Impact of organizational factors on successful Implementation of enterprise resource planning Systems (erps) in nadra

Abstract

The continuous shift with regard to technological up-gradation for improved performance and organizational efficiency is quite evident. Every organization is embracing change in one form or another in order to remain competitive. However, changes at any level is met by some sort of resistance from its workforce. The aim of this study is to explain the reasons that lead to the failure of Enterprise Resource Planning systems (ERPs) implementation and the impact of an organizations’ internal factors on user resistance. To support the theory, Nadler’s Congruence Model (1981) has also been used. In addition to that, change facilitator’s role in managing change effectively was explored. Implementing a new system is only successful when it is fully accepted by the end users. The Diffusion of Innovation Model presented by Rogger (1983) was used to explain how user reach the decision of accepting or rejecting a new system. Rogger has argued in his theory that whether a user accept or reject a change depends entirely on his knowledge about the system and the perceived value of the system. Hence, a framework was proposed based on the variables defined by Rogger i.e. awareness, perceived value and motivation, to analyze the impact that organizational factors have on user acceptance. Data was collected from NADRA organization using convenience sampling method for distribution of questionnaires. 160 questionnaires were distributed and correlation and regression analysis was done using SPSS software to verify the proposed frameworks. Cronbach’s Alpha was also applied to test the reliability of the data. In light of findings, the organizations must give attention to the trainings they are providing as well as increasing effective communication. Other than that, organizations must focus on keeping their end users involved during the implementation phases to ensure efficient flow of information.