Challenges And Effect Of Implementing Enterprise Resource Planning (ERP) On Organizational Performance (A Case Study At Ethiopian Agricultural Transformation Agency)
dc.contributor.advisor | Ensermu, Matiwos (PhD) | |
dc.contributor.author | Solomon, Feven | |
dc.date.accessioned | 2019-11-08T07:10:18Z | |
dc.date.accessioned | 2023-11-04T14:00:39Z | |
dc.date.available | 2019-11-08T07:10:18Z | |
dc.date.available | 2023-11-04T14:00:39Z | |
dc.date.issued | 2019-06 | |
dc.description.abstract | Enterprise Resource Planning (ERP) is a process of managing all resources of an enterprise in a coordinated manner. The system is considered as a powerful weapon to optimize performance of the organization. The objective of this study was to analyze the challenges in implementing ERP system and its’s effect on organizational performance of the Agricultural Transformation Agency (ATA) in Ethiopia. Analysis of effect of ERP implementation on Performance require determination of major components; Quality Management, Financial Management, Customer relationship Management, Inventory management, Procure ment management, Logistics management and Human Resource Management. The problems of, longer lead and cycle times, high implementation costs, user resistance, lack of training and incentives, high inventory level, in ERP implementation were the critical factors that initiated this study for investigation. Both descriptive and an explanatory research design was employed with a sample of 184 employees through Sample survey that was 92% of the response rate. A questionnaire was used as a research tool for collecting data. Available data on these factors was gathered, formatted, processed and thoroughly checked for continuity and consistency. The ERP implementation and organizational performance data were infilled using the Five Point Likert-Scale while the Cronbach Alpha was used to check the data for reliability of measurement scale. The relationship between independent variables (ERP Adoption) and dependent variables (organizational Performance) are also cross-checked from Pearson correlation matrix. To predict organizational performance from ERP Adoption dimensions, such Quality Management, Financial Management, Customer relationship Management, Inventory management, procure ment management, Logistics management and Human Resource Management, the multiple linear regression model was adopted. The analysis indicated that the independent variables, ERP Adoption with respect to the seven dimensions (Quality Management, Financial Management, Customer relationshipManagement, Inventory management, procure ment management, Logistics management and Human Resource Manage-ment) explained 44 % variance on organizational performance. Out of the seven independent var-iables, five of them (Procurement management, financial management, customer relationship management Quality management and logistics management ) were statistical significant with p-value of less than 0.05 whereas the remaining two (Inventory management, and Human Resource Management) were statistical insignificant with p-value greater than.05.; this implies that these dimensions of ERP Implementation are not at the optimal level in the organization. It is recommended that all the seven dimensions of ERP implementation (Quality Management Financial Management, Customer relationship Management, Inventory management, procure ment management, Logistics management and Human Resource Management) should have to be integrated at the optimal level through system automation, framework agreement and relationship management in order to be an efficient and effective organizational performance | en_US |
dc.identifier.uri | http://etd.aau.edu.et/handle/123456789/20018 | |
dc.language.iso | en_US | en_US |
dc.publisher | Addis Ababa University | en_US |
dc.subject | Inventory management | en_US |
dc.subject | procure ment management | en_US |
dc.subject | Logistics management | en_US |
dc.title | Challenges And Effect Of Implementing Enterprise Resource Planning (ERP) On Organizational Performance (A Case Study At Ethiopian Agricultural Transformation Agency) | en_US |
dc.type | Thesis | en_US |