The influence of ERP system implementation on the operational performance of an organization

We investigate changes in operational performance that result from enterprise resource planning (ERP) system implementation. A literature-based and theory-driven model was developed to examine the relationship between ERP system implementation status and operational performance. Data were gathered through a field study to test the hypothesized relationships. The results indicate that the implementation of each ERP system module influences operational performance measures differently. In addition, the results highlight the varying influence of the implementation of the ERP system, as a whole, on operational performance measures. Our findings suggest that a better understanding of the contribution of ERP systems to operational performance can be obtained if researchers and managers assess changes in operational performance at both the modular and the system levels.