Editorial Preface Enterprise Resource Planning (ERP) Implementation Methodologies

i Enterprise resource planning (ERP) systems are revolutionalizing the way companies streamline business processes, share information within and across businesses, and conduct electronic business (Lee et al. 2003). The ERP acronym is an outgrowth of MRP (materials requirements planning) and MRP II (manufacturing resource planning), older types of manufacturing-specific software that aim to streamline the manufacturing process by devising efficient production plans according to supply and demand, resources, and materials. ERP systems have the potential to facilitate communication and coordination, enable the centralization of administrative activities, reduce IS maintenance costs, and increase the ability to deploy new IS functionality. Messersmith 2003) have identified success factors of ERP. When implemented well, ERP brings operational, managerial, and strategic benefits. With all these promises , ERP systems have diffused rapidly among organizations. In 1997, some 20,000 companies around the world paid more than $10 billion to purchase ERP systems. By 2000, over 60% of Fortune 500 companies had adopted ERP systems in the USA (Stewart et al., 2000). ERP has evolved from a single-site implementation to one that crosses organizational boundaries and incorporates e-commerce, customer relationship management (CRM), and supply chain management (SCM) capabilities. Though promoted as a " silver bullet " in solving organizational IT integration problems , ERP software does have major shortcomings. ERP systems have been criticized for lengthy and expensive installations , and for being too large and monolithic to support the rapid pace of business change. This is particularly true when facing the revolutionary changes to business practices associated with the Internet and e-commerce. The benefits realized through the integration power of ERP systems come with significant up-front investments, lengthy and error-prone customizations, and mediocre results. Even when installations are successful , companies now realize that the rate of change in business practices mandates continuous systems development and that the functionalities necessary to operate the business will not come from ERP systems