In the worst case, universities do not always have management or IT staff who is well-versed in organizational functions. Standardization and integration, both of which are key features of ERP systems, limit flexibility in university systems. This response to new ERP systems may ultimately increase staff workloads and create a data gaps between the system and reality.
In the last few decades, globalization, scientific and technological advances of mankind influenced the educational institutions to consider the role of technology in educational processes Hutinski and Aurer, — Private universities have long realized this need and, therefore, they have made huge investments in modern Information Systems IS.
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In Kenya, public universities are not equipped with modern IS with the newly chartered public universities being the most poorly equipped technologically. Several research studies have identified various prospects associated with ERP systems in organizations. Furthermore, ERP improves the performance level of a supply chain by helping to reduce cycle times Gardiner et al.
There are also some intangible prospects that an organization may enjoy by implementing an ERP system including, better customer satisfaction, improved vendor performance, increased flexibility, reduced quality costs, improved resource utility, improved information accuracy and improved decision-making capability Siriginidi, Ideally, ERP software improves cooperation and interaction between all the business units in an organization payroll, personnel, purchasing, and inventory management among others.
Integration allows the various departments to more easily share information and communicate with each other. Also, ERP software standardizes information within the organization. This streamlines the data flow between different parts of a business Lieber, In an ERP system, data are entered by one department and staff in other departments immediately has access to the information without having to re-enter the information into the system.
Public-sector organizations, such as school systems, may have specific requirements not applicable to private organizations.
THE ROLE OF ENTERPRISE RESOURCE PLANNING (ERP) SYSTEM ()
In addition, the cost of implementing an ERP system also may make it prohibitive for public-sector organizations to implement. According to Miranda , if an ERP vendor only designs software for the public sector then he may not be following universal best business practices. The research study adopted a descriptive survey research design. Descriptive research design provide a comparative approach to the ERP systems in automating and integrating management practices of public universities in Kenya.
This methodology also helped the researcher in using comparative statistical methods to analyse the research subject in the newly chartered public universities. The population for this study comprised all the heads of departments in all the 24 newly chartered public universities in Kenya. A simple random sampling technique was employed in the study.
This method of sampling was chosen since it allows individuals to be chosen at random and not more than once to prevent a bias that would negatively affect the validity of the result of the experiment. The research study relied on both primary and secondary data sources. Primary data was gathered using structured five point scale Likert questionnaire. In addition to the primary data, secondary data from journals, white-papers and e-books was also used to provide comparative perspectives to the study.
Validity and reliability was taken into consideration in the study in order to determine its objectivity, level of trustworthiness and credibility. Scrutiny of the study by colleagues, peers and my supervisors was also used to gather and challenge assumptions made. Data was analysed using descriptive statistics, and factor analysis.
Extract of sample "Best ERP Systems"
The researcher summarized the findings in line with the variables and objective of the study. This was followed by drawing of relevant conclusions. Lastly, recommendations for pertinent actions were suggested. Respondents who worked in various departments were requested to give a rating on their level of agreement on ERP challenges in their departments. The variable had five indicators. The descriptive results are summarized and presented in Table 1. A scale of 1- 5 was used to measure the indicators where 1 strongly disagree and 5 represented strongly agree. Source: Survey Data A mean score of 1 to 2.
According to the findings the following ERP challenges indicators had a mean of 3. This therefore indicates the challenges of ERP systems in the newly chartered universities are mostly due to inadequate preparation by these universities to manage change, failure to involve end-users during the implementation stage, failure by the system vendors to modify the system to conform to the requirements of these universities, failure by the institutions to re-engineer their business processes to match ERP requirements and lack of effective end-user training.
Similarly respondents were also requested to give a rating on their level of agreement on ERP prospects in their departments. The descriptive results are summarized and presented in Table 2.
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A scale of 1- 5 was used to measure the indicators where 1 strongly disagree and 5 strongly agree. Majority of the of the respondents believe that the prospects associated with the ERP system will be realised, these are; elimination of redundancy, easier access to data and information, improved customer relationship or supply chain management, improvement of internal communication, ability to produce better reports and information needed, integration of all business processes and an increased standardization of processes. This paper presents review of challenges and prospects of ERP system in the newly chartered universities in Kenya.
The findings of this paper are based on analysis of both primary and secondary data. This research article highlights the challenges and prospects of ERP system in the context of developing nations like Kenya. All the universities studied were chartered lest than five years ago, meaning they are still struggling to stand on their own as fully fledged universities. The university management and users can benefit from this study by identifying those key challenges to make the implementation procedure smooth without any disruption. Further ERP vendors can take inputs from this study to change their implementation approach.
A well-designed and properly integrated and properly implemented ERP system allows the most updated information to be shared among various business units, thereby resulting in incredible cost savings and increased efficiency and provide competitive advantages. Of course, focussing and working on these challenges will improve the situation on successful ERP system implementation in public universities in Kenya. The outcome provides important insights for the researchers and practitioners who are interested in implementing Enterprise Resource Planning systems, how best they can utilize their limited resources and to pay adequate attention to those factors that are most likely to have an impact upon the implementation of the ERP system.
It also helps organizations to better understand the prospects of ERP systems and make the right decision on its investment. The focus of the study was on the challenges and prospects of ERP systems in newly chartered public universities in Kenya. The study established that among the respondents, majority strongly agreed that management support is vital for an organization to be able to successfully implement and use an ERP system effectively. In addition, inadequate preparation by the universities to manage change, failure to involve end-users during the implementation stage, failure by the system vendors to modify the system to conform to the requirements of these universities, failure by the institutions to re-engineer their business processes to match ERP requirements and lack of effective end-user training were majorly cited as the challenges facing the success of the ERP systems in the newly chartered universities.
The findings further indicated that majority of the respondents agree that the system will eliminate redundant tasks and lead to an overall reduction of operational cost. Further, easier access to reliable data and information, improved customer relationship and the ability to produce better reports and information are some of the prospects that majority of the respondents believe the ERP system will provide.
The research was focusing on the challenges and prospects of ERP systems in the newly chartered public universities in Kenya. The researcher recommends that similar or related studies should be conducted in other sectors of the economy to determine the challenges and prospects of ERP systems in those sectors.
The study established that issues surrounding the implementation, user support and adoption of the right ERP solutions are complex and can be expensive. The study further recommended that more research should be conducted to clearly present measures that should be undertaken to encounter the challenges associated with implementation, management and use of these electronic solutions especially because the newly chartered university are still struggling to attract the best calibre of skilled professionals to run and manage their systems.
Statistics from Altmetric. Range Graph Chart Graph. Abstract Enterprise resource planning ERP systems have been the most popular business management systems in the 21 st century, providing benefits of real-time capabilities, enhancing organizational competencies and seamless communication for business in both small and large organizations. Bett, Kipyegon Alfred. Statement of the Problem.
Significance of the Study. Enterprise Resource Planning Systems. Public Universities in Kenya. Challenges of ERP systems. Prospects of Enterprise Resource Planning Systems. Get More Info. Evaluating ERP Software.
Your Guide to Software Selection
When adding ERP, companies typically follow a series of steps before their new system is up and running: Research — Identify needs and potential solutions Evaluation — Compare features and perform ROI analysis Selection — Choose the best fit Implementation — Go live No matter where you are in this process, you can access a customized ERP knowledgebase here and ensure you have the right information so that you are best able to make the right decision. Gartner Magic Quadrant.
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