MBA Journals Peer-reviewed management research from Consortium e-Learning Network

NOLEGEIN Journal of Management Information Systems

Adoption of ERP System in Small and Medium Enterprises: Benefits and Barriers – A Study with Reference to Trinity Electrical Industries, Bengaluru

  1. Canute F Rodrigues
  2. Pradyumna Padukone

Abstract

Organizations are ready to invest large amount for new technologies to enhance their activities across their supply chains and to improve their business. They need ERP software to enhance their operation and improvise. The top ERP giants SAP, Oracle, Sage, Microsoft and SSA Global having a great global market share. Objectives: The study is focused on identifying the problems for implementing and benifits associated with the implementation of ERP system in small and medium enterprises. Also to understand the problems related to the failure of ERP implementation by looking at the level of satisfaction of end user and management. Methodology: Primary data for this study is collected with the help of questionnaires in Google forms, direct contact and interview with ERP implementing team with like RDL Technologies and stake holders like managers, administrators and employees of the small and medium public enterprises. These respondents also include the members of the management, managers and ERP users at different levels of the company. Results & Analysis: The organisational context is subject to continuous change. Most of them are in favour of implementing ERP in the system. It would help the SMEs to update new regulations and policies quickly by using the ERP. About 50% are in favour and some 30% are in slight dilemma or confusion may be due to less confident on implementing technology partner and also due to less skilled workforce. Conclusion: The management executives, administrative and managers of SMEs have recommended ERP implementation which is suitable to their needs and requirements. The main contribution of ERP systems is saving of time to complete business cycle and quickly sharing updated reports and information across the board. The ERP systems helps with better and more efficient work environment for Small and Medium scale undertakings.

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