Implementation of ERP in multinational companies: Problems encountered and solutions proposed

Enterprise resource planning (ERP) systems have been credited with providing competitive advantage in multinational business operations. However, multinational implementations of ERP involve added complexity. In order to reduce complexity of multinational implementations of ERP, importance of implementation factors and implementation problems in multinational companies? ERP implementation were examined in this study. Four technical factors (business process reengineering, federalism and customization, supply chain features and outsourcing) and five social factors (culture/language, management style, economical and political factors and labour skills) were identified as national implementation factors. Additionally, ERP implementation problems in the implementation phases were identified. In order to clarify these problems and national factors? effect on them, ERP implementation at fifteen multinational companies were examined through an ERP questionnaire. Subsequently, national implementation factors? effect on the implementation problems was investigated through statistical studies on SPSS software. Understanding these effects, problems and their solutions will enable multinational companies more proactive in their ERP implementations. Keywords: Enterprise resource planning (ERP) systems, multinational ERP, information systems implementation, multinational companies, implementation problems.