There is a continued effort for organisations to invest in resources that enable them to reduce costs while increasing productivity to meet the needs of the customers in order to maximise profits. Such investments also empower them to gain competitive advantage in the market. In an endeavour to achieve this, organisations invest in implementing Information Technology (IT) software to assist in increasing efficiency. There are varieties of available software solutions that are used at various stages of the value-chain. One of these is the Enterprise Resource Planning (ERP) system. Bakeries are no exception in exploring ways in which operations can be run more efficiently to reduce costs in the various levels of the supply chain through use of ERP systems. Although bakeries have invested many funds in implementing this system, they fail to enjoy the full returns on their investment of this system. The study compares the use of ERP systems between three leading bakers in Port Elizabeth, as part of convenience sampling, to identify any possible ineffective business practice applications and recommend some applicable solutions. In pursuing this study, a qualitative research was conducted. A critical literature review drawing on academic sources was conducted on the Supply Chain Management SCM. It provides an overview of SCM, and the effectiveness of ERP is SCM. Additionally, it provides benefits of using ERP in SCM. Furthermore, various tools that are used in measuring effectiveness of ERP systems were discussed. These tools included, Perceived Ease of Use and Perceived Usefulness, part of the Technology Acceptance Model (TAM) and the balanced scored card. This was followed by a content analysis of web-based content of the three bakeries. Interview schedules were conducted using close-ended and open-ended questionnaires with the procurement, production, and distribution officers in the three bakeries to get a deeper understanding of the experience of the respondents. The questionnaires were distributed to twenty-seven (27) potential participants but interviews were conducted with only five (5) respondents. This constitutes a (5/27) 18.5% response rate. The questions on the questionnaires required a deeper understanding of the experiences of the respondents on their use of ERP. The questions were adopted from a balanced score card questionnaire that was previously used in measuring the performance of ERP systems.The study used Perceived Usefulness and Perceived Ease of Use within the Technology Acceptance Model (TAM) to measure the effectiveness of ERP systems that are used in bakeries The analysis revealed that some production departments did not use the ERP system altogether while others used it as an archive and stuck to manual tasks resulting in duplication of tasks, which increase the workload of the departments. It also discourages interdepartmental information integration because other departments do not have easy and quick access to information from their production department. This department must share information to other departments through email. It was discovered that some end-users do not undergo formal training that affect their use of the system making it ineffective. Some found that their system was not user-friendly and increased their workload. Recommendations are made to the management of the bakeries on how to make the use of ERP effective for those planning to upgrade their current baking management systems.
| Identifer | oai:union.ndltd.org:netd.ac.za/oai:union.ndltd.org:nmmu/vital:28778 |
| Date | January 2017 |
| Creators | Mokuena, Mpolokeng |
| Publisher | Nelson Mandela Metropolitan University, Faculty of Business and Economic Sciences |
| Source Sets | South African National ETD Portal |
| Language | English |
| Detected Language | English |
| Type | Thesis, Masters, MBA |
| Format | xiv, 101 leaves, pdf |
| Rights | Nelson Mandela Metropolitan University |
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