Improving the accuracy of execution data of ERP systems: A case study in the Zongxin Telecom Corporation

Abstract

The poor accuracy of the execution data (AoD) Is often seen as a common symptom of unsuccessful enterprise resources planning (ERP) implementation. Finding ways to achieve high AoD is therefore an important and pressing issue for ERP practitioners. This paper describes an AoD improvement project in Zongxin Corporation (China). The approach taken in this project has been to better define AoD and to measure it with the use of five indices including data coincidence, completeness, timeliness, reliability and logical consistency. Five influencing factors of AoD have been identified by examining the current AoD problems of the ERP system implemented in Zongxin Corporation. They include management commitment to and policy on the management of enterprise information, effectiveness of training, the competence of the ERP solution providers, the reliability of the system, and the duration of concurrent running of new and legacy systems. These factors are related to the AoD indices through the development of a structural model, and the cause-and-effect relationships for improving AoD in ERP implementation are established. A relationship matrix between the influencing factors and the AoD indices is established for use in AoD control. The five factors are further explored as controllable and uncontrollable factors in improving AoD. Based on these models, process improvements for AoD are carried out, key control points are identified, and best practices arc introduced and reinforced. This paper will also elaborate on the issues relating to ERP training, system reliability and transition period, with both new and legacy systems in operations. Ways to improve the effectiveness and to reduce vulnerability will also be discussed.