Methodology of Erp System Implementation – a Case Study of Project-driven Enterprise

Enterprise resource planning (ERP) systems are an application software implemented in a great number of manufacturing companies worldwide. The implementation of an ERP system is performed to integrate business processes, allocate company’s resources efficiently and provide important data for decision support. Implementing an ERP system is expensive and time-consuming. A lot of research activities are focused on key success factors of ERP implementations. But what does a successful implementation of an ERP system mean? If an ERP project is completed according to the schedule, the budget was not exceeded and the scope was realized, does this mean that the implementation was successful? The implementation of an ERP system is a long-term undertaking, and not only a short-term project that is finished just after the system installation. Especially for a project driven enterprise that realizes engineer-to-order production, the evaluation should encompass a long period of time. In this article a methodology of ERP system implementation dedicated for project driven enterprises is presented. The methodology is based on a set of assumptions and limitations that enable to indicate if the strategic goal of the ERP implementation is reached. The evaluation of ERP projects is based on the calculation of different productivity ratios of the enterprise in several periods. An illustrative example is given.