieve their Manufacturing and sales modules are two
aims, businesses must through a variety of examples of the types of modules that may be
procedures. acquired as part of an ERP system. Other
The more efficient a corporation is, the better its modules may represent other types of business
procedures. Some businesses see their processes.
procedures as a way to achieve a competitive When it comes to the number of modules that
edge. A method that accomplishes its objective they should purchase, every business has its own
in an unusual manner may set a specific distinct set of priorities. In addition to centralising data,
from its rivals. If a business executes a strategy ERP systems enforce procedures that are
for reducing expenses, it may be able to reduce adopted by an organisation. The rules for the
its costs or keep a larger portion of its revenues. linked business processes must be implemented
Each of us does several tasks during the course when an ERP provider creates a module. The
of the day without giving them a second thought, fact that an ERP system is pre-loaded with best
such as getting ready for work, using an ATM, practises is one of its main selling points.
and checking e-mail. When procedures get more Meaning that a company's enhanced best
complicated, they must be recorded. In order for practises are also part of the bargain when it
enterprises to maintain control over how deploys an ERP.
operations are carried out inside their company, A significant issue with the ERP installation
this is an absolute need [3]. process is that relatively few threats and risks of
Maintaining a record of an organization's failures are described in the literature, maybe
procedures is becoming more of an because few organisations want to disclose their
administrative burden. As processes evolve and implementation problems [5].
improve, it's critical to keep track of the most This article focuses on ERP systems in medium
current versions. Maintaining a procedure that is and large enterprises. Based on the findings of
easy to update is also critical. In part, the need to the exploratory study, we also give the best
handle process documentation prompted the implementation method. ERP adoption is
development of a document management examined in terms of the most important
solution. The following features are provided by variables in an actual and research study [6]. As
a document management system: storage, stated in the provided research article, our major
tracking, and analysis. goal is to boost the efficacy of ERP system
ERP can manage a company's resources and installation in industrial organisations and
operations on a global scale. The fact that the decrease the risks involved with ERP system
system is driven by a software programme implementation failure.
indicates that it was developed with a certain
II. LITERATURE REVIEW
protocol and set of guidelines in mind from the
ERP systems have been widely used since the
beginning. It must be installed and configured
mid-1990s, when many of organisations
specifically for a certain business in order for it
throughout the world adopted technology. To
to be successful [4]. When using an ERP system,
enable cross-functional processes, these
each and every piece of information is filed away
corporation online interactive solutions make
in a solitary and centralised database.
use of a central database. ERP systems, as far as
Because the organization's systems are now
we know, are designed to provide real-time, up-
centralised, data that is recorded in one
to-date data and improved workflow across
department of the company may be readily
functional areas, with more consistency across
accessible and used in other departments of the
varied business operations [7].
Fayiz Momani 1764

Presently, understanding of information systems alignment with the organization's goals and
is required for developing profitable, objectives. All of these factors contribute to the
competitive businesses, managing multinational complexity of ERP installations.
organisations, increasing corporate value, and The most essential component of the process is
offering relevant goods and services to clients the adoption of an ERP system, and the selection
[8]. The influence of information and technology procedure should be suited to the organization's
on the productivity of both industrial and service specific needs and based on criteria. In addition,
firms is enormous [9]. Balanced Scorecard, Lean the selection approach should be based on
Manufacturing, and other methodological criteria. The most significant things to think
principles are used by company management for about are the product's functionality, its
integrated Business Performance Management technology and expertise, its flexibility and
[10]. Although the Balanced Scorecard may be application scalability, its pricing, execution,
successfully implemented without the backing of and user-friendliness [17].
a high-quality corporate information system, this To address the needs of multiple functional
idea will not work if it is not functioning with areas, ERP system planning and deployment
vast volumes of data and information [11]. There need an integrated strategy. New information
are a variety of methods available, such as lean systems aren't always beneficial to a business.
manufacturing, collaborative work When it comes to system installation, numerous
environments, information management, and e- elements come into consideration [18].
commerce, to name just a few [12]. Businesses that want to become more integrated
Planning systems for businesses' resources see face risks when implementing ERP because of
m to be a wonderful experience. Common the new technology's complexities that grow
software solutions offer smooth connectivity of over time and therefore can be recognized in full
all data flows in the organization, including when choices need to be made [16]. In the early
financial and accounting information as well as stages of ERP research, articles and case studies
human resource and procurement data [13]. in the business media and practitioner-focused
Inconsistent information systems and uneven publications are the primary sources of
operational methods have long been a source of information. Subjective material based on a few
aggravation and cost for management. The achievements or failures is prominent in many of
prospect of a "off-the-shelf" solution to the these topics [19].
challenge of business integration seems Many ERP implementations have failed, partly
appealing [14]. Many experts point out that ERP because few organisations want to make their
is an essential component for improving implementation problems public, and this has
competitiveness, simplifying operations, and created a significant challenge for the ERP
using "lean" manufacturing practises in the installation process as a whole [20]. ERP
production process [15]. In support of their implementations are fraught with both external
claim, they cite tens of thousands of and domestic vulnerabilities. Outside of the
organisations throughout the globe that have or organization's control, external risk factors relate
are preparing to deploy ERP systems [16]. to an uncertain environment, and include
However, the choice of ERP system is an technical risks like those associated with
important and fundamental factor for enterprise hardware and software, as well as financial risks
level stakeholders in organisations striving to like those associated with telecommunications
maintain being competitive as it is a significant costs, system reconfiguration expenses, and
investment decision. It is essential to choose an specification change risks. Unpredictable user
ERP system that satisfies these criteria in order resistance, commitment escalation risk,
to have a successful ERP installation due to the employee turnover costs, maintenance expenses,
difficulty of change management, the high costs and the management's ability to properly deploy
of implementation, and the requirement for
1765 Journal of Positive School Psychology

ERP are all examples of domestic risks that constant interaction with both its internal and
might occur inside a company [21]. external environments [25]. Enterprises' overall
In order to assess the likelihood of ERP efficiency and competitiveness can be adversely
deployment success, we must consider the risks affected by a constantly changing environment.
associated with it on an organisational level [22]. In order for a company to maintain its
Because implementing such a system will requi competitiveness and performance, it must be
re a significant outlay of money and resources, i able to work effectively and timely with
t's critical to weigh the risks and come up with a information, not only from the historical context,
plan to mitigate them as much as possible durin but also from the long term. Users can improve
g the implementation phase [23]. thier company's productivity and efficiency by
According to the research that has been done, using an ERP system.
there are three key social enablers that must be Today's business managers are constantly
present in order for an enterprise resource searching for new and useful information,
planning (ERP) implementation to be successful. especially regarding the company's continued
These enablers are committed and competent expansion. ERP systems of the II. Development
leadership, good communication, and an aligned type are currently the ones responsible for
and empowered implementation team. Very few performing this task [26]. Figure 1 depicted the
surveys have attempted to investigate the role of data utilised in business intelligence (BI), which
these human factors empirically and thoroughly has become their principal role to plan and
[24]. simulate a number of probable outcomes for the
The company is a representation of an open, enterprise's long-term development.
dynamic, and objective-driven system that is in

Figure 1: ERP II. Advance Business Intelligence System

By carrying out theoretical research on the

III. METHODOLOGY
competitiveness of industrial companies as well
As previously stated, the primary goal of our
as on existing ERP systems, we hope to develop
study was to look into ways to improve the
a better understanding of the functionality and
efficiency with which ERP system deployments
competency of these systems according to the
are carried out in middle and large industries, as
size of the company they serve. The market for
well as to identify ways to reduce the risks
ERP systems was analysed to determine whether
associated with ERP system implementations
or not these kinds of programmes are easily
that go incorrectly.
Fayiz Momani 1766

accessible and utilised by companies of varying ERP system deployment was seen as a major
sizes. In order to develop a methodology for the shift by 88.3% percent of surveyed organisations
implementation of ERP systems in industrial as having a significant impact on the company's
organisations, it was necessary to investigate the current and particularly future performance. The
process of putting ERP software into action in a relevance of the new ERP system deployment
number of industrial organisations that ranged in was evaluated by 94.7% percent of the managers
size from middle to large. Additionally, the who were also aware of the company's
theoretical concepts relating to the repercussions of ERP system adoption. They
implementation of ERP software based on notice the changes by gaining a new tool for
standardised procedures were investigated [27]. standard users, as well as the new options and
The research led to the discovery of the possibilities that an ERP system delivers. The
inconsistencies in the plan. introduction of the new ERP system was seen
These problems can be overcome by using the favourably (100%) by IT employees, who were
method that is advised for integrating ERP also able to understand the importance of the
systems inside the organisation. The subsequent changes, utilization of new technology, but also
part of our research investigation will focus on challenges with ERP system stability in a
the implementation of ERP systems in medium professional IT context. The relevance of the
and large industrial companies. In order to put modification was judged by key users at 81.4%
the strategy into action, we will need to complete percent, which is a strong indicator for
a pre-project phase as well as six different management that future users comprehend the
project phases [28]. The content of each phase relevance of this change. This is also required for
specifies the actions that must be completed so users to take a responsible attitude to these
that the implementation process does not fail developments.
[29]. The requirements for the information that a The following findings have been drawn on the
corporation needs to have are figured out during basis of the information obtained from a
the pre-project phase. Both the ability of the ERP questionnaire survey that was carried out at a
system installation to find a healthy balance number of organizations that ranged in size from
between time and money [30], as well as the medium to large:
effect that human factors have on the adoption i. The implementation of an ERP system
process and its outcomes, are under ongoing raises a corporation's productivity and
evaluation. competitiveness and lends vitality to the
process of corporate growth.
IV. FINDINGS
ii. All parties involved are aware of the
The adoption of ERP in firms with moderate and
changes that will be brought about by the
big sizes usually takes many years, and the
implementation of the new ERP system,
whole process involves a variety of resources,
which will constitute a considerable
including intellectual, fiscal, and materials
improvement for the organisation.
elements. When establishing ERP systems in
iii. The implementation approach is a
businesses, it is recommended to utilise a
significant aspect that performs a role in
strategy based on project management because
determining the overall effectiveness of
of this reason. According to the findings of our
the ERP system deployment.
investigation, we are able to condense the
iv. The ability to analyze business processes
particulars of ERP implementation projects into
and compile a list of needs for an ERP
the following points: Uniqueness, complexity,
system that is being deployed is available
the human aspect, corporate nature of the
to companies.
project, change in organizational culture,
v. Organizations are able to recognise and
employees' risk avoidance, lack of knowledge,
quantify the advantages that the
and low experience are some of the challenges
established ERP system has brought them.
that may be encountered.
1767 Journal of Positive School Psychology

vi. It is very crucial for corporate leaders and occurring and the possible effects they may have.
workers to feel that it is feasible to The figure that follows provides a description of
discover a means to quantify the return on the most typical hazards associated with ERP
investment into ERP system. Finding a installation projects in industrial firms. These
way to measure the ROI into ERP system risks need to be managed by certain stages of the
is vital. project's life cycle, including designing,
During the introduction of an ERP system, development, administration, and maintenance
dealing effectively with changes and uncertainty (Figure 2).
may be accomplished via the use of risk It is recommended that the risk management be
management, which also has a substantial impact managed by a responsible individual who would
on the accomplishment of the project. There has hold the role of Manager for risk management.
been an examination of the risks involved in the Together with members of the sub-
installation of ERP systems in relation to the implementation teams, the external project
various stages of the project life cycle. The manager, who was appointed by the provider,
assessments were conducted on records and the internal project manager, who was
pertaining to previous ERP installation projects selected by the implementing organisation, are
with the purpose of identifying the most responsible for identifying the risks associated
prevalent hazards in terms of the chance of them with the project.

Project Phases Project Risks

System - The workload is quite demanding.
Designing - The provider significantly overestimated the system's level of relevance.
- Significant percentage of employee turnover across the implementation
team
- The implementer oversees the vendors in an ineffective manner.
- There have been an excessive number of changes made to the controls and
procedures.
- A potential modification to the law in the future may have an impact on the
system's design and development.
- The implementer either does not do adequate testing or does not conduct
any testing at all.
- The implementer does not have sufficient control over the system setup.
- Inadequate level of specificity in the project specifications
- Poor quality of the final product's documentation
- The technology architecture does not correspond to the nature of the
interactions nor even the existing load.
- Poor interoperability with other systems
System - Priority conflicts that are causing delays in the process
Implementation - The difficulty of the degree data translation has been grossly
overestimated.
- The difficulty of the interfaces has been significantly underestimated.
- The amount of funding necessary for execution has not been taken into
consideration.
- Lack of professional training on the recently implemented ERP system
Fayiz Momani 1768

- There have been an excessive number of changes made to the controls and
procedures.
- Pushback from stakeholders and users, who believe that the ERP system
does not adequately address their requirements or did not participate
enough in the system's design and development.
- Both the performance and the capacity of the system are not enough for the
present activities.
Operation & - Failure to get sufficient funding to make necessary repairs to operations
Maintenance and technology
- Due to a lack of suitable funding, there was not enough support for
legislative changes and user demands.
- Due to an inability to get sufficient funding for the project
- Inadequate participation of key personnel in management
- There is no ERP strategy in place.
- Improper documentation and processes
- Inadequate knowledge transfer from the provider to the staff responsible
for maintenance and operations.
- A breach in compliance with the project's processes and controls
- Challenges encountered throughout the process of moving from the
development phase to the operational phase

V. CONCLUSION The primary goals of our research are to enhance

Because of the rapid rate at which technology is the efficiency through which ERP systems are
progressing, original equipment manufacturers implemented in manufacturing organisations
(OEMs) all over the world are increasing their and to decrease the risks that are connected with
commitment to manufacturing excellence to the adoption of ERP systems not being
maintain their competitive edge. To accomplish successful. In order to develop an appropriate
these corporate objectives and ambitions, methodology for the installation of ERP systems
business processes are becoming more inside industrial organisations, it was necessary
interconnected with one another and more to conduct research on the various theoretical
complicated, which necessarily makes new ERP approaches to ERP system implementation. On
installations more difficult and demanding than the basis of the theoretical analyses and the
they have ever been. practical study carried out by means of a
This presents organization management with a questionnaire survey, the deficiencies were
multitude of threats and challenges in terms of determined.
selecting appropriate ERP tools and vendors to The most significant hazards were established on
match the available infrastructure as well as the the basis of the information obtained from a
skill and expertise level of the organization. questionnaire survey which was carried out in a
Additionally, it thus provides organization selection of organisations which ranged in size
management with challenges in terms of from medium to big. The various stages of the
selecting appropriate implementation project life cycle have been taken into
methodologies and models, which will consideration while analysing the risks
ultimately result in higher operational associated with ERP systems installation
efficiencies and effectiveness of the projects. Changes and unpredictability that arise
organization, which will help it to remain during the deployment of an ERP system may be
competitive. effectively managed using risk mitigation, which
1769 Journal of Positive School Psychology

also has a substantial impact on the overall processes. In Business Process

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