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Article Title:
THE GROWING TREND OF SMALL TO MEDIUM-SIZED ENTERPRISES ADOPTING ENTERPRISE RESOURCE PLANNING SYSTEMS: AN ANALYSIS OF BUSINESS CASES IN ZIMBABWE AND SOUTH AFRICA
by Carrington M Mukwasi and Lisa F Seymour

Abstract:
A growing trend in developing countries is the implementation of ERP systems by SMEs. Yet, these implementations have high failure rates. This study investigated how ERP project investments are approached and justified by Small to Medium-Sized Enterprises (SMEs) in Zimbabwe and South Africa. In particular, the research explored the business case development practice and the cost elements considerations. The qualitative study used data collected through semi-structured interviews and subsequently analysed by using elements of the grounded theory method. The multiple case study approach allowed current practices around ERP system business case development to emerge. The findings show that although SMEs know what they want to achieve when they implement ERP systems, ERP investments are not justified through business cases. Rather, ERP projects are driven by a few targeted benefits known to SMEs? managers resulting in many unforeseen risks and costs. The study proposes guidelines on how SMEs adopting ERP systems can develop realistic business cases. The study also suggests a resultant cost estimation model, which can be used by ERP vendors and consultants when they draw up their budgets

Keywords: SMEs, ERPs, business case, cost, developing countries

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