Discussing about the successful factors of
ERP projects implementation and the risk management
Enterprise applications, such as enterprise resource planning (ERP) and customer relationship management systems, help companies reduce costs, improve productivity, and increase operational efficiency via integrating data and processes and refining organizations through advanced information technologies. Many companies choose to purchase large-scale software applications off the shelf instead of developing the applications inhouse. That way, the companies can benefit from the standardization of purchased solutions and technological innovations offered by solution providers. At the same time, other approaches to installing and implementing enterprise information systems occur in practice as well. In this thesis, we study three operations models related to enterprise information systems. We first study the relationship between the ERP adoption and the operational performance. Specifically, we examine empirically the impact of ERP adoption on firmsrsquo; performance including costs and inventories. Based on the business data from Chinese exchange market, we find that many firms have implemented EPR systems for a time and have already achieved some improvements. Our study provides empirical evidences of the impact of ERP systems and firmsrsquo; performance. We then propose and study a two-stage software development model. In the first stage, a solution provider designs a standardized product. In the second stage, for some customers who demand for extra functionality, customization will be carried out to fulfill their respective needs. The main decision making for the solution provider is the design level (in terms of functionality) of the standardized product. That is, the more comprehensive the design of the standardized product, the less likely demands for further customization, but of course, the more the efforts put into the first stage. Our analysis makes the tradeoff in the decision making transparent. We finally model and analyze a new method of providing software services called software-as-a-service (SaaS). SaaS is a service model by which a software vendor develops a web-native software application and hosts and operates (either by itself or through a third party) the application for usage over the Internet. This concept is very attractive to users because it offers much flexibility in vendor selection and reduces or even removes usersrsquo; workload in maintaining/upgrading the software. To gain managerial insights into this growing business, we study the cost and revenue structure as well as the decision process from the perspective of a SaaS provider. In particular, we consider a finite planning horizon in which the provider decides on the service quality offered in each time period. We demonstrate that a list quality policy is optimal and then extend the analysis to an infinite horizon problem and to the case with the consideration of customersrsquo; perception.
This report provides insights into the changes resulting from the implementation ofERP systems on the work and behaviour of management accountants. Managementaccountants have typically been tasked to accumulate and track costs, to preparebudgets and prepare performance reports. Current evidence points to managementaccountants using traditional software (such as spreadsheets) for budgeting, ABC, balanced scorecards and other performance management techniques independentof, rather than integrated with ERP systems.
We describe the ERP implementationat seven different organisations and the resultant impact on its managementaccountants. The organisations all had different levels of success in the implementationof their ERP systems, and they are from a wide variety of business sectors. Webelieve that most organisations and most management accountants will be able toread through the cases and pick out where their own organisation stands, and whatit should do based upon the lessons we report. How have management accountants adapted to the changes resulting from theimplementation of ERP systems? Do the tasks performed by management accountantschange based upon the relative success of the ERP implementation? Has ERPsoftware replaced traditional software in an ERP environment or are managementaccountants still using spreadsheets and other traditional software?This report focuses on the differential impacts of successful as compared toless-than-successful ERP system implementations on the role of managementaccountants. It identifies what changes should occur in the practice of managementaccounting as a result of the implementation of ERP packages and provides adviceto management accountants whose organisations are undergoing an ERP implementationor re-implementation project.
The results of this study are important to management accountants as they examinewhere their organisation stands relative to others and relative to the improvementsthat could be attained with the implementation of an ERP system.Highlights from the extensive findings include:
⑴ When management accountants are involved in an ERP system implementation,there is an increased likelihood of the implementation being a success.
⑵The impact of the ERP system on the role of the management accountant isrelated to the perceived success of the system implementation, with more successfulimplementations exhibiting the more dramatic changes to the role.
⑶ While all ERP implementations results in changes in the tasks performed bymanagement accountants, a successful ERP implementation results in a significantchange in the management accountantrsquo;s tasks, they become business partnersnot just data providers.
⑷A successful ERP implementation results in both increases in data quality andquality of decision-making, and in additional time for management accountantsto become involved in value-adding tasks rather than mundan
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Discussing about the successful factors of
ERP projects implementation and the risk management
Enterprise applications, such as enterprise resource planning (ERP) and customer relationship management systems, help companies reduce costs, improve productivity, and increase operational efficiency via integrating data and processes and refining organizations through advanced information technologies. Many companies choose to purchase large-scale software applications off the shelf instead of developing the applications inhouse. That way, the companies can benefit from the standardization of purchased solutions and technological innovations offered by solution providers. At the same time, other approaches to installing and implementing enterprise information systems occur in practice as well. In this thesis, we study three operations models related to enterprise information systems. We first study the relationship between the ERP adoption and the operational performance. Specifically, we examine empirically the impact of ERP adoption on firmsrsquo; performance including costs and inventories. Based on the business data from Chinese exchange market, we find that many firms have implemented EPR systems for a time and have already achieved some improvements. Our study provides empirical evidences of the impact of ERP systems and firmsrsquo; performance. We then propose and study a two-stage software development model. In the first stage, a solution provider designs a standardized product. In the second stage, for some customers who demand for extra functionality, customization will be carried out to fulfill their respective needs. The main decision making for the solution provider is the design level (in terms of functionality) of the standardized product. That is, the more comprehensive the design of the standardized product, the less likely demands for further customization, but of course, the more the efforts put into the first stage. Our analysis makes the tradeoff in the decision making transparent. We finally model and analyze a new method of providing software services called software-as-a-service (SaaS). SaaS is a service model by which a software vendor develops a web-native software application and hosts and operates (either by itself or through a third party) the application for usage over the Internet. This concept is very attractive to users because it offers much flexibility in vendor selection and reduces or even removes usersrsquo; workload in maintaining/upgrading the software. To gain managerial insights into this growing business, we study the cost and revenue structure as well as the decision process from the perspective of a SaaS provider. In particular, we consider a finite planning horizon in which the provider decides on the service quality offered in each time period. We demonstrate that a list quality policy is optimal and then extend the analysis to an infinite horizon problem and to the case with the consideration of customersrsquo; perception.
This report provides insights into the changes resulting from the implementation ofERP systems on the work and behaviour of management accountants. Managementaccountants have typically been tasked to accumulate and track costs, to preparebudgets and prepare performance reports. Current evidence points to managementaccountants using traditional software (such as spreadsheets) for budgeting, ABC, balanced scorecards and other performance management techniques independentof, rather than integrated with ERP systems.
We describe the ERP implementationat seven different organisations and the resultant impact on its managementaccountants. The organisations all had different levels of success in the implementationof their ERP systems, and they are from a wide variety of business sectors. Webelieve that most organisations and most management accountants will be able toread through the cases and pick out where their own organisation stands, and whatit should do based upon the lessons we report. How have management accountants adapted to the changes resulting from theimplementation of ERP systems? Do the tasks performed by management accountantschange based upon the relative success of the ERP implementation? Has ERPsoftware replaced traditional software in an ERP environment or are managementaccountants still using spreadsheets and other traditional software?This report focuses on the differential impacts of successful as compared toless-than-successful ERP system implementations on the role of managementaccountants. It identifies what changes should occur in the practice of managementaccounting as a result of the implementation of ERP packages and provides adviceto management accountants whose organisations are undergoing an ERP implementationor re-implementation project.
The results of this study are important to management accountants as they examinewhere their organisation stands relative to others and relative to the improvementsthat could be attained with the implementation of an ERP system.Highlights from the extensive findings include:
⑴ When management accountants are involved in an ERP system implementation,there is an increased likelihood of the implementation being a success.
⑵The impact of the ERP system on the role of the management accountant isrelated to the perceived success of the system implementation, with more successfulimplementations exhibiting the more dramatic changes to the role.
⑶ While all ERP implementations results in changes in the tasks performed bymanagement accountants, a successful ERP implementation results in a significantchange in the management accountantrsquo;s tasks, they become business partnersnot just data providers.
⑷A successful ERP implementation results in both increases in data quality andquality of decision-making, and in additional time for management accountantsto become involved in value-adding tasks rather than mundan
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