Modularity, Integration and IT Personnel Skills Factors in Linking ERP to SCM Systems

Sock H Chung, Hung-Lian Tang, Imtiaz Ahmad

Abstract


This study investigates some underlying technological factors for linking enterprise resource planning (ERP) to supply chain management (SCM) systems. ERP systems serve technological requirements across functional areas within a corporate boundary while SCM systems focus on collaborative relationships with partners in the supply chain, emphasizing business process integration and information sharing through IT. In order to facilitate SCM operations for business planning and decision making, an ERP system must be extensible in terms of support for a range of external constituents in the supply chain. The research reported in this paper investigates these linkages and provides a framework for developing and evaluating SCM processes in order to serve enterprise needs in terms of resource management for scalability, implementation costs and operational efficiency for meeting the business objectives.

Keywords


Enterprise Resource Planning, Integration, Modularity, IT personnel skills, Supply Chain Management

Full Text:

PDF [en]

References


AKKERMANS, H.A., Bogered, P., Yucesan, E., & Was-senhove, L.N. (2003). The impmact of ERP on supply chain management: exploratory findings from a European Delphi study, European Journal of Operational Research, 146(20), pp. 284-301.

ANDERSON, G. W. (2003). SAP Planning: Best Practices in Implementation, Sams Publishing, U.S.A.

BOSE, I., Pal, R., & Ye, A. (2008). ERP and SCM systems integration: The case of a valve manufacturer in China, Information & Management, 45(4), pp. 233-241.

BOWERSOx, D.J., Closs, D.J., & Stank, T. P. (1999). 21st century logistics: making supply chain integration reality, Supply Chain Management Review, 3(3).

BRANCHEAU, J.C., Janz, B.D., &Wetherbe, J.C. (1996). Key issues in information systems management: 1994-95 SIM Delphi results, MS Quarterly, 20(2), pp. 225-242.

BYRD, T.A., & Turner, D. (2001). The impact of IT personnel skills on is infrastructure and competitive IS, Information Resource Management Journal, 17(2), pp. 38-63.

BYRD, T.A., & Davidson, N.W. (2003). Examining possible antecedents of IT impact on the supply chain and its effect on firm performance, Information & Management, 41(2), pp. 243-255.

BYRD, T.A., Lewis, B., & Turner, D. (2004). An exploratory analysis of the value of the skills of IT personnel: their relationship to IS infrastructure and competitive advantage, Information Resource Management Journal, 32(1), pp. 21-54.

CHEN, I.J. (2001). Planning for ERP systems: analysis and future trend, Business Process Management Journal, 7(5), pp. 374-386.

CHuNG, S., & Snyder, C. (1999). ERP initiation - a historical perspective, Proceedings of the fifth Americas Conference on Information Systems, pp. 213-215.

CHURCHILL, G. A., Jr. (1979). A paradigm for developing better measures of marketing constructs, Journal of Marketing Research, 16, pp. 64-73.

DAI,J. (2008). Supply chain transformation by ERP for enhancing performace: an empirical investigation, Advances in Competitive Research, 16(1-2), pp. 87-98.

DAVENPORT, T.H. (2000). Mission Critical: Realizing the Promise of Enterprise Systems, Harvard Business School Press, Boston, MA.

DAVENPORT, T.H., & Brooks, J. D. (2004). Enterprise system and the supply chain, Journal of Enterprise Information Management, 17(1), pp. 8-19.

DAVENPORT, T.H., & Brooks, J. D. (2004). ERP II: a conceptual framework for next generation enterprise systems, Journal of Enterprise Information Management, 18(4), pp. 483-497.

DAVENPORT, T., & Under, J. (1994). Information management infrastructure: the new competitive weapon, Proceedings of the Twenty Seventh Hawaii International Conference on System Sciences, pp. 885 896.

DUNCAN, N. B. (1995). Capturing flexibility of information technology infrastructure: a study of resource characteristics and their measure, Journal of Management Information Systems, 12(2), pp.37 57.

FAWCETT, S.E., Ellram, L., & Ogden, J. (2007). Supply Chain Management From Vision to Implementation, Prentice-hall, Upper Saddle River, NJ.

FONTANELLA, J., & Klein, E. (2008). The supply chain management spending report 2007-2008, AMR Research.

GABLE, J. (2002). Enterprise application integration: EAI is the soluble glue needed for modular relationships that allow organizations to be flexible and respobsive to market, Information Management Journal, 36(2), pp. 48-51.

GHOSHAL, S., & Gratton, L. (2002). Integrating enterprise, MIT Sloan Journal, 44(1), pp. 31-38.

HAMERMAN, P.D., Moore, C, & Vitti, R. The stae of ERP 2009: market forces drive specialization, consolidation, and innovation, http://www.forrester.com/rb/Research/ state_of_erp_2009_market_forces_drive/q/id/48390/ t/2_(accessed October 28, 2009).

HERNANDEZ, B.Jimenez, J., & Martin, M. J. (2008). Business acceptance of information technology: expanding TAM using industry sector and technological compatibility, International Journal of Enterprise Information Systems, 4(4), pp. 62-80.

THE SUPPLY CHAIN COMPANY, http://www.i2.com (accessed February 20, 2009)

JONES, M.C., & Young, M. (2006). ERP usage in practice: an empirical investigation, Information Resource Manage-mentjournal, 19(1), pp. 23-42.

JONES, M.C., & Young, M. (2006). ERP usage in practice: an empirical investigation, Information Resource Management Journal, 19(1), pp. 23-42.

KALAKOTA, R., & Robinson, M. (1999). e-Business Roadmap for Success, Addison Wesley Longman, Inc., Reading, MA.

LAWRENCE, PR., &Lorsch, J.W. (1967). Organization and Environment. Division of Research, Harvard Business School Press, Boston, MA.

LEE, D.M.S., Trauth, E.M., & Farwelll, D. (1995). Critical skills and knowledge requirements of IS professionals: a joint academic/industry investigation, MIS Quarterly, 19(3), pp. 313-340.

LEITHEISER, R.L. (1992). MIS skills for the 1990s: a survey of MIS managers' perceptions, Journal of Management Information Systems, 9(1), pp. 69-91.

LEWIS, B. R., Snyder, C. A., & Rainer, R. K. (1995). An empirical assessment of the information resource management construct, Journal of Management Information Systems, 12(1), pp. 199-223.

LOH, S.C.L., & Simpson, M., (2006). An investigation of the values of becoming an extended enterprise, International Journal of Computer IntegratedManufacturing, 19(1),pp.49-58.

LOGILITy SOLUTIONS INC. http://www.logility.com (accessed October 21, 2009).

MABERT, V. A., Sonni, A., & Venkataramanan, M. A. (2000). Enterprise resource planning survey of U.S. manufacturing firms, Production and Inventory Management Journal, 41(2), pp. 52-58.

MABERT, V. A., Sonni, A., & Venkataramanan, M. A. (2003). Enterprise resource planning: Managing the implementation process, European Journal of Operational Research, 146(2), pp. 302-314.

MAKEY, P. (1998). Enterprise Resource Planning. Butler Group Limited, Hull, uK.

MARGRETTA, J. (April/March 1998). The power of virtual integration: an interview with Dell Computer's Michael Dell, Harvard Business Review, pp. 73-84.

MARKUS, M. L., & Tannis, C. (1999). The enterprise systems experience - from adoption to success, R.W.Zmud (ed) Framing The Domains of IT Research: Glimpsing The Future Through The Past, Pinnaflex Educational Resources, Inc., Cincinnati, OH.

MCGAuGHEy, R.E., & Gunasekaran, A. (2007). Enterprise resource planning: past, present and future, International Journal of Enterprise Information Systems, 3(3), pp. 12-25.

MENTZER, J. T., DeWitt, W., KeeblerJ. S., Min, S., Nix, N. W., Smith, C. D., & et al. (2001). Defining supply chain management, Journal of Business Logistics, 22(2), pp. 1-25.

MOLLER, C. (2005). Unleasing the potential of SCM: adoption of ERP in large Danish enterprises, International Journal of Enterprise Information Systems, 1(1), pp. 39-43.

MOTIWALLA, L.F., & Thompson, J. (2009). Enterprise Systems for Management. Pearson Education, Inc., Upper Saddle River, Newjersey.

OLHAGER, J., & Selldin, E. (2003). Enterprise resource planning survey of Swedish manufacturing firms, European Journal of Operation Research, 146, pp.365-73.

OLSON, D. (2004). Managerial Issues of Enterprise Resource Planning System. Mcgraw-Hill/lrwin, NY, NY.

ORACLE CORPORATION, http://www.oracle.com (ac-cessed November 30, 2009)

PINSONNEAULT, A., & Kraemer, K.L. (2002). Exploring the role of information technology in organizational downsizing: a tale of two American cities, Organization Science, 13(2), pp. pp. 191-208.

PORTER, M.E. (2001). Strategy and the Internet, Harvard Business Rewew,79, pp. 63-78.

PYOUN, y. S., & Choi, B. K. (1994). Quantifying the flexibility value in automated manufacturing systems, Journal of Manufacturing Systems, 13(2), pp.108 188.

ROSS, J.W., Beath, S.M., & Goodhue, D.L. (1996). Developing long-term competitiveness through IT assets, Sloan Management Review, 38(1), 327-353.

SANDERS, N.R. (2005). IT alignment in supply chain relationships: a study of supplier benefits, Journal of Supply Chain Management, 41(2), pp. 4-13.

SAP NETWAEVER CAPABILITIES, https://www.sdn.sap. com/irj/sdn (accessed July 24, 2009).

SARKIS, J., Gunasekaran, A. (2003). Enterprise resource planningmodeling and analysis, Europen Journal of Operational Research, 146(2), pp. 229-232 .

SHANKS, G., Seddon, P.B., & Willcoks, L.P. (2003). Second-wave Enterprise Resource Planning Systems: Implementing for Effectiveness. Cambridge University Press.

SCHILLING, M. A. (2000). Toward a general modular systems theory and its application to interfirm product modularity, Academy of Management, 25(2), pp. 312-334.

SU, Y.I, & Yang, C. (2010). A structural equation model for analyzing the impact of ERP on SCM, Expert Systems with Application, 37(1), pp. 456-469.

SUMMER, M. (2005). Enterprise Resource Planning. Prentice Hall, Upper Saddle River, NJ.

THEMISTOCLEOUS, M., Irani, Z., & O'Keefe, R. (2001). ERP and application integration: exploratory survey, Business Management Journal, 7(3), pp. 195-204.

TURNER, D., & Chung, S.H. (2005). Technological factors relevant to continuity on ERP foe e-business platform: Integration, Modularity and Flexibility, Journal Internet Commerce, 4(4), pp. 119-132.

WAILGuM, T. (2008). Supply Chain Spending on the rise, http://www.cio.com/article/l68700 (accessed January 3, 2008).

WAqUESPACK, L., & Schiano, W. (2004). Component-based IS architecture, Information Systems Management, 21(3), pp. 53-60.

WIEDER, B., Booth, P., Matolcsy, Z.P., & Ossimitz, M.L., (2006). The impact of ERP systems on firms and business process performance, Journal of Enterprise Information Management, 19(1/2), pp. 13-29.

WEILL, P., & Broadbent, M. (1998). Leveraging the new infrastructure, how market leaders capitalize on information technology, Harvard Business School Press, Boston, MA.

ZELENY, M. (1986). High technology management, Human Systems Management, 6(2), pp. 109-120.

ZUCKERMAN, A. (2005). Pushing ERP integration into the supply chain, World Trade, 18(3), pp. 54-55.




DOI: http://dx.doi.org/10.4067/S0718-27242011000100001



Copyright (c)



2017 © Universidad Alberto Hurtado - Facultad de Economía y Negocios. 
Erasmo Escala 1835 - Santiago, Chile.
Economic Analysis Review | Observatorio Económico | Gestión y Tendencias 

Journal Supported by Chimera Innova Group