The process of enterprise resource planning implementation and business process re-engineering: tales from two Chinese small and medium-sized enterprises

Using an innovative process model, we describe and analyse the process of introducing enterprise resource planning (ERP) systems in two Chinese small and medium-sized enterprises and especially their decisions concerning business process re-engineering. First we compared the results from our cases with Martinsons' earlier work (2004). One case seemed to fit most of the characteristics of a private venture (PV) whereas the other case, also a PV, had a very low degree of fit. We used the process model to offer further insights and features such as its predictive power. Second, and as predicted, we also observed the differential role of top management support in the two Chinese companies. But thirdly, and somewhat surprisingly, we found that cultural issues were only of limited importance. Finally, the ability of the project team to deal with unexpected events was seen as critical in ensuring the stability of a project. In contrast, project drift is shown to lead to a degree of chaos. We offer some suggestions as to how stakeholders can improve their chances of implementing ERP systems more successfully.