Rolls Royce
ARTICLE IN PRESS
Int. J. Production Economics 87 (2004) 251–266
Enterprise information systems project implementation: A case study of ERP in Rolls-Royce
Yahaya Yusufa,*, A. Gunasekaranb, Mark S. Abthorpec a Business School, University of Hull, Hull HU6 7RX, UK Department of Management, University of Massachusetts, 285 Old Westport Road, North Dartmouth, MA 02747-2300, USA c Department of Mechanical and Manufacturing Engineering, Nottingham Trent University, Burton Street, Nottingham NG1 4BU, UK b
Abstract Economic globalisation and internationalisation of operations are essential factors in integration of suppliers, partners and customers within and across national borders, the objective being to achieve integrated supply chains. In this effort, implementation of information technologies and systems such as enterprise resource planning (ERP) facilitate the desired level of integration. There are cases of successful and unsuccessful implementations. The principal reason for failure is often associated with poor management of the implementation process. This paper examines key dimensions of implementation of ERP system within a large manufacturing organisation and identifies core issues to confront in successful implementation of enterprise information system. A brief overview of the application of ERP system is also presented and in particular, ERP software package known as SAP R/3, which was the ERP software package selected by Rolls-Royce plc. The paper takes an in-depth look at the issues behind the process of ERP implementation via a case study methodology. It focuses on business and technical as well as cultural issues at the heart of the Rolls-Royce implementation. The case study also looks at the implementation time scales and assesses the benefits from the project both tangible and intangible. r 2003 Elsevier B.V. All rights reserved.
Keywords: ERP; Information systems; Implementation; Success factors; Rolls-Royce
1. Introduction The global
Int. J. Production Economics 87 (2004) 251–266
Enterprise information systems project implementation: A case study of ERP in Rolls-Royce
Yahaya Yusufa,*, A. Gunasekaranb, Mark S. Abthorpec a Business School, University of Hull, Hull HU6 7RX, UK Department of Management, University of Massachusetts, 285 Old Westport Road, North Dartmouth, MA 02747-2300, USA c Department of Mechanical and Manufacturing Engineering, Nottingham Trent University, Burton Street, Nottingham NG1 4BU, UK b
Abstract Economic globalisation and internationalisation of operations are essential factors in integration of suppliers, partners and customers within and across national borders, the objective being to achieve integrated supply chains. In this effort, implementation of information technologies and systems such as enterprise resource planning (ERP) facilitate the desired level of integration. There are cases of successful and unsuccessful implementations. The principal reason for failure is often associated with poor management of the implementation process. This paper examines key dimensions of implementation of ERP system within a large manufacturing organisation and identifies core issues to confront in successful implementation of enterprise information system. A brief overview of the application of ERP system is also presented and in particular, ERP software package known as SAP R/3, which was the ERP software package selected by Rolls-Royce plc. The paper takes an in-depth look at the issues behind the process of ERP implementation via a case study methodology. It focuses on business and technical as well as cultural issues at the heart of the Rolls-Royce implementation. The case study also looks at the implementation time scales and assesses the benefits from the project both tangible and intangible. r 2003 Elsevier B.V. All rights reserved.
Keywords: ERP; Information systems; Implementation; Success factors; Rolls-Royce
1. Introduction The global
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