The Impact of Enterprise Resource Planning Systems

The progressive advancements in Information and Communication Technology (ICT) over the last twenty years have mirrored the business surrounding environment, and Competitive Advantage (CA) has had an upper hand on a global level as well as the national level. Company competitiveness and Supply Chain...

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Bibliographic Details
Published inCompetition forum Vol. 17; no. 1; p. 88
Main Authors ElKhouly, Sayed M. ElSayed, Elkomy, Yasmin Ahmed Mostafa
Format Journal Article
LanguageEnglish
Published American Society for Competitiveness 01.01.2019
Subjects
Case studies
Computer programs
Delivery services
Enterprise resource planning
Human resource departments
Logistics
United States
Egypt
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Summary:The progressive advancements in Information and Communication Technology (ICT) over the last twenty years have mirrored the business surrounding environment, and Competitive Advantage (CA) has had an upper hand on a global level as well as the national level. Company competitiveness and Supply Chain Management (SCM) within the contemporary market have been influenced by the development and advancement of ICT infrastructures and applications. This research examined the impact of Enterprise Resource Planning (ERP) applications in SCM activities on competitive advantage through the performance of a business at a local Egypt market. It used courier Service Company X in Egypt as a case study using SCOR metrics as the measurement of competitiveness. The matrix applied in the study measures SC competitiveness that proceeds from the SCOR model with its five dimensions: Reliability, Responsiveness, Agility, Cost, and, Asset Management efficiency. A random sample of 550 respondents, including staff members from different departments (IT, customer services, HR, accounting and finance, sales, customs, and operation) with different managerial levels and company customers, were selected from the service company under study in Egypt. Data was collected through a questionnaire that consisted of structured questions related to the position of the subjects and five level rating scales adopted from IEEE, APICS, CSCMP by the researcher, based on his professional experience in the area of ERP application. The results of the study revealed that the impact of effectiveness of ERP on supply chain competitiveness was 13.0%. The result revealed that there is a significant impact of effectiveness of ERP on supply chain performance Reliability, Responsiveness, Agility, Cost and Asset management efficiency in a courier service company in Egypt. The study submitted a number of recommendations, including applying the ERP system, which requires not only financial investment, but also needs investment in human resources and the support of top management. Deployment of ERP needs good planning and preparation phases and the pilot test is most important. Increasing ERP effectiveness while building a good relationship with the ERP vendor is considered an important issue. Keywords: ICT, ERP, SCM, SCMP, Supply chain integration, Supply chain visibility, Supply chain competitiveness,
ISSN:1545-2581