Assessment of Enterprise Resource Planning System Pre-implementation Readiness in Tanzania.

Abstract

Enterprise Resource Planning (ERP) system is information software that glues together and automates essential business processes of a firm to enhance efficiency and remain competitive. Many companies that have adopted ERP systems fail to fully exploit the benefits attached to them. Researchers have identified that this is attributed to a lack of sufficient preparations before ERP implementation. In this light, this study sought to assess ERP pre-implementation readiness using Petroleum Bulk Procurement Agency (PBPA) as a case study. A simple random sampling technique was used for sample selection and questionnaires were used for data collection. The Collected data were analyzed using descriptive statistics and findings were presented in form of tables and figures. From the literature review, 16 critical success factors (CSFs) were selected for assessing ERP pre-implementation readiness status at PBPA. Based on the analyzed finding ERP pre-implementation readiness status at PBPA was found to be at medium level and it was generally concluded that it is too early for PBPA to start implementing ERP project until the identified weak areas have improved. It was suggested that PBPA needs to prepare in the aspect of personnel, training/user supports, resource allocation, information systems, communication, governance, project team, and data accuracy before ERP adoption. It was recommended to closely monitor indicators of progress for the identified weak areas to establish when to commence the ERP project. Furthermore, as this study focused on respondents’ perceptions future studies using the Information System framework should also be employed on the same topic for a comparison of findings.