ERP Decisions: The Role of Organizational Culture and SCM Practices

Abstract

ERP has been well proved to be critical to improve company competitiveness, but not all ERP projects come out with a success. We believe that ERP decision is the first step to make ERP succeed, which is not as simple as comparing the prices of various systems (Piturro, 1999). Building on the knowledge of existing literature about organizational culture and IT behaviors, we examined the role of organizational culture and supply chain management (SCM) practices in an organization’s decision upon ERP decision. Based on the data we collected from 80 companies, we found that organizational culture and SCM practices significantly affect ERP decision; we also propose the mediating role of SCM practices between organizational culture and ERP decision