The Effect Of ERP Utilization Enablers On Supply Chain Management Performance In The Case Of Ethiopian Airlines
Creators: name: Moreda, Hirut
Publisher: name: National Academic Digital Repository of Ethiopia
Year: 2019

description: ERP system is being adopted by international organizations globally; in order to streamline business processes, manage and create seamless integration, and ensure real time information availability for decision making. ERP adoption is considered as one of the biggest and most complex projects a firm could manage even though these projects can vary in size, structure, and methodology. This is due to the extensive requirement of effort, time, resources, and organizational changes. As a result, ERP system implementation critical success factors (CSFs) and project management aspects have gotten much attention by both researchers and business practitioners. However, successful implementation of ERP is only a first step in the accomplishment towards achieving ERP success. Prior studies have revealed that organizations are not achieving the promised business values due to several post-implementation issues and underutilization of the system. This indicates, post-implementation is an essential phase of ERP life-cycle for the system success. The purpose of this study is to assess the effect of post implementation utilization factors on supply chain performance in the context of Ethiopian Airlines. The general approach of this research was a case study in which a combination of quantitative and qualitative methods has been used to collect and analyse data. Based on extensive literature review, a research model was established which constitutes six post implementation utilization factors that influence supply chain performance. The survey questionnaire and interview outline contents were prepared based on the defined research model by fully adopting from existing literatures. The quantitative aspect of the study involved 207 users from Purchasing and supply chain management with different job positions, roles, and work experience. In the qualitative study, direct interviews were used to collect data from 4 management members and 2 senior employees of the airline. The quantitative data were analysed by employing appropriate techniques of descriptive and inferential statistics using SPSS software tool. The qualitative data were analysed using the techniques of open codding. The result of the study indicated that ERP attribute constructs were the most critical determinants of supply chain performance; which make the highest contribution (50%) of the total variance. Furthermore, training (21.06%), Productivity (19.2 %) user involvement (14 %), make second to fourth contribution of the total variance on the supply chain performance. The survey questionnaire and the interview outline contents were reviewed by senior supply chain management employees and ERP experts of the organization to measure the content validity. Subsequently, pilot study was conducted with selected users and the feedbacks were incorporated prior to disseminating the questionnaire to the respondents. Further, to measure the internal consistency of the questionnaire, reliability test was conducted using cronbach's coefficient alpha with a result of .911 which asserted the reliability of the instrument. This research can conclude that ERP post implementation utilization factors have positive and significant effect for the improvement of supply chain performance. Finally, it is recommended that Ethiopian airlines should improve the utilization of the system and attain the desired business result by focusing more on user training as a priority goal.