The Impact of Enterprise Resource Planning Systems on Operational performance in Listed Companies in Sri Lanka (With Special Reference to Manufacturing Sector)
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Date
2013
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Uva Wellassa University of Sri Lanka
Abstract
In today's dynamic business environment, improving the firm performance most of the growing organizations are moving towards Enterprise Resource Planning (ERP) systems in order to integrate their cross functional business units.
The objective of the research is to decipher the impact of Enterprise Resource Planning System in operational performance. Independent variable of the research was ERP usage and dependent variable was operational performance. This study was based on data of selected 21 listed manufacturing companies which are using ERP systems in Sri Lanka and three managers from each department such as Finance, Marketing and HR of each company were interviewed with structured questionnaire and altogether 63 respondents were considered for the study. A set of hypothesis is developed to evaluate how the training on ERP and vendor support have impacted on the usage of ERP system and operational performance identified as Time saving, Improved decision making and Improved resource utility.
The findings of the study revealed that th?re is a positive strong relationship between ERP usage and its impact on operational performance. According to model equation, the contribution of ERP usage was considerable for operational performance. And also as an operational system, the possibility to exploit the potential of ERP system can be achieved by having proper training as well as vendor support.
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Entrepreneurship And Management Degree Programme