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ERP Implementation in an SME: A Failure Case

In: Information Systems for Small and Medium-sized Enterprises

Author

Listed:
  • Eli Hustad

    (University of Agder)

  • Dag H. Olsen

    (University of Agder)

Abstract

This study examines a failed enterprise resource planning (ERP) implementation in a small-and-medium-sized enterprise (SME). The improper handling of critical success factors (CSFs), particularly those relating to support from top management, project management, and the use of consultants, led to severe problems. This placed stress on the organization, caused employees to leave the company, workarounds, and led to serious errors in the systems and a significant cost overrun. This case study contributes to the literature on ERP implementation in SMEs. In particular, it contributes to our understanding of the socio-technical dynamics of ERP implementation projects. Failed ERP cases are little documented in the Information Systems (IS) research literature and can yield insight into the complexity of ERP implementation projects and further our understanding of what may take place if CSFs are not handled properly.

Suggested Citation

  • Eli Hustad & Dag H. Olsen, 2014. "ERP Implementation in an SME: A Failure Case," Progress in IS, in: Jan Devos & Hendrik Landeghem & Dirk Deschoolmeester (ed.), Information Systems for Small and Medium-sized Enterprises, edition 127, pages 213-228, Springer.
    • Handle: RePEc:spr:prochp:978-3-642-38244-4_11
    DOI: 10.1007/978-3-642-38244-4_11
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    Cited by:

    1. Waranpong Boonsiritomachai & G. Michael McGrath & Stephen Burgess, 2016. "Exploring business intelligence and its depth of maturity in Thai SMEs," Cogent Business & Management, Taylor & Francis Journals, vol. 3(1), pages 1220663-122, December.

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