Ashish Mishra - 1270394

Ashish Kumar Mishra 1270394

Impact of enterprise resource planning on employee work

efficiencyBy

Ashish Kumar Mishra

(1270394)

This report is produced to fulfil assessment criteria of Edexcel Level 7 BTEC PG DMS

in

Research Methods for Strategic Managers (Unit 16)

2011/2012

1Prepared by Ashish Kumar Mishra


CONTENTSContents...................................................................................................................................2

1. TITLE.................................................................................................................................2

2. INTRODUCTION................................................................................................................2

3. RESEARCH PROPOSAL.......................................................................................................2

3.1 Research Question.....................................................................................................2

3.2 Hypothesis.................................................................................................................2

3.3 Background Theory....................................................................................................2

3.4 Factors for Successful Research Question Selection..................................................2

3.5 Brief Summary of Stovec Industries...........................................................................2

3.6 Context and Rational.................................................................................................2

3.6.1Problems Faced by Stovec Ltd..................................................................................2

3.6.2Reasons for the Research.........................................................................................2

3.7 Aim.............................................................................................................................2

3.8 Objectives..................................................................................................................2

4. Literature Review.............................................................................................................2

5. METHODOLOGIES.............................................................................................................2

5.1 Evaluation of Methodologies.....................................................................................2

5.2 Chosen Methodology.................................................................................................2

5.3 Justification of Chosen Methodology.........................................................................2

5.4 Limitations of Chosen Methodology..........................................................................2

6. EVALUATION OF DATA COLLECTION TECHNIQUES...........................................................2

6.1 Primary Data Collection.............................................................................................2

6.1.1 Experimental......................................................................................................2

6.1.2Survey - Questionnaire.............................................................................................2



6.1.3 Survey – Interview..............................................................................................2

6.1.4Field Research – Observations.................................................................................2

6.2 Secondary Data Collection.........................................................................................2

6.2.1Unobtrusive Research..............................................................................................2

6.3 Sampling.........................................................................................................................2

6.3.1Probability Sampling................................................................................................2

6.3.2Non-probability Sampling........................................................................................2

7. EVALUATION OF DATA ANALYSIS TECHNIQUES................................................................2

7.1 Quantitative....................................................................................................................2

7.1.1Univariate Analysis...................................................................................................2

7.1.2Bivariate Analysis.....................................................................................................2

7.1.3. Multivariate Analysis..............................................................................................2

7.2 Qualitative.................................................................................................................2

7.2.1. Thematic Analysis...................................................................................................2

7.2.2. Comparative Analysis.............................................................................................2

7.2.3. Content Analysis.....................................................................................................2

7.2.4. Discourse Analysis..................................................................................................2

8. RESEARCH DESIGN............................................................................................................2

8.1 Data Collection...........................................................................................................2

8.2 Sources of Data..........................................................................................................2

8.3 Data Analysis..............................................................................................................2

8.4 Gantt Chart....................................................................................................................2

9. PRESENTATION AND EVALAUTION OF PRELIMINARY RESEARCH.....................................2

9.1 Analysis of Secondary Data Findings..........................................................................2

9.2 Analysis of Primary Data Findings..............................................................................2

9.2.1Are you aware of enterprise resource planning system?.........................................2



9.2.2Have you ever worked on ERP system in your professional career?........................2

9.2.3Do you think, ERP has affected your work?.............................................................2

9.2.4 What is the impact of ERP system on your work?.................................................2

9.2.5What is your opinion on impact of ERP and timesaving in performing operational tasks?................................................................................................................................2

9.2.6What is your opinion of relation between ERP system and productivity of your company?.........................................................................................................................2

9.2.7What is your opinion on impact of ERP on your work pressure?.............................2

9.2.8Has ERP impacted on prioritising your work task?...................................................2

9.2.9What is your opinion on the impact of ERP on your work performance?................2

9.2.10 What is your suggestion to other professionals on experience of ERP with respect to work efficiency?..............................................................................................2

10. EVALUATION OF PRELIMINARY RESEARCH....................................................................2

11. CONCLUSIONS...............................................................................................................2

12. RECOMMENDATIONS....................................................................................................2

13. REFERENCES..................................................................................................................2

15. APPENDIX...................................................................................................................... 2



1. TITLE

The impact of the Enterprise resource planning on employee work efficiency at

Stovec Limited.

2. INTRODUCTION

Stovec is expanding its business in different geographical regions. To keep the

strategic plan of growth along with maintaining the productivity of company, the

management has decided to evaluate the ERP system and its impact on the

employee’s work efficiency.

This research will help the management in taking the strategic decision of evaluation

of ERP. The two variables on which this research is based upon are ERP and

employee work efficiency. Company invests in IT infrastructure with an aim of

improving the efficiency of employee and the organisation’s overall productivity. The

employee’s work efficiency is a major factor in improving the organisation’s

productivity. In this report, the relationship between these two variables and their

impact has been analysed and evaluated using qualitative method of primary data

collection. In this report, the survey on 30 professionals has been conducted through

standard questionnaire. Furthermore, the recommendation on this report has also

been discussed.

3. RESEARCH PROPOSAL

3.1 Research Question

What is the impact Enterprise resource planning implementation on employee work

efficiency of Stovec Ltd.?

3.2 Hypothesis

If enterprise resource planning is related with the employee work efficiency then

implementation of enterprise resource planning will improve the employee efficiency

of Stovec industries ltd.



3.3 Background Theory

The two variables in this research are ERP and employee work efficiency. In this

research, a relationship between the two variables will be researched upon and

along with the impact of former on latter. An Enterprise Resource Planning software

solution streamlines and integrates operations, processes and information flows in

an organisation. The ERP system automates operations from supply chain

management, Inventory control, Manufacturing, scheduling and production, Human

resources, Procurement and Sales, Customer relationship, Budgeting and planning,

Financial and cost accounting and almost any other data oriented operations,

(TopBits, 2011)

The employee work efficiency is important with respect to the overall company’s

growth and productivity. The factor which influences the work efficiency of an

employee should be well researched upon. By improving the IT system, the work of

employee is made easier and hence, staffs are able to focus more on quality of work.

3.4 Factors for Successful Research Question Selection

Saunders, Lewis and Thornhill (2009) define research as “something that people

undertake in order to find out things in a systematic way, thereby increasing their

knowledge”.

Deciding a research question and preparing a report on it requires systematic

approach. One might refer to the points discussed in previous steps and still may not

be clear and henceforth it becomes very important to formulate a proper planning

process before undertaking a research process. Saunders, Lewis and Thornhill

(2009) tells that “It is very important for a researcher to spend time in formulating and

clarifying the research topic through answering one or more research questions

accompanied by a set of objectives that the research must have”.

The availability of data and information available with respect to the research topic

has a major significance while selecting the research question. The research

question bears no value if the information required to carry out the research is not

easily accessible and available.



The other major factor while selecting a research question is the relation between

the research topic selected and the interest of the researcher. The success of

research and its validity depends upon the amount of efforts being put it into and it

only happens when researcher finds interest in carrying out the research.

3.5 Brief Summary of Stovec Industries

Stovec Industries was formed in 1975 by the A.T.E. Group in partnership with

renowned Stork Group of the Netherlands to cater to the ever-growing needs of

textile printing and graphic printing industries. Over the past 27 years Stovec has

maintained technological and market leadership for the supply of rotary screen

printing machines and rotary screens for the textile printing industry, and has also

established itself in the market for pre-sensitized offset plates and all related

consumables for the graphic printing industry, (Stovec Industries, 2011)

3.6 Context and Rational

3.6.1 Problems Faced by Stovec Ltd.

Stovec Ltd. is currently using standalone systems to carry out their operations. Each

department is having a separate system with a separate database. Due to this, there

is no uniformity in the information/data being repeated and it becomes a tedious job

for the accounting department to complete the month end process on time and

accurately.

The current system does not support multi currency functionality, which company

requires maintaining the transactions of the local and foreign suppliers. Also, the

current system does not have workflow functionality, which purchase and sales

department require to set up the approval chain.

The current system used by warehouse department does not support transaction

entry of damaged goods or returned goods.

The company is having five different regional offices, which management wants to

be connected with the head office. This facility is not available in the current system.

The current system does not support subcontracting of stocks and the stock

reconciliation.



3.6.2 Reasons for the Research

The reason for this research is to help the management in analysing the impact of

ERP on the employee work efficiency, henceforth helping them to take relevant

decision on the ERP implementation. Also, the company wants to use this research

as a basis of evaluating and deciding their future plan on IT upgradation. Once,

proved that there is a relationship between the two variables, company will be able to

take the strategic decision. Implementing ERP involves high capital and a

considerable time of key staff. Considering, the different stakes involved this

research is of high importance to the senior management of the Stovec Industries.

3.7 Aim

To investigate the impact of enterprise resource planning on the employee work

efficiency.

3.8 Objectives

1. To determine the features of enterprise resources planning that are being offered.

2. To collect the data on enterprise resource planning and employee work efficiency.

3. To determine how does enterprise resource planning impacts employee’s work

efficiency.

4. LITERATURE REVIEW

A company invests high capital in the implementation of an ERP and so it becomes

of utmost importance for the companies to find out the actual ROIs. Though there

are enough literature and case studies available on the relationship between ERP

implementation and improvement in the company’s overall performance and

productivity level but this argument has still not been accepted globally. Moreover,

A. Shtub (2003) explains ERP systems as a medium which provides information and

decision support to the management. Similarly, Eresource (2011) has mentioned in

its webpage that ERP implementation is not done only keeping financial gain in mind

but growth in productivity, efficiency and overall improvement in performance of the

company and also keeping better transparency in the operations. This shows that

one of the major factors which management looks after is improving the overall

productivity and efficiency of an organisation.



As discussed in the case study of Eaton by TCS(2010), the implementation of ERP

benefited Eaton in greater cross leverage of product offerings and resources

between businesses, increased automation leading to operational efficiencies for

inter-unit/business processes, IT maintenance cost reduction to name a few. Also if

we look into the case study of Lee Kum Kee by SAP, the LKK organisation has

benefited heavily by implementing SAP solution and has improved its productivity

and information transparency. Nigel S. , Stuart C. and Robert J. (2010) has also

discussed and stressed upon the benefits which company draws after implementing

ERP.

However, the methods he used to justify his views are no different than referring to

the case studies, which should not be taken as the only reference to determine the

impact of ERP implementation on the company’s performance. Mehdi Khosrowpour

(2001), writes that ERP system are being implemented by large and medium sized

companies and also by government and related organisations with an aim of

increasing the operational efficiency and support the business growth.

But, it needs to be found out that, has ERP implementation improved productivity in

every business sector? After analysing the information it has also been seen that

there are various views and scenarios where ERP implementation has not been as

effective as it had been expected. Before reaching to a conclusion, it is suggested

that a better approach for research should be followed which will focus on different

business sectors and sources where ERP has been implemented.



5. METHODOLOGIES

5.1 Evaluation of Methodologies

Research

Methodolo

gy

Description Advantage Disadvantage

Qualitative Paurav Shukla (2008)

explain that ‘’ the major aim

of qualitative research

technique is to understand

the preliminary insights into

problems and

oppurtunities.’’ Adding to

this, QSR international

(2011) states that

qualitative research is more

about exploring issues,

understanding the

phenomena and answering

questions. It is not

concerned with the

statistics or numbers but

deals with humanistic

approach. In this type of

research methodology, the

quality of data and

information had more value

than the quantity. There are

various type of qualitative

research methodologies

which includes personal

interviews, surveys,

This approach is very

useful in creating and

evolving theories. Since

this approach considers

the behaviours, attitudes

and feelings of the

subject, it provides in

depth knowledge. In this

approach subject is

encouraged to express

their views and personal

opinions, (Learn higher,

2008).

This

approach is

one of the

most time

consuming

methodology.

It’s hard to

generalise

the findings

through this

approach as

only few

people are

taken in

account so it

may not

relate to the

whole

population.

High skills

are required

to carry out

such

methodology.



experimental, etc.

Quantitativ

e

Paurav Shukla (2011)

states ‘’ Quantitative

research method, seeks to

quantify the data and

typically apply some

statistical analysis. They

put heavy emphasize on

using formalised standard

questions and

predetermined response

options in questionnaires or

surveys administered to

large number of

respondents.’’ This method

generally forecasts future

events and trends. The

various quantitative

research methods are

Questionnaire, case study,

biographical, ethnological,

etc.

In this methodology, the

results are more

accurate and are not

person biased. In this,

there are various

procedures involve to

check the validity and

reliability of the data. In

this the result is

generalised, (Colorado

State University, 2011)

Sometimes

the data

provided in

this approach

are

superficial.

The results

are without

any

explanation

and hence

they are they

are very

limited.

Mixed Mixed Methodology

involves both quantitative

and qualitative approaches.

In this the qualitative and

the quantitative data is

being analysed and mixed

in single study. This

approach is generally

chosen because its result

involves the advantages of

This approach gives a

complete view of the

topic because it does not

limit the data being

collected. In this

methodology we can use

the strengths of both the

approaches,

(Commonwealth of

learning, 2004).

The biggest

disadvantage

of this

approach is

that it

requires lots

of research

and great

amount of

collection of



both qualitative and

quantitative methodologies,

(Commonwealth of

Learning, 2004)

data. Here an

expert is

required for

both the

methods

which finally

lead to

increase in

cost,

( Commonwe

alth of

Learning,

2004)

5.2 Chosen Methodology

To carry out this research, qualitative methodology has been used. The method

applied in this research is survey questionnaire, where a set of standard

questionnaire has been given to different professionals having work experience on

ERP.

5.3 Justification of Chosen Methodology

To carry out the research on relationship between ERP implementation and

employee productivity, personal opinion of people is considered as key factor. Since

the research involves the work efficiency as a variable, therefore becomes

necessary to take humanistic approach towards the research and this is not possible

in other methodologies. Meanwhile in qualitative methodology, the respondents

could give extra information, which can assist in exploring any other hidden factors.

5.4 Limitations of Chosen Methodology

The process of collecting data in qualitative methodology becomes time consuming

and if less data is collected then it could lead to false conclusion (Colorado State

University, 2011)



Also, since a small group of people are involved in the survey, the primary data will

only show association and explanation of chosen variables. It is difficult to make

systematic comparisons, as people involved give widely differing responses which

are highly subjective in nature, (Learning higher, 2008)

6. EVALUATION OF DATA COLLECTION TECHNIQUES

6.1 Primary Data Collection

6.1.1 Experimental

Experimental method of data collection is one where independent variable is

manipulated to study the effect on dependent variable. The experimental method is

only valid if the change observed on the dependent variable is only due to the

change effects of independent variables,( UPX SUCCESS, 2011).

In this method only the cause and effect relationship can be established accurately.

In this method, if the output is coming same then one can say that theory is valid. It

can be used to determine what is best for the population.

The major drawback of this method is that it is always conducted in superficial or an

assumed environment. Moreover, in this method a standard procedure needs to be

followed so it becomes a tedious and time taking process. In this method the

experimenter may even not be aware of the actual variables and scenarios of the

workplace, (Revisionworld, 2011).

6.1.2 Survey - Questionnaire

Paurav Shukla (2008) says ‘’ In simple terms, survey involves questioning the

respondents regarding the issue at hand and asking their opinion about it.’’ In this

method, a group of people are being asked to fill a form containing set of questions.

A level of literacy is required in this method as the respondents are supposed to fill

the form. To maximise the outputs, the questions should be simple, clear and short.

This method of data collection is very popular, particularly when large enquiries are

required.

Some of the advantages of this method are:



1. This method is easiest and quickest way to get the information.

2. Respondents have enough time to give well thought of answers.

3. It’s easier to cover large population through this method.

The disadvantages are as given below:

1. Respondents may give superficial information, if the questions are taking

more time to answer.

2. The answers given by respondents may be biased.

3. In this method, the questions are standard so the respondent might

misinterpret as there is no explanation provided with the questions.

6.1.3 Survey – Interview

Interview is a powerful conversation in which the interviewer asks set of standard

questions to the respondents, (Frey and Oishi, 1995). The interview method of

collecting data involves the information collected and analysed through oral verbal

responses of person being interviewed. This method could be personal interview as

well as telephonic interview. In this method interviewer chose set of people based on

the research and then asks the personal opinion and belief of the person face to

face. The interview is conducted in a very structured way, where a set of structured

questions are asked and the answers and their explanations are recorded unbiased.

As per C. R. Kothari (2006), the advantages of this method are:

1. More information and that too in greater depth can be obtained.

2. This method is very effective for complex research topics.

3. Response is generally higher in interview survey.

Few of the disadvantages of this method are:

1. Method could be quite expensive, when large geographical area and people

are involved.

2. Time consuming method.



3. Here, interviewer can be biased and so can be respondents, hence actual

information cannot be determined, (Colorado State University, 1993)

6.1.4 Field Research – Observations

Lake (2011) states that ‘’ a method of data collection in which the situation of interest

is watched and the relevant facts, actions and behaviours are recorder’’. Similarly,

C. R. Kothari (2006) explains observation method of primary data collection, where

the respondents are not aware that he is being observed and so the information

obtained in this research is more natural from the interview and questionnaire.

This method provides context for behaviours and it reveals qualities of group

experience in such a way those other forms of research cannot. This also accounts

for the complexity of group behaviours.

The design of research study can be biased if researcher is biased and so the

analysis of observations can be biased. In this method the group being studied may

not be the actual representative of the larger population. And the major limitation of

this method is that the sources or the subjects may not be credible.

6.2 Secondary Data Collection

6.2.1 Unobtrusive Research

In this method, research is being carried out without interference from the

researcher. And hence in this report the biases and the control of the researcher are

reduced over the results of the research. This method can quantitative or qualitative.

Trochim (2006) states that ‘’measures that do not require the researcher to intrude in

the research context’’ .

The biggest advantage of this method is that the data obtained here is unbiased.

This method is both cost and time effective. This method is generally used to test

parallel theories and applying them on same. In this method, certain objects and

relations might be more likely is recorded by the researcher with different interests,

biases and backgrounds. One of the major drawbacks of this method is that it has a

very limited application range. Here the interpretation of observations is from the

point of view of the outsider, who is not well aware of the scenario and therefore the

results obtained may not be that meaningful.



6.3 Sampling

6.3.1 Probability Sampling

As per the Psychology department of University of California (2011) ‘’ In probability

sampling, all elements (e.g., persons, households) in the population have some

opportunity of being included in the sample, and the mathematical probability that

any one of them will be selected can be calculated.’’

In addition to this, Statistics Canada (2011) further adds that probability sampling

method is one where every member of the population has equal chance of getting

selected and this is achieved by using random selection. The biggest advantage of

using this method is the absence of both systematic and sampling bias. This

sampling method is used generally to understand the phenomenon, forecast the

future trends and also used for statistical analyses. This method is quite useful in

improving the business performances. It is also widely used in risk assessment and

in the trade commodity markets. This method is very good for prediction and is used

to evaluate financial and decision making risk.

6.3.2 Non-probability Sampling

The non probability sampling method does not involve random selection. And so in

this method, the population may or may not be represented uniformly. Though this

method is quite cost effective but then the result obtained are of less value,

(Experiment Resources, 2011). The population elements are selected on the basis of

their availability or due to researcher’s individual judgement that they are

representing, (University of California, 2011)

This method is used generally when a vast population is involved and it’s practically

very difficult to involve everyone in the research. Non probability sampling is used to

demonstrate that a specific characteristic exist in the population.



7. EVALUATION OF DATA ANALYSIS TECHNIQUES

7.1 Quantitative

7.1.1 Univariate Analysis

Univariate analysis deals with analysing one variable at a time,(Sociology & Political

Science Quantitative Research Laboratory, 2011) . This is related with the

quantitative analysis of data. This analysis technique is much easier to understand

as here only one variable is involved and so the results are more accurate. This

technique is considered to be more reliable. This method only takes one variable in

account and henceforth it is generally treated as incomplete analysis because in

practise more than one factor are involved. Since only one factor is involved so in

this technique the relationship between different factors cannot be established.

Univariate presents the information in a much more organised manner, it focuses at

the range of the values along with focusing on the actual tendency of the values,

(Sociology Index ,2009).

7.1.2 Bivariate Analysis

Bernard defines “Bivariate Analysis involves looking at associations between pairs of

variables and trying to understand how those association works.” In this technique

the relationship between two variables are studied and the effects are being

monitored on one variable when another variable changes. ‘’Bivariate analysis is a

technique to analyse the concept of association between two variables’’ (Sociology

index, 2009). This analysis helps researcher to compare and control two or more

related variables in a situation where the quality is dependent on the combined effect

of these variables. This is very useful when two different variables are interrelated.

7.1.3. Multivariate Analysis

This analysis is carried out when more than two variables are involved in the

research. This analysis technique is pretty complex in comparison to Univariate and

Bivariate analysis.

‘’ Multivariate analysis is a form of quantitative analysis which examines three or

more variables at the same time, in order to understand the relationships among



them.‘’ (Sociology index, 2009). This analysis focuses basically focuses on the

relationship between a dependent variable and independent variable.

7.2 Qualitative

7.2.1. Thematic Analysis

In thematic analysis method, the data is generally analysed with respect to theme

(Free article tutorial, 2011). It is one of the most commonly used methods of

qualitative analysis. The characteristic of this analysis is that the data collection and

the data analysis take place simultaneously.

7.2.2. Comparative Analysis

Tere (2006) says when information from different people are compared and

contrasted then it is known as comparative analysis. This analysis technique is

generally used by using comparisons between two variables or processes, etc

depending upon the research.

7.2.3. Content Analysis

As per Tere (2006), the analysis method in which the qualitative data has been

taken, becomes more tedious until unless the whole data has not been collected. To

save time, the best method of doing the above is to code the content and this is

method is known as Content analysis.

Content analysis technique is basically an analysis of communication. In this

technique, the researcher is able to convert qualitative data into a quantitative data

by categorizing and counting what appears in the data source.

7.2.4. Discourse Analysis

Discourse analysis generally analyses the data by focusing on the patterns of

speech, their linguistic behavior, patterns of pronunciation, etc. This analysis helps in

providing a way on approaching and thinking about a problem, (Ischool, 2011).



Dawson (2009) says, “most of the analysis are either intuitive or reflective” but it can

involve some form of counting as well.

Discourse analysts consider speech as a performance; this analysis does not

describe any specific state of mind or specific state of affairs but it performs action,

(Free article tutorial, 2011).

8. RESEARCH DESIGN

8.1 Data Collection

To carry out the research, the primary data is be collected by taking feedback of

professionals on standard set of questionnaire while secondary data has been

collected by comparing case studies, online journals and magazines. The

respondents are employees who are currently working in the company and have

experience on ERP.

In addition, published material related to enterprise resource planning product has

been compared with primary data.

Since, the employees are facing the IT system and the employee’s productivity is

being researched so their opinion and views are highly valuable and reliable. The

case studies present the actual picture of the after effects of the implementation on

the company’s performance and overall productivity.

8.2 Sources of Data

The primary data has been collected from the survey questionnaire given to 30

professionals who are working within the companies. In this research probability

sampling has been used as the professionals have been picked randomly.

Whereas, the secondary source of data will be collected from online resource and

local libraries.



8.3 Data Analysis

Primary data has been analysed by applying univariate analysis technique, so as to

determine the response of respondents on each variable. The analysis is further

presented in the form of graphs prepared in Microsoft excel.

Similarly, the secondary data obtained from different sources are compared and

contrasted and the results are shown using different graphs.

Finally to approve or disapprove, both primary and secondary data has been

compared.

8.4 GANTT CHART

9. PRESENTATION AND EVALAUTION OF PRELIMINARY RESEARCH

9.1 Analysis of Secondary Data Findings

Panorma Consulting Group published a document on 12 March 2009, which

discussed the different reasons of implementing the ERP at organisation level.

Improving the business performance, to make employee jobs easier, to standardize

global business operations and to replace an old ERP or legacy system are some of



the major reasons. As shown in the below diagram, ERP is implemented having one

of the major aim of making the jobs of employees easier which in turn means to

improve the employee work efficiency, (Search Manufacturing ERP, 2010).

Figure 1: Reasons for ERP implementation

Source: search manufacturing, 2011

Similarly, according to the results of the ‘’US Worker Deficit’’ poll conducted by Poll

Stream (2008), 328 communication and HR professionals were questioned on the

initiatives need to be implemented to improve the employee productivity and a

whopping 40.6% respondents favoured initiatives in IT (see figure 2 below).

Figure 2:

Source: internal comms. hub, 2011



Enterprise resource planning implementation is a part of IT infrastructure. The

changes in IT system impact the employee productivity heavily. Service Assurance

Daily, published an article (Jan 19, 2011) determining the relationship between IT

system and the employee productivity by deriving the impact of IT downtime on

employee productivity. His paper contains the survey, sponsored by CA

Technologies and conducted by Coleman Parkes across different European

countries, showed that business loses are significant due when IT services are

down. As per the survey, the employees working in bad IT system work at less than

two thirds of their normal productivity. The below figure shows the percentage of

companies affected by bad IT infrastructure (Service Assurance Daily, 2011).

Figure: 3

Source: Service Assurance Daily, 2011

Based on the secondary data analysis, it could be concluded that employee’s work

efficiency improves with improved IT infrastructure system. The work efficiency of

staff is highly influenced by the IT system of the organisation.



9.2 Analysis of Primary Data Findings

9.2.1 Are you aware of enterprise resource planning system?

Reason: The above question will help to determine the right target of the employees

needs to be surveyed. This question helps in filtering the respondents and to focus

on the relevant professionals.

Majority answer: To carry out this research, we targeted professionals working in

different industries and companies. The respondents are chosen from India. Based

on the preliminary question of filtering out those people whose opinions should not

be considered, the result tells that whopping 73% professional when contacted,

responded positive towards the knowledge of enterprise resource planning, while still

27% of the total professionals interviews are unaware of ERP.

Conclusion: Out of the total professionals chosen for the survey questionnaire,

majority of the respondents are aware of the ERP, this means that the target

employees opinion can be considered for further research.

9.2.2 Have you ever worked on ERP system in your professional career?

Reason: It’s important to find out the actual experience of professionals with respect

to enterprise resource planning. Professionals only having knowledge of ERP cannot



contribute to this research, as working experience are more important. This question

further segregates the actual respondents who need to be considered for the

research.

Majority answers: 60% of the total professionals chosen for the survey said that they

work experience on ERP, while 40% said that they have never used ERP.

Conclusion: This shows that still a considerable percentage (40%) of the people

have no work experience on ERP and henceforth, the opinion obtained from them

will not be relevant to research.

9.2.3 Do you think, ERP has affected your work?

Using the above mentioned two questions, finally 30 professionals were selected for

the final survey.

Reason: To understand the relationship between the two variables of the research

topic, i.e. ERP and employee work efficiency, it is necessary to take the personal

opinion of the professionals who are having work experience on ERP. This question

helps to establish the relationship between two variables.



Majority answers: 15 out of 30 respondents agreed that ERP has affected their work,

while 10 professionals said that ERP did not impact their work and around 5 people

said that they don’t know about this impact and so have no opinion.

Conclusion: This question helped us to determine, that there is a relationship

between ERP and the employee’s work.

9.2.4 What is the impact of ERP system on your work?

Reason: To understand the relationship between ERP and employee work efficiency,

it’s important to further evaluate the impact of ERP the professional’s work in

organisation. It’s becomes necessary to examine whether the ERP has negative or

positive impact on the individual’s work.



Majority answers: When interviewed, majority of the respondents i.e. 13 out of 30

professionals said, their work was decreased while 12 people said that the work has

increased by including ERP system as now they have to follow lengthier process in

completing the same job. Whereas, 5 out of 30 people were not sure how their work

has been affected.

Conclusion: The feedbacks on this question helps to conclude that there is a strong

relationship between ERP and the employee’s work efficiency as their work does get

affected with ERP system.

9.2.5 What is your opinion on impact of ERP and timesaving in performing

operational tasks?

Reason: To understand, whether ERP has helped professionals in saving time in

performing their regular tasks, it’s important to determine the effect of ERP system

on the time factor in completing the job. To understand this, the above question

holds high relevance.

Majority answer: After concluding the survey interviews, it was observed that 13 out

of 30 people agreed that they are now taking less time in completing the same job,

while 12 people said that they are spending more time in completing their job.

However, 5 people were still not sure of any answer.



Conclusion: This question helped to analyse the impact of ERP with respect to time

factor, which in turn has validated the relationship between two variables. The result

obtained from this question was very mixed, equal number of people agreed and

disagreed on the point that ERP helps in saving time in performing the work task.

9.2.6 What is your opinion of relation between ERP system and productivity

of your company?

Reason: The question further adds support to the relationship between tow variables

at a broader level.

Majority answer: When asked about the relationship between ERP system and

productivity of their company, majority of the respondents agreed with the fact that

ERP is related with the company’s overall productivity level. With 13 of 30 people,

who were interviewed said that they believe ERP has direct relation with productivity

of company, while 12 of them pointed out the indirect relationship between same.

However, 8 people said that they see no relation between both the variables and 2

people had no opinion on same.

Conclusion: This question helped to examine the personal opinion of the

professionals working on ERP system with respect to the relationship between two

variables of research. And it was successfully concluded that productivity bears

relationship with ERP.



9.2.7 What is your opinion on impact of ERP on your work pressure?

Reason: Employee’s work efficiency cannot be improved if an individual is under

high work pressure. If a system is able to reduce the work pressure by simplifying

the work task, then employee will be able to utilise the time in a better manner and

hence improving the work efficiency. To examine the same cause, the above

question has been asked from the respondents.

Majority answer: The survey says that majority of professionals (12 of 30 people)

agrees, their work pressure has decreased after the implementation of ERP. While,

12 respondents said that their work pressure has increased due to ERP

implementation and 5 people say that they see no effect of ERP on their work

pressure.

Conclusion: The above statistics confirms that ERP has impact of the work pressure.

To validate this relationship, more research and a larger domain of people are

required to complete this survey.



9.2.8 Has ERP impacted on prioritising your work task?

Reason: Work becomes easier once task is completed as per the priorities. The

employees productivity and work efficiency gets a boost, once the work task is

prioritised properly. This question will help further in establishing relationship

between two variables of research, as prioritising work task is directly related with

the employees work efficiency. And if this factor is affected by ERP then the

employees performance will also be affected.

Majority: As per the survey conducted through questionnaires, the majority of people,

with 16 out of 30 employees agreed that, ERP system has impacted in prioritising

their work task.While 11 people said it has no affect and 3 people said they don’t

know about the impact.

Conclusion: The above feedback of employee’s shows that ERP has been helpful to

employees in prioritising their work task and henceforth helping them to improve their

work efficiency.



9.2.9 What is your opinion on the impact of ERP on your work performance?

Reason: This question is to find out ERP’s impact on employee’s individual work

performance. This is a direct question which relates both the variables of research.

This question is more of a personal opinion.

Majority answer: When asked about the personal opinion on the impact of ERP on

individuals’ work performance, a majority of the employees with 15 out of 30

respondents agreed that their individual’s performance has improved. Though, 10

out of 30 had opinion that their performance got decreased due to following the

processes in ERP, and 5 people said they experienced no effect on their

performance due to ERP.

Conclusion: This question has finally strengthened the basic link of relationship

between two variables. The ERP impacts the employee performance, which could be

either negative or positive. This could be a further researched upon.

This question helped to determine the personal belief of the employees and how

they have been impacted overall due to ERP. Since qualitative methodology gives

an opportunity and helps to analyse the humanistic approach as well, so this

question bears value in fulfilling that criteria.



9.2.10 What is your suggestion to other professionals on experience of ERP

with respect to work efficiency?

Reason: If an individual’s needs are fulfilled and they are happy with the system and

process they will definitely suggest their peers and friends about their good

experience. This human aspect was surveyed to focus on the individual’s experience

as far as their overall satisfaction is concerned with respect to work efficiency.

Majority answer: 12 out of 13 rated very satisfied, while 13 people said they were

satisfied with the system as far as work efficiency is concerned. Though, 3 people

said they are dissatisfied and 2 people said they have no opinion on same. This tells,

that majority of the interviewed people are satisfied when ERP is talked with respect

to work efficiency.

Conclusion: Above question helps in concluding that, respondents agree with the

relationship between ERP and work efficiency and majority of them are satisfied with

ERP with respect to work efficiency. This means that research topic has professional

relevance.

10. EVALUATION OF PRELIMINARY RESEARCH

To complete this research qualitative methodology was used. Here surveys were

conducted using survey questionnaire method. The methodology chosen was

appropriate, as it focussed on the personal experience and belief of the employees



who are experiencing the ERP system. The opinions and feedbacks of the

employees are more relevant than methodologies involving statistics as; the selected

method is more humanistic, it tells about the expectations and the problems at the

employee level, who will be actually working on system.

Completing this research was a major task, since it involved people of different

industries and companies. Setting up time to get feedback on the survey

questionnaire was a major issue as the respondents involved are working. But by

following proper time management and with the help of Gantt chart, it became easier

to prioritise the task one by one. The questionnaire was send through Email and they

were asked to give their feedback through Email itself, meanwhile some of the

respondents were able to fill the questionnaire on the sheet itself.

11. CONCLUSIONS

The research undertaken is a success with the fact that it establishes link between

the ERP and employee work efficiency. The research supports the hypothesis, as

the majority of the respondents interviewed were of the opinion that ERP has had

impacted their work performance directly or indirectly.

The research achieved the aim and objectives. It succeeded in achieving the aim of

the research, which was to investigate the impact of ERP on employee work

efficiency. The research couldn’t involve more respondents due to time constraints in

the survey, which is a major drawback. But then this gives an opportunity to carry out

this research proposal forward involving mixed methodologies to validate the

hypothesis. As qualitative methodology of data collection will be more focussed on

humanistic approach which is the major factor, the quantitative method of data

collection will help to analyse the statistics and the numbers which will be helpful in

evaluating the factors and relationship effectively.

This research will help the Stovec Industries, to understand the impact of

implementing the ERP on the employee’s work efficiency and henceforth analysing

the impact on the company’s productivity. This research will help the management in

taking the strategic decision of implementing the ERP at organisational level, as it

involves high capital and infrastructure.



12. RECOMMENDATIONS

After conducting the research and evaluating the data by using qualitative method of

primary data collection, it is recommended that mixed methodology should be used

for the primary data collection as by involving both qualitative and quantitative

methods, the data collected will help to provide greater insight on this topic.

Moreover, probability sampling is more suggested as more appropriate carry out this

research, where each and every employee with a work experience on ERP will have

equal and fair opportunity of being part of survey.

In the end, to get more accurate and unbiased results employees from different

industries, regions and different work level should be involved in the survey.

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15. APPENDIX

Appendix 1

Questionnaire

1. Are you aware of enterprise resource planning system?

o Yes

o No

2. Have you ever worked on erp system in your professional career?

o Yes

o No

3. Do you think, ERP has affected your work?

o Yes

o No

o Don’t Know

4. What is the impact of ERP system on your work?

o Increased the work

o Decreased the work

o Don’t Know

5. What is your opinion on impact of ERP and timesaving in performing

operational tasks?

o Takes more time



o Saves time

o Don’t Know

6. What is your opinion of relation between ERP system and productivity of

your company?

o Direct relation

o Indirect relation

o No relation

o Don’t Know

7. What is your opinion on impact of ERP on your work pressure?

o Increased work pressure

o Decreased work pressure

o No effect

8. Has ERP impacted on prioritising your work task?

o Yes

o No

o Don’t Know

9. What is your opinion on the impact of ERP on your work performance?

o Performance has increased

o Performance has decreased



o No effect on performance

10. What is your suggestion to other professionals on experience of ERP with

respect to work efficiency?

o Very satisfied

o Satisfied

o Dissatisfied

o No opinion

Appendix 2

Gantt chart
