Application of Factors and Moderation Analysis on Enterprise Resource Planning System Usage in the Middle East

Application of Factors and Moderation Analysis on Enterprise Resource Planning System Usage in the Middle East

Mahd M. Alzoubi, Dallas H. Snider
DOI: 10.4018/IJPMPA.306974
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Abstract

Organizations make substantial investments in implementing enterprise resource planning (ERP) systems to improve the efficiency and utilization of ERP systems. This study examined the factors influencing and moderating the use of ERP systems. The research variables' hypothetical relationships and moderation analysis were examined through factor analysis and partial least squares structural equation modeling. This study suggests that specific factors significantly influence and moderate the employees' system use. The research results could serve as a reference for vendors when planning the implementation of an ERP system.
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2 Literature Review

Previous research by Alzoubi and Snider (2020) concluded that employees' perceptions of a successful ERP implementation varied by geographic region; therefore, ERP vendors should deliver ERP systems with customizations driven by the region. Furthermore, matching employees' attitudes toward the ERP system with their expectations may lead to ERP success. Many organizations focus on selecting the appropriate products and components to achieve an efficient ERP installation yet ignore the impact of a new system from the employees’ perspective. Al-Mashari, Al-Mudimigh, and Zairi (2003) suggested that enterprise systems are “considered successful when: (1) there is a match between the system and the stated objectives, (2) the system is implemented within time and on budget, (3) user’s behavior is positive, and (4) the system matches users’ expectations” (Alzoubi, 2016).

Several theoretical models provide factors to assess how user productivity is affected by information system utilization. The DeLone and McLean (D&M) model and the Technology Acceptance Model (TAM) are the most frequently utilized models in research. The TAM incorporates variables such as Perceived Ease of Use and Perceived Usefulness, which come from the employees’ opinions regarding the acceptance, use, and satisfaction of systems. TAM was later extended by adding perceived social pressure (the subjective norm), which can affect employees’ adoption decisions (Davis, 1989).

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