DANCEST 805 Lecture Notes - Lecture 11: Gross Margin, Competitive Advantage, E-Commerce

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Study examines effect of adoption of enterprise systems on firm"s long-term financial performance. Introduction: companies that successfully implement it to support their business strategies gain superior financial performance, drivers motivating erp adoption: Ability to changes & configure business in response to changing market place. Strategic investment decision, since requires significant commitment of resources & has dramatic effect on all operational aspects: performance benefits cannot be expected in short period of time; Influenced by how well firm manages implementation process. Review of literature & hypotheses development: differential performance in erp systems. Erp systems integrated in that they promote cooperation among groups & help devolve authority + responsibility from management to front lines. H1: a firm"s differential performance after the adoption of erp will be significantly higher than its differential performance prior to adoption. Firms adopting erp system will outperform competing firms employing systems that are not integrated in nature. Problems during erp implementation can preclude organisation from realising anticipated benefits.

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