Title: The role of organisational infrastructure in successful ERP implementation: an empirical study by hierarchical regression and PCA

Authors: Ali Azadeh; Masoud Afshari-Mofrad; Masoud Khalojini

Addresses: Department of Industrial Engineering and Center of Excellence for Intelligent Based Experimental Mechanics, College of Engineering, University of Tehran, P.O. Box 11155-4563, Tehran, Iran. ' Information Technology Management Department, Tarbiat Modares University, P.O. Box 14115-111, Tehran, Iran. ' Industrial Engineering Department, University of Tehran, P.O. Box 11155-4563, Tehran, Iran

Abstract: Organisations face considerable challenges in implementing and using ERP systems. Several researchers have tried to study different aspects of this system. In this paper, based on literature review and experts' interviews, a conceptual model is proposed which poses that technical and organisational infrastructures have an intervening role in the relationship between critical success factors and ERP performance. A 40-item questionnaire is used for data collection and analysis. Hierarchical regression results proved that at 95% confidence level, infrastructure variable plays a moderating role in the relationship between critical success factors and ERP performance. Also, principal component analysis (PCA) and latent moderated structural equations (LMSs) technique are used to validate the results of hierarchical regression. Results show that organisational infrastructure has the most important effect on ERP performance and 'strategic goals' is the most important critical success factor. To our knowledge, this is the first study which is concerned with the moderating role of organisational infrastructures in the relationship between ERP critical success factors and performance.

Keywords: enterprise resource planning; ERP implementation; organisational infrastructure; critical success factors; CSFs; hierarchical regression; principal component analysis; PCA; latent moderated structural equations; LMS; efficiency; conceptual modelling.

DOI: 10.1504/IJBIS.2012.046680

International Journal of Business Information Systems, 2012 Vol.10 No.1, pp.40 - 67

Published online: 16 Aug 2014 *

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