Evaluation of the effectiveness of ERP systems used in construction contractor organizations in Sri Lanka

Abstract

Enterprise resource planning (ERP) systems are getting increasingly popular in Sri Lanka and throughout the world due to the inherent benefits, they provide to corporate organizations in dealing with global challenges and market rivalry. The purpose of this study was to make recommendations to improve the effectiveness of the ERP systems utilized in Sri Lankan construction contractor organizations. To fulfill the research aim, six objectives were established. A complete literature survey and review was conducted by referring to journal articles, publications, and e-Journals to examine past research on ERP systems. An E Questionnaire was used to collect data. Quantitative data gathered using a convenient sampling approach were statistically analyzed. Engineers, project managers, architects, quantity surveyors, and accountants were the intended audience. Respondents were chosen from contractor organizations that had used ERP systems in the past. Using the Microsoft Excel program, data were analyzed and characteristics were prioritized in terms of criticality using the Relative Importance Index (RII). Manual data collection, manual report creation, and access limits to important modules might all be highlighted as significant constraints to ERP use in construction contractor organizations in Sri Lanka. To reap the full benefits of an ERP system, the system should be chosen after a thorough evaluation and analysis of the products on the market, including the cost of the product, license and maintenance fees, and the flexibility in changes/modifications and troubleshooting. Furthermore, ERP vendors should have a thorough awareness of the processes and procedures involved in Sri Lankan construction projects. Furthermore, all transactions linked to construction processes/activities must be completed using the ERP system rather than manual data gathering, and the ERP system must make it easy to acquire all relevant reports. Furthermore, consulting services need to be established to aid in the selection and deployment of ERP systems in Sri Lankan construction organizations.