Contracted ERP projects: Sequential progress, mutual learning, relationships, control and conflicts

Abstract

Purpose

The purpose of this paper is to describe the sequential nature that enterprise resource planning (ERP) projects tend to take and to describe how the buyer typically behaves concerning the need for control and learning in and in‐between ERP projects.

Design/methodology/approach

Results come from an in‐depth case study of sequential ERP projects. The respondents were a major Swedish retailer and a supplier who undertook upgrading of an ERP system with six separate and sequential projects. The research was framed by independent pre‐ and post‐interviews in three buyer companies' from different areas of business.

Findings

Results suggest that success is associated with mutual learning between supplier and buyer organizations that lead to reasonably amicable working relationships. Control considerations run through these projects and conflicts appear minimal in the sequential treatment. Insightful interpretation comes not only from empirical reflection on interactions in an in‐depth case study, but also from concepts available in decision making and project marketing as well.

Research limitations/implications

Case studies present in‐depth understanding but have generalization limitations. Also the case study was accomplished in Sweden and thus knowledge about behaviour in other countries and cultures is needed.

Practical implications

Managers investing in relationships and learning in an initial project probably suffer in terms of satisfaction and profitability at that stage but could accomplish more effective, satisfying and profitable situations over time. In particular, appreciation of the nature of the sequential project development, mutual control, delivery and learning in these projects could be useful in understanding the buyer behaviour in ERP projects.

Originality/value

Learning is important in projects but how do the buyers behave? A description of the sequential nature of ERP projects and the learning process both within the buyer's company and within the supplier's company is established. Tables are created that describe how the gap in the mutual learning process decreases in‐between projects in business‐to‐business projects.

Citation

Andersson, A. and Wilson, T.L. (2011), "Contracted ERP projects: Sequential progress, mutual learning, relationships, control and conflicts", International Journal of Managing Projects in Business, Vol. 4 No. 3, pp. 458-479. https://doi.org/10.1108/17538371111144175