The Effectiveness of Enterprise Resource Planning (ERP) Systems in Knowledge Management
DOI:
https://doi.org/10.47941/ejikm.2133Keywords:
Enterprise Resource Planning (ERP) Systems, Knowledge Management (KM), Strategic Alignment, Change Management, Continuous ImprovementAbstract
Purpose: The general objective of the study was to evaluate the effectiveness of Enterprise Resource Planning (ERP) systems in knowledge management.
Methodology: The study adopted a desktop research methodology. Desk research refers to secondary data or that which can be collected without fieldwork. Desk research is basically involved in collecting data from existing resources hence it is often considered a low cost technique as compared to field research, as the main cost is involved in executive’s time, telephone charges and directories. Thus, the study relied on already published studies, reports and statistics. This secondary data was easily accessed through the online journals and library.
Findings: The findings reveal that there exists a contextual and methodological gap relating to the effectiveness of Enterprise Resource Planning (ERP) systems in knowledge management. Preliminary empirical review revealed that ERP systems significantly enhanced knowledge management by integrating business processes, eliminating data silos, and improving decision-making and operational efficiency. Success depended on factors like organizational culture, top management support, and user training. ERP systems facilitated continuous improvement and innovation by providing real-time data access, enabling swift responses to market changes. Despite challenges like high costs and resistance to change, these could be mitigated through careful planning, strategic alignment, and effective change management, making the investment in ERP systems worthwhile for improved KM and organizational performance.
Unique Contribution to Theory, Practice and Policy: The Resource-Based View (RBV) Theory, Socio-Technical Systems (STS) Theory and Knowledge-Based View (KBV) Theory may be used to anchor future studies on Enterprise Resource Planning (ERP) systems. The study recommended integrating ERP systems into KM frameworks to enhance theoretical models, emphasizing strategic alignment and continuous user engagement for practical implementation. It advised organizations to develop policies prioritizing ERP and KM alignment, foster knowledge-sharing cultures, and implement robust change management strategies. Continuous improvement and innovation were highlighted, with recommendations for regular system evaluation and incorporation of technological advancements. Long-term strategic planning was also emphasized, including comprehensive plans for ERP implementation, maintenance, and alignment with organizational goals to maximize the effectiveness of ERP systems in knowledge management.
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