Knowledge Transfer in ERP Implementation

Managing a large number of ERP modifications is very difficult without proper documentation. Besides, it is impossible to remember all the modification and its changes in mind, the high level of consultant turnover also made the follow-up process on the modification is very hard. Often because there is no proper documentation of modification, if there is a problem, new consultants need to access the source code to understand the modification made by the previous consultants and assess potential other impacted areas to avoid another problem. This process is very resource consuming. Previous research stated in their report that the company they interviewed mostly complained about undocumented modifications made by other consultancies which consequently made them do tremendous re-engineering jobs. Besides that, the documentation is also necessary for upgrade purposes, since all the modifications should be rewritten if there is a system upgrade. Every consulting firms have their own method in documenting modification. However, it is obligatory for organization to have ability to read and understand them. The organization also could make their own documentation methods and ask the consultant to follow them. Documentation is one of the knowledge transfer tools. The effectiveness of knowledge transfer is also determined by knowledge management.

Besides that, knowledge management is used by the organization to have better communication between top management and employee so that the work process can be optimized. Rothenberger and Srite (2009) stated that knowledge about the new system implemented will increase user acceptance and motivation and in turn can reduce the user request toward system modification. Further, Foster et al (2008) found that adopting a learning strategy and successful knowledge transfer from experienced consultants have critical tole to overcome knowledge barrier and the mitigating problem of misfit. Knowledge sharing in ERP implementation is not merely communicating how each module of the ERP software work, but also confirming that organizational members understand about underpinning assumptions of the system and the organization environment, which usually in the form of tacit knowledge. Tacit knowledge can happen in a routinized work that employees may not aware of and have difficulties explicitly communicating it. Therefore, effective knowledge transfer happened when an organization able to internalize that tacit knowledge and integrate the adopted process with the existing. Previous research gave example to manage tacit knowledge, by documenting key finding of proposed solution given by the consultant of every problem occurred. There are two knowledge sharing facilitators which determine the success of knowledge sharing tacit knowledge; the structure of team interactions (physical workspace and hierarchy of the team) and the atmosphere of the team (open communication culture. One example to maintain those facilitators are building a team that focuses on process rather than structure and make sharing knowledge as part of the implementation contract. In the long run, the organization that able to acquire external knowledge to internal staff will reduce the cost for external experts and establish the organization’s internal helpdesk to manage and support toward ERP life cycle.

Reference:

Wijaya, M. I., Suzanna, & Utomo, D. (2021). Enterprise Resource Planning Modification: A Literature Review. ComTech: Computer, Mathematics and Engineering Applications, 12(1), 33-43. https://doi.org/10.21512/comtech.v12i1.6610

Dittrich, Y., & Vaucouleur, S. (2008). Customization and Upgrade of ERP systems.: An empirical Perspective. IT University Technical Report Series. IT University of Copenhagen.

Ebersteins, M., & Grabis, J. (2011). A Method for Documenting Modifications in ERP Systems. Scientific Journal of Riga Technical University. Computer Sciences, 43(1), 57–64. doi: 10.2478/v10143-011-0008-3

Yen, T. S., Idrus, R., & Wong, W. P. (2013). ERP misfit-reduction strategies: A moderated model of system modification and organizational adaptation. Journal of Global Information Management, 21(1), 59–81. doi: 10.4018/jgim.2013010104

Lutteri, E., & Russo, B. (2011). Characterization of Consultant Activities in ERP Projects: A case study. Proceedings of the 13th International Conference on Enterprise Information Systems, 3, 293–300. doi: 10.5220/0003508902930300

Saide, & Mahendrawathi, E. R. (2015). Knowledge Management Support for Enterprise Resource Planning Implementation. Procedia Computer Science, 72, 613–621. doi: 10.1016/j.procs.2015.12.170

Vandaie, R. (2008). The role of organizational knowledge management in successful ERP implementation projects. Knowledge-Based Systems, 21(8), 920–926. doi: 10.1016/j.knosys.2008.04.001