The Electronic Journal of Information Systems Evaluation provides critical perspectives on topics relevant to Information Systems Evaluation, with an emphasis on the organisational and management implications
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Journal Article

The effects of ERP‑implementations on the non‑financial performance of small and medium‑sized enterprises in the Netherlands  pp103-115

Ivo De Loo, Jan Bots, Edwin Louwrink, Dave Meeuwsen, Pauline van Moorsel, Chantal Rozel

© Nov 2013 Volume 16 Issue 2, Editor: Shaun Pather, pp86 - 161

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Abstract

Abstract: In this paper we try to assess the impact of ERP‑implementations on the development of non‑financial organizational performance, as described by Shang and Seddon (2002) and Eckartz et al. (2009). We assess this impact for Dutch small and med ium‑sized enterprises, using a small but unique dataset. Several aspects of the performance of organizations are compared before and after the introduction of an ERP‑system, taking into account a three‑year period, and controlling for several influential factors (like organizational size, financial health and sectoral differences). We conclude that by and large, organizational performance increased significantly more for organizations that implemented an ERP‑system in the last three years than for organ izations that did not implement such a system. We also conclude that organizations that implemented an ERP‑system at most three years ago did not have significantly lower non‑financial performance than organizations that did not implement such a system. A dditional analyses suggest that we would oversell our results if we would claim that ERP‑systems are the main or sole source of the effects found. Nevertheless, although limited to Dutch SMEs, our results contradict some of the views expressed in the ERP‑ literature.

 

Keywords: : ERP systems, organizational performance, organizational benefits, non-financial performance, SME, surveys

 

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Journal Article

Impact of IS/IT Investments on Firm Performance: Does Stakeholder Orientation Matter?  pp99-111

António Guerreiro

© May 2016 Volume 19 Issue 2, ECIME 2015, Editor: Elias Pimenidis, pp83 - 134

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Abstract

Abstract: This research project addresses a central question in the IS business value field: Does IS/IT investments impact positively on firm financial performance? IS/IT investments are seen as having an enormous potential impact on the competitive posit ion of the firm, on its performance, and demand an active and motivated participation of several stakeholder groups. Actual research conducted in the Information Systems field, relating IS/IT investments with firm performance use transactions costs econom ics and resource‑based view of the firm to try to explain and understand that relationship. However, it lacks to stress the importance of stakeholder management, as a moderator variable in that relationship. Stakeholder theory sees the firm as the hub cen tric to the spokes representing various stakeholders who were in essence equidistant to the firm, and survival and continuing profitability of the corporation depend upon its ability to fulfil its economic and social purpose, which is to create and distri bute wealth or value sufficient to ensure that each primary stakeholder group continues as part of the corporation⠒s stakeholder system. Stakeholder theory in its instrumental version, argues that if a firm pays attention to the stakes of all stakeholde r groups (and not just shareholders), it will obtain higher levels of financial performance. With this premise in mind, the aim of this paper is to discuss and test the use of stakeholder theory in the IS business value stream of research, in order to a chieve a better understanding of the impact of IS/IT investments on firm performance (moderated by stakeholder management). To achieve the expected impact from an IS/IT investment, it is argued that firms need a strong commitment from those stakeholder groups, which lead us to the need of a corporate ⠜stakeholder orientation⠀. When firm financial performance is measured by returns on assets (ROA), returns on investments (ROI) and returns on sales (ROS), the results show that ⠜stakeholder ori entation⠀ impact positively in the relation between

 

Keywords: Keywords: IS/IT investments, impacts, financial performance, stakeholder orientation, return on investments, IS business value

 

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Journal Issue

Volume 16 Issue 2 / Sep 2013  pp86‑161

Editor: Shaun Pather

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Keywords: Information Technology Department, Strategic Contingency, Resource Dependence, Dysfunctional Behavior : ERP systems, organizational performance, organizational benefits, non-financial performance, SME, surveys

 

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