Purpose – The purpose of this study is to increase the understanding of factors that affect the integration of Enterprise Resource Planning systems (ERP systems) in small and medium-sized enterprises (SMEs). A successful integration of ERP systems can lead to an increased ability for businesses to achieve its business and financial goals through increased competitiveness. An ERP system is also perceived as a crucial component in today’s complex supply chains and changing business conditions. While previous research has had a focal point on ERP system integration in larger enterprises, however, there is a lack of understanding regarding ERP system integration in SMEs. Therefore, this study aims to identify critical success factors for ERP systems integration in SMEs. Therefore, the purpose of the study is:
To increase the understanding of factors that affect the integration of ERP systems in small and medium-sized enterprises.
Two research questions have been developed to be answered based on the purpose:
[1] What factors do consultants to an ERP system consider as critical when integrating ERP systems in small and medium-sized enterprises?
[2] What factors does applied organizations consider as critical when integrating ERP system in small and medium-sized enterprises?
Method – A case study with a single-case design was conducted at an ERP system retailer. Semi-structured qualitative interviews were used as the primary method of data collection, and the interviews were carried out in two phases. The first phase consisted of interviews with the case company, whose respondents were the company’s ERP consultants. Phase two consisted of interviews with the applied organizations, which consists of the case company’s customers. The two phases of interviews made it possible that a holistic perspective could be covered, since data was collected from both stakeholders. To answer the purpose and research questions, the collected empirical data from the interviews were analyzed.
Findings – The study identifies resources such as time and cost as crucial factors for a successful integration of ERP systems within SMEs. The study also confirms previous study results in which factors such as project members, communication, competence, change management, and management support are identified as crucial to successfully integrate ERP systems. A well-planned integration process with adequate resources and knowledge is necessary for a successful integration. The findings of this study contribute to previous studies regarding ERP system integration.
Implications – The study identified important factors when integrating ERP systems in SMEs, which can be beneficial for ERP retailers and businesses looking to integrate such a system. By taking the study's findings into account, involved stakeholders can enhance the effectiveness of their integration process.
Limitations – The study’s generalizability is questionable since it is only based on a single case. The limited time affected the depth of the study. More time could have resulted in more collected data for greater generalizability.
Keywords – Critical Success Factors, ERP System, Integration, SMEs
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