The paper "Differences in Systems Development Methodology of Enterprise Systems and ERP Systems" is a perfect example of business coursework. ERP (Enterprise Resource Planning) systems have a global feeling, which means that their use covers global space. The implementations of ERP systems have encountered a sizeable number of challenges over time, to the extent of failing. In most instances, such challenges lie both in project management as well as methodology implementation. The reality with ERP systems scope is that the existing implementation methodologies tend to be ‘ frail’ to deliver the products (Ngai, Eric, Chuck & Francis, pg 550). The initial phase of implementing an ERP package revolves around making a decision to acquire a new system or deploying one already in use in a different division with an organisation, and or the need to upgrade an existing system in use.
The initial phase is termed as a critical part of the project. It determines the selection of the best package to be put into practice. A substantial number of ERP systems are embodied to accommodate a set of logistics, consumer-relations, manufacturing as well as financial practices.
This means that the ultimate decision to purchase an ERP system is geared towards accepting those practices as the business process of any firm. However, packages of ERP pose differences. The proven practises differing in terms of the size of an organisation. Thus, fewer functionality systems suit small firms whose number of employees is 50 or less. Full set functionality programs go well with larger firms whose number of employees exceeds 500. The cost of ownership of these kinds of systems differs significantly. Moreover, there exist ERP systems that are more specific to a particular industry or sector such as automotive and textile.
Therefore, the practices that they support are always in line with the particular sector and are not universally applicable (Ngai, Eric, Chuck & Francis, pg 552). System development of an ERP system suffers in the existence of scale and or industry focus mismatch. These cases cause system implementation to go beyond the projected budget in an effort to retrofit the system as well as eliminate the mismatch through functionality modifications. The worse scenario arises where the firm implement an ERP that does not incorporate the needs of its stakeholders (Ngai, Eric, Chuck & Francis, pg 551). Project stakeholders are the individuals or firms taking part in the project.
Their interests may directly or indirectly be impacted by project execution. This means that the project manager should identify all stakeholders of the project, determine their pertinent needs and then manage their influence geared at ensuring successful implementation. The influence of stakeholders in an ERP system implementation has its share of challenges. The stakeholder exerts their influence especially at the pilot stage which ends up being costly.
The development phases hence encounter stiff challenges unless such applicable issues are addressed. On the other hand, Enterprise Systems are specific to the needs of the target firm. The implementation of these systems undergoes complex as well as a dynamic process that involves a mix of technological-organisational interactions. ES implementation calls for the input of all levels of the firm not necessarily IT department. The decision to design the ES system is geared at meeting the needs of the firm and therefore requires a number of enterprise decisions.
Secondly, the dynamic nature behind ES implementation calls for unstructured decisions that need to be frequently revised as well as reformulated in response with implementation progress (Ngai, Eric, Chuck & Francis, pg 550). Thirdly, implementation of an ES system is not considered to be an intra-organisational exercise. Both hardware, as well as software vendors, are involved. Moreover, an implementation partner may always act as a consultant regarding business process re-engineering. The mix behind the ES implementation makes it a complex affair.
Ngai, Eric WT, Chuck CH Law, and Francis KT Wat. "Examining the critical success factors in the adoption of enterprise resource planning." Computers in industry 59.6 (2008): 548-564.
Van Nieuwenhuyse, Inneke, et al. "Advanced resource planning as a decision support module for ERP." Computers in Industry 62.1 (2011): 1-8.
Davenport, Thomas H., Jeanne G. Harris, and Robert Morison. Analytics at work: Smarter decisions, better results. Harvard Business Press, 2010.
Brady, Michael, Lester Gerhardt, and Harold F. Davidson, eds. Robotics and artificial intelligence. Vol. 11. Springer Science & Business Media, 2012.
Camarinha-Matos, Luis, Hamideh Afsarmanesh, and Martin Ollus, eds. Methods and tools for collaborative networked organizations. Springer Science+ Business Media, LLC, 2008.