Combining ERP Systems with Enterprise 2.0

Abstract

The chapter discusses both the complementary factors and contradictions of adoption ERP-based systems with Enterprise 2.0. ERP is well known as IT’s efficient business process management. Enterprise 2.0 supports flexible business process management, informal, and less structured interactions. Traditional studies indicate efficiency and flexibility may seem incompatible because they are different business objectives and may exist in different organizational environments. However, the chapter breaks traditional norms that combine ERP and Enterprise 2.0 in a single enterprise to improve both efficient and flexible operations simultaneously. Based on multiple case studies, the chapter analyzes the benefits and risks of the combination of ERP with Enterprise 2.0 from process, organization, and people paradigms.

ERP 2.0, what for and how?

“…ERPs are usually considered as highly structured information systems. The flexibility that they could gain from an integration with Web 2.0 tools is sometimes discussed in the literature on ERP adoption [75,76], but the possible combination of the two systems is seldom analyzed in details. For some authors, the integration of tools like wikis and blogs into an ERP is firstly useful for ''channeling'' a tendency that may lead to a loss of productivity of the employees and to security breaches if not correctly addressed [77].…”

“…Most of these papers, like [75], insist on the necessary synergy between ERP and Web 2.0 tools in the next generation of software. Wang et al [76] investigates the interest of the combination of the two types of systems on four case studies, without clear generalization. On the other hand, the already mentioned report from IFS [57] gives the results of a study conducted through interviews of 325 executives in North America on what they expect from the ERP 2.0.…”

“…Kimberling [89] and Wang et al [76] asked the question of the possibility of alignment of these two technologies: on one hand, 2.0 technologies group informal and unstructured social media tools allowing anyone to say anything without real control or structure, e.g. social networks or wikis.…”

“…Indeed, having the objective to manage 100% of the business cases through ERP transactions is a known cause of over budget and delays. For most of ERP consultants, an ERP should manage the majority of the business cases, but not all of them, since the system is not flexible enough to be adapted to specific development at low cost [76]. The part of the business cases managed by the ERP is often called the ''baseline''.…”

Are business users social? A design experiment exploring information sharing in enterprise social systems

“…In fact, evidence exists that the implementation and adaptation of both paradigms into a common system is not a trivial task (Li et al, 2009). Wang et al (2011) note that 'the two systems [ES and ESS] have rather different natures […] ERP and enterprise 2.0 systems are incompatible. ' Following this thread, it is the aim of this paper to enhance our understanding of the compatibility of the 'social paradigm,' which appears to be nearly uncontested by the extant literature on ESS.…”