Fused or Unfused? The Parable of ERP II

Abstract

One of the major visions is having one system that covers all business functions and satisfies virtually all the standard processes and routine transactions within organizations. In the last decade, several academics and practitioners have predicted the rise of what is called enterprise resource planning systems II (ERP II). ERP II was sought to be a digital platform that is capable of supporting timely decision-making through covering all business functions’ processes through having preloaded modules that will minimize the need for external systems like separate customer relationship management (CRM), e-business platforms, and supply chain management (SCM) systems, among others. While ERP systems nowadays have matured, and several packages come with CRM modules and other solutions, however separate CRM systems are still widely adopted by organizations. Thus, this study investigates why organizations that currently have ERPs with CRM modules are still investing in separate CRM systems. Our results show that the current ERP systems did not reach the ERP II state as envisioned, as most organizations are inclined to adopt separate CRM systems. Thus, we have presented five main reasons for this inclination, which are: scoping during ERP implementations, costs, features and functionalities, user-friendliness and ease of use, and finally integration with e-business platforms.

Management and Production Engineering Review

“…The most modern extension of the modular ERP is the ERP II concept, where it is possible to control factors and events taking place outside the enterprise. The ERP II class system is a system of open integrated planning with full use of Internet technology and the XLM language standard, as well as mobile solutions (Haddara & Constantini, 2020;Vasilev, 2014). The concept of the ERP III system is an extension of ERP I and ERP II systems towards the construction of new functionalities in the field of integration between production companies and their further partners (Vasilev, 2014).…”