The impact of enterprise resource planning systems on management accounting : an Australian study

Information technology is significantly changing the operating practices of an increasing number of companies globally. These developments have important implications for the accounting profession and in particular accounting practices in the twenty-first century. This study examines the development of enterprise resource planning (ERP) systems as a means of illustrating how changes in information technology allows all systems in a company to be linked to manage operations holistically.

The study investigates the change in accounting systems using a sample of Australian companies with emphasis on the adoption of ERP systems including the potential impact of ERP on capital budgeting processes. The results show that ERP systems are changing management accounting practices, although at this stage, the impact on capital budgeting techniques appears to be limited. The findings contribute to the emerging body of literature on the development of ERP systems and its impact on management accounting teaching and research.

Staff perceptions of the implementation of enterprise resource planning systems in three Australian universities

This chapter reports a study that examined the staff perceptions of the implementation of an Enterprise Resource Planning system (ERPs) in three Australian universities. The literature on issues impacting on effective Enterprise Resource Planning (ERP) implementations identified a number of issues that translate from the corporate sector to the higher education sector and included a number that require particular focus in this sector. Case study methodology is used to examine the staff perceptions of the management of ERP implementations in three Australian universities in the process of implementing ERP systems. The study was conducted in two phases. The first phase of the study obtained data through a series of focus groups at one university and, combined with an analysis of the relevant literature served as a framework for the development of the research process in the second phase of the study. This phase involved in depth interviews with staff that enabled the researcher to undertake a more detailed exploration of the staff perceptions of influences affecting ERP system implementations at three Australian universities. This chapter reports that staff perceptions of the process of ERP implementations are central to their efficacious implementations in Australian universities. Staff perceptions demonstrate that particular consideration of organisational influences related to their context and the perceptions of the users of the systems must be factored into the planning for ERP implementations in Universities.

Action research : the use of enterprise resource planning system in construction engineering and project management

Although information communication technology (ICT) is long regard as very useful tool in today’s construction engineering and project management environment, organizations must not only operate based upon its original setting, but also requires on-going observation, additional features and fine is a very common phenomenon that organizations purchase the licensed “off their own business need. Due to the incapability of such software and inefficient customization, the possible result is making that ICT tool not user-friendly and sometimes the whole system becomes obsolete.

The purpose of this paper is to review and report those action organization to enhance the performance of its Enterprise Resource Planning (ERP) system launched in December 2002. Such actions include: improving data inputting method; removing the tran the organization’s “Delegation and Limits of Authority”; publishing the “League Table” amongst users; integrating the 3D Mode into the system and upgrading hardware.

Whilst the ultimate goals of such system are well beyond the time limit of this research study, an obvious interim result, achieved by this case studied organization, was winning a landmark project worth US$500 million after the ERP system was functioned prope and effectively. Their experience and success becomes an exemplar which can be borrowed by those companies, from managerial perspectives and as a roadmap, planning to adopt information technology (IT) strategy and use ICT tool in the construction engineering and project management framework. Singapore, where public housing provisions have been a major concern of their citizens as the building stock gets older.

Action learning through the use of enterprise resource planning system in construction management

Although information communication technology (ICT) tool is long regard as very useful in today’s engineering, architectural and construction management, organizations cannot just only simply operate based upon its origin, but also requires the on-going observation, controlling measures, monitoring aids, adding features and fine-tuning actions to such tool before the desirable outcome can be achieved. However, it is a very common phenomenon that organizations purchase the licensed “off-the-shelf-software” ICT package and customize it to suit their own requirements. Due to the incapability and inefficiency of such software and customization, the possible result is making such tool becomes not user-friendly and obsolete.

The purpose of this paper therefore, as part of the doctoral research, is to review and report those actions taken by a construction organization to enhance the performance of its Enterprise Resource Planning (ERP) system upon launching it since December 2002. Such actions include: improving data inputting method; removing the transition bottleneck; introducing crystallization function; revising the organization’s “Delegation and Limits of Authority”; publishing the “League Table” amongst users; integrating the 3D Modeling into the system and adopting the “Resources Requirement Planning”.

Whilst the ultimate goals of this system are well beyond the time limit of the research project, an obvious interim result, achieved by this case studied organization, was winning a landmark project worth HK$5 billion after the ERP system was functioned effectively. The experience and success of this organization can be borrowed by those companies which are planning to adopt information technology (IT) strategy and use ICT tool in the architectural management system.

Implementation of enterprise resource planning (ERP) software in a major construction contracting organization in Hong Kong

Purpose – The purpose of this paper is to summarize the scope, methodology and main findings of a doctoral thesis about the implementation of enterprise resource planning (ERP) software in a major construction contracting organization in Hong Kong. This research is taken from a leadership and power and project management (PM) perspective.

Design/methodology/approach – The project adopted a case study approach in which the candidate was an employee/observer, who was embedded as a member of the business transformation team taking an action learning approach to study the ERP adoption. The research used the soft system methodology to identify gaps in the observed maturity level which exists in the organization. Data was gathered using public and private documentation, semi-structured interviews, observation and was validated through review of evidence with participants.

Findings – The results identified the importance of leadership and cultural issues in implementation of the business strategy. This research includes a contribution in two spheres: PM and construction procurement. The first implication for PM theory was to illustrate how knowledge has been efficiently managed within a construction organization by using information communication technology (ICT). It can be represented by the ladder of ICT>ERP>KM>PM. The second implication was to pave the way for the use of partnering strategies in PM practice. It can be represented by the ladder of National Culture>Organizational Culture>Leadership>Partnering Strategy>PM.

Practical implications – This model could be adapted to other large and complex organisational contexts. The research project also has implications as opening up a PM perspective on business transformation.

Originality/value – The contribution of this research is proving the success of adopting KM in a construction company by using an ERP system. The importance of culture in the traditionally collectivistic construction industry, and the issues senior management should take into account when formulating business strategies.

Enterprise resource planning and the post bureaucratic organization

Purpose – The purpose of the paper is to use a case study setting involving the implementation of an enterprise resource planning (ERP) system to expose and analyze the conflicts in the characterizations of the post bureaucratic organisation (PBO) in the literature. ERP implementations are often accompanied by increasing levels of stress in organizations that place pressures on organizational relationships and structures. Additionally, ERPs are regarded as introducing their own techno-logic of centralization, standardization and formalization that provides an apparent contrast to the exhortations about employee empowerment.Design/methodology/approach – A case study of ERP implementation in a medium-sized entity is presented. The paper explores aspects of ERP and PBO from the context of postmodern organization theory.Findings – Some concerns about PBO identified in the literature are reflected in the case situation. For example, there is a commitment to give up private time and work flexibly by some employees. The paper also provides evidence of the way the management team substitute their reliance on a key individual knowledge worker for that of an ERP system and external vendor support. Paradoxically, trust in that same knowledge worker and between core users of the system is essential to enable the implementation of the system.

How does contingent reward affect enterprise resource planning continuance intention? The role of contingent reward transactional leadership

During the past decade, an increased focus on charismatic and transformational leadership has led to a diminished recognition of the importance of transactional leadership behaviours for successful information systems. We say that this is important because recent studies have shown that transactional leadership, in the form of contingent reward behaviour, can have substantial effects on employee attitudes, perceptions and behaviour. Therefore, in this study we discuss how contingent reward transactional leadership behaviour influences enterprise resource planning (ERP) users’ continuance intention by proposing a research model that explains how contingent reward has a positive effect on ERP users’ satisfaction and perceived usefulness which leads to ERP continuance intention. We further argue that distributive justice mediates this relationship. This study calls for managers to pay attention to the importance of contingent reward leadership behaviour in continuous intention of ERP.

Modelling new public management in an Asian context : public sector reform in Malaysia

This article combines the key elements of new public management theories with theories of privatisation and total quality management. The key elements identified in this review are used to establish a general model of new public management. Based on western theorising, the model is acknowledged as having a cultural bias. As a corrective, the article reviews the empirical experience of Malaysian public sector reform between 1980 and 2000, with the findings being used to identifying country-specific characteristics as a means of refining the model in a way that reflects that experience. The discussion concludes by setting out a revised model of new public management which takes account of its application in a Malaysian context. The contention is that the process of enquiry leading to this contingent model of new public management might be adapted along similar lines for the purposes of analysing the application of public sector reform in other developing countries.

Enterprise localization practices and their implication for knowledge management in foreign participation in the Chinese construction sector

Foreign firms active in the Chinese construction industry find themselves in a competitive environment unlike the environments in which they operate back home. Adaptations are therefore required in order that firms retain competitive leverage while integrating into the circumstances of the Chinese market. Since these firms primarily compete on superior knowledge capabilities it is instructive to understand how adaptations both serve to transfer propriety capabilities to China while adapting to the knowledge characteristics of the Chinese market into which those capabilities are transplanted. Five localizing parameters across which adaptations take place are identified in this paper and rates of localization are tabulated for 60 foreign firms active in the Chinese construction industry. Revealed localizing behaviors are then analyzed in the light of existing literature for explanatory power. It is concluded that in order to be strategically competitive firms must not only retain knowledge differentials, but that the knowledge must be coded and disseminated in a manner suited to the environment in which it is to be utilized.

Individuals' absorptive capacity in enterprise system assimilation

The capability of an individual to absorb knowledge about enterprise resource planning (ERP) is a critical element in the development of an organisation’s absorptive capacity (ACAP) during assimilation phase of ERP. Prior research have tended to overlook the roles that individuals play in identify external and internal knowledge, assimilate and exploit ERP knowledge. By defining ACAP at the individual level, we seek to enrich our understanding of how individual learn ERP knowledge and how such efforts facilitate the ERP assimilation within organisations. We develop a theoretical model to investigate the assimilation of enterprise systems in the post-implementation stage. Specifically, this model explains how communication climate and top management participation moderates the impact of Individuals’ ACAP on the assimilation of ERP systems.

Using a knowledge management evaluation framework for improving an ERP system - a Hong Kong construction industry case study

Organisations need to rely on leadership, information support and human capital in order to ensure a knowledge advantage over their competitors. Knowledge management (KM) provides organisations with sustainable competitive advantage, because it becomes extremely difficult for an organisation to cut expenditure and increase revenue by simply reengineering its business model. Project delivery and success has been traditionally viewed and measured as management of a three-legged stool, with the legs defined as cost, schedule and quality. However, KM can be linked to success by organisations becoming more effective as well as being more efficient.

This paper uses a KM framework, the Knowledge Advantage (K-Adv), developed initially for use by construction organisations. It assesses the impact of leadership and its supporting information communication technology infrastructure on the ability of people (by effectively creating, sharing, disseminating and using knowledge) to facilitate sustainable competitive advantage.

A case study that is presented is based upon the experience of a leading construction company using an Enterprise Resources Planning (ERP) system to demonstrate the effectiveness of KM from a cost management business unit perspective. Results are evaluated using a capability maturity model (CMM) - that forms the core of the K-Adv tool - to help improve processes that meet the needs of the organisation operating in a highly dynamic business environment. The case study is part of a broader doctoral research project that uses action learning to facilitate and measure ERP improvement.

Relevance of traditional management accounting in the public sector

 The major reforms that the Australian public sector went through in the early 1980s were characterised by a stress on efficiency and effectiveness. The reforms led to the import of a private sector mangement philosophy to the public sector, including private sector based management accounting techniques. It is this import that motivated the critical theoretical discussion presented in this paper concerning the applicability of traditional private sector management accounting techniques in the public sector. The paper sets out the pros and cons of such application and provides directions for future research.

Using a KM framework to evaluate an ERP system implementation

Purpose – Competitive advantage can be gained in several ways including gaining a knowledge advantage (K-Adv). This paper sets out to report on the first stage of broad study to assess the effectiveness of implementing an enterprise resource planning system (ERP) from a knowledge management (KM) perspective.

Design/methodology/approach – The study used a survey of a small but representative group to gain feedback in their experience of using the ERP system. Results are evaluated using a KM framework, the knowledge advantage (K-Adv) capability maturity model (CMM) tool that was initially developed for use by construction organisations to assess the impact of leadership and its supporting ICT infrastructure on the ability of people (by effectively creating, sharing, disseminating and using knowledge) operating in a highly dynamic business environment.

Findings – The K-Adv framework analysis for the study indicates that the ERP system was seen as a useful tool for cost management and that its deployment effectiveness is mainly dependent on human-to-human knowledge transfer about how to make the ERP system work. Also, how leaders in organisations facilitate and support people is a critical enabler of the ERP system deployment. The K-Adv CMM tool was useful in making sense of the degree of organisational maturity from a KM perspective.

Practical implications – The findings first highlight the usefulness of focusing on people-support in using the ERP adoption in this organisation's context and, second, they illustrate how a CMM tool like the K-Adv can be used to evaluate KM practices.

Originality/value – The likely effectiveness of use of an ERP is well-known. However, the originality of the paper is twofold. First, it explains effective ERP application drivers and inhibitors from a KM perspective. Second, it tests and adapts a tool that helps evaluate KM effectiveness and assists better understanding of how these practices are enacted from a cost management business unit perspective.

Managing dynamic public sector networks : effectiveness, performance, and a methodological framework in the field of national security

Networks are increasing in number and in importance across the security field as a means of providing inter-agency coordination. Based on a large qualitative study of networks in the field of national security in Australia, this article aims to advance our knowledge of the internal properties of public sector networks in the field of national security and the conditions shaping their performance. It puts forward a multi-level theoretical framework involving five interdependent levels of analysis—structural, cultural, policy, technological, and relational—which aims to account for the internal properties of networks and examines each of these levels in relation to public sector networks in the field of national security. Using detailed interviews with senior members of security, law enforcement, and intelligence agencies, the article aims to highlight the potential lessons this framework has for strategically organizing and managing dynamic networks within and beyond the field of national security.

Human resource management in the public sector

'An impressive collection of authoritative treatments of major current and ongoing topics in public sector human resource management, provided by both well-established experts and up-and-coming scholars who are becoming leaders in the field. A valuable resource for courses on the topic and an important reference for scholars and those seeking to maintain expert knowledge about it.' - Hal G. Rainey, The University of Georgia, US. © Ronald J. Burke, Andrew J. Noblet and Cary L. Cooper 2013. All rights reserved.