Title: Efficiency analysis of ERP packages - A customization perspective

Author (s):: Parthasarathy S.; Sharma S.

Journal: Computers in Industry

Month and Year: May 2016

Abstract: Enterprise Resource Planning (ERP) packages developed by ERP vendors are designed not only to standardize the existing business processes of the implementing organization, but also to bring in some of the best practices of the industry. There are many past studies on the assessment of the efficiency of standard ERP projects; however, to date no research has been conducted to assess the efficiency of ERP packages from the point of view of customization. Assessing the efficiency of customized ERP packages is vital for benchmarking best customization practices. In this study we examine the efficiency of customized ERP packages using Data Envelopment Analysis (DEA). We also examine the relationship between the degree of customization of ERP packages and their efficiency. Data was collected from an IT vendor who had deployed ERP package in 12 educational institutions. The results suggest that customization adversely affects the efficiency of ERP packages. We also discuss the implications of the results for research and practice. © 2016 Elsevier B.V. All rights reserved.

Document Type: Article

DOI: https://doi.org/10.1016/j.compind.2016.05.004