Introduction

Research topic

Enterprise Resources Planning (ERP) systems play an important role in shaping of the manufacturing industry globally. These systems facilitate identification of the required resources and make sure that they are available for the manufacturing process as appropriate. Apparel sector is contributing to the highest export revenue generation when all the other manufacturing and service sectors are considered. This indicates that there has to be a high level of value generation in the sector. Further, the competition from the apparel manufacturers in South and South-East Asian nations also indicate that Sri Lankan apparel manufacturers have to make sure they improve the operational efficiencies.

Main Objective (MO)

The main purpose of this study is to evaluate how the ERP systems would contribute to improving of the overall performance of the apparel companies in Sri Lanka. These companies are investing heavily on the ERP systems with the belief that they will improve the overall operations of the companies. The study seeks to identify if that is actually taking place.

Significance

The study will reveal the role of the enterprise resources planning (ERP) systems and if they really contribute effectively to the development of the companies in the apparel manufacturing sector. It is vital to identify the likely results they provide and how the parties will be able to maximize the benefits. This shows that the ERP vendors will be able to identify as to in which areas these systems need improvements and carry out such needed improvements. On the other hand, the apparel manufacturers will be able to identify the issues they are affiliated with and how they should take the required steps to improve the overall benefits affiliated with these products and the services they are providing. Thus, the overall ERP system role and benefits as well as the issues can be identified through this approach.

Literature Review

Sources

Al-Mashari, M., (2002), Enterprise Resources Planning (ERP) System; a Research Agenda, Industrial Management and Data Systems, Vol 103, No 2, pp165-170, https://pdfs.semanticscholar.org/d21f/9d6a6a27dc762cff6dc39624816e23665fc6.pdf, February, 2018.

Stoilov, T., and Stoilova, K., (2008), Functional Analysis of Enterprise Resource Planning Systems, International Conference on Computer Systems and Technologies – CompSysTech’08, http://einstein.etsu.edu/~pittares/EIS/articles/2stoilov_Functional%20Analysis.pdf, February, 2018.

Kumar, S.A., and Suresh, S., (2008) Production and Operations Management, New Age International (P) Ltd., Publishers, New Delhi.

Zykov, S.V., (2010), Enterprise Resource Planning Systems: the Integrated Approach, ITERA International Group of Companies, Moscow, https://arxiv.org/ftp/cs/papers/0607/0607129.pdf, February, 2018.

Addo-Tenkorang, R., and Helo, P., (2011), Enterprise Resource Planning (ERP): A Review Literature Report, Proceedings of the World Congress on Engineering and Computer Science 2011 Vol 2, WCECS 2011, October 19-21, 2011, San Francisco, February, 2018.

Magal, S.R., and Ward, J., (2012), Integrated Business Process with ERP System, ohn Wiley & Sons, Inc., New York.

Synthesis

Al-Mashari (2002) evaluates as to how the ERP systems contribute to the integration between the various systems and achieve the results in line with the expectations of the parties. The systems have to be developed to integrate many different organizational elements and achieve the right outcomes. Functional integration of the elements allows the business to operate in line with the exact market needs and achieve the results in a way that will maximize the benefits. The paper evaluates the overall capabilities of the ERPs associated with these areas and how this has been evolving over a period of time.

Stoilov and Stoilova (2008) indicate that ERP systems have been changing and the complexity of the ERP systems have been increasing. For instance, the initial systems have been focused on the operations and the current ERP systems extend their capabilities to cover areas such as human resources management, marketing and other such support functions which needs attention as well. Thus, the role of the ERP function will allow the organizations to improve the integrity of the systems and to ensure the ERP systems act to provide appropriate results in the long-term context.

Kumar and Suresh (2008) remain highly focused about the organizations and the management of the various activities. The operations management has to be carried out in such a way that the targets of the organization will be achieved in line with the needs. The book indicates the need for detailed planning so that the outcomes will be in line with the needs of the markets. The eventual benefits of planning and integrating of the organizational and operational aspects are high because that will allow the organizations to reach the results they intend to achieve in the future. This shows that operations relate planning is vital and systems to support such activities will provide positive outcomes in the future.

Magal and Ward (2012) have indicated the need for implementation of the right ERP systems with the organizations. The needs of the organizations have to be evaluated and the size as well as the functionality requirements of the organization will have to define the ERP systems that they are in need of. There are several ERP solutions that might be available to the selected organizations and it is beneficial that they evaluate these solutions and take the tight approach in improving the outcomes and the quality of the organizational operations. The long-term results will be beneficial for the parties. The performance of the organization, the requirements of the organization and the right activities will have to be a part of the ERP systems. The employee training will enhance the ERP system and the related capabilities.

Zykov (2010) also identifies the fact that the ERP systems and the solutions remain vital for the parties. This is due to the fact that the ERP system will provide a platform for all the business activities to be evaluated. The relationships between each of these activities and the likely outcomes of these activities have to be evaluated and the solutions have to be arrived at. However, the paper indicates that there is no uniform solution that is developed when the ERP systems are considered. So, the right kind of evaluation of these systems will have to take place for the organizations to identify the systems that will meet the requirements they have. The overall outcomes are likely to be positive in this instance.

Addo-Tenkorang and Helo (2011) have been identified as ERP as one of the key areas that has seen development over the past few years. The authors have identified that the ERP systems have been able to develop the right kind of activities which will provide the right results to the users. However, the focus of the ERP systems has been more complex and qualitative in the latest of the systems when compared with the early systems that are in development. This shows that the evolution of the ERP systems has been one of the important areas of consideration.

Critical Review

Kumar and Suresh (2008) highlight that the operations are complex; planning tools have to be in place to make sure the right operational outcomes are reached. It is also important to link the operations with the organizational objectives. Thus, having an IT platform that will contribute to achieving of these results will remain important. Zykov (2010) on the other hand also identifies the importance of having a right system in place to manage operations as well as other activities. However, it is important to note that these two authors are primarily focused on the operational aspects of the ERP systems and the operational benefits they would provide. However, Addo-Tenkorang and Helo (2011) as well as Stoilov and Stoilova (2008) have indicated that the role of the ERP systems is changing in the context of the organizations. More qualitative and support activity elements are integrated with the ERP systems and ERP is not limited to the business operations any more. Zykov (2010) and Al-Mashari (2002), irrespective of the fact that they have done their research eight years apart has been able to agree on the fact that the ERP systems have contributed to the improvements in the business context. Thus, this remains an area of importance for them to achieve the right results in the future. While the applicability of the ERP systems has agreement issues of the literature, all agree with the fact that they contribute positively to the achieving of beneficial results in terms of the organizational effectiveness.

Research Questions

  • Do ERP systems contribute to overall quality planning capabilities in place in apparel manufacturing companies?
  • Do ERP systems improve overall quality monitoring capabilities in place in apparel manufacturing companies?
  • Do ERP systems reduce material wastage in apparel manufacturing organizations?
  • Do ERP systems contribute to improve employee efficiencies in apparel manufacturing companies?
  • Does overall implementation of ERP system contribute to quality improvements in Apparel manufacturing companies?

Methodology

Methods

The research philosophy behind the study is to collect the required evidence and reach conclusions; this is the positivist approach. The facts will have to be collected and evaluated. The facts will start with the wider focus and gradually narrowed down to variables and relationships. In order to ensure the sample represents the population, the size of the sample has to be large (Fourie, 2014). As the findings are based on facts, they can be generalized.

The study approach is deductive; this means the theory and the previous knowledge is used to develop knowledge. Then the hypotheses are formed based on conceptual model. The study will test the hypotheses to identify the nature of the relationship between these elements. As the study has to test the relationship between the variables, it is best to use quantitative approach for the study (Calvert, 2013).

Thus, the required evidence is collected and tested to evaluate the outcomes to meet the appropriate results. This approach improves the overall validity and reliability of the study outcomes.

Samples

The study has to evaluate different apparel manufacturing firms and how ERP has impacted their quality levels. In order to do so, the study would select 10 apparel manufacturing firms and will interview five people within each of the firms. Those who are interviewed has to be from at least middle management level of the company in various departments. They should express their perception about the ERP system affiliated with the company. The companies have to be selected randomly after listing down the prominent apparel manufacturing forms in the country. The main apparel manufacturing firm details can be obtained from Apparel Manufacturer’s Association of Sri Lanka. Then the company is contacted to obtain the approval and human resources department is contacted to obtain a suggested list of employees to send the questionnaire to. The first five returns from each company is selected for the study. Thus, the method used is a random and non-random mixed approach. This sampling approach will allow selection pf companies from a representative list of all apparel manufacturing firms of the country. Random sampling eliminates any biases of responses (Morris, 2006). Within each company, it is best that human resources department suggest the employees as they know who has the best knowledge about the ERP system.

Design of data collection instruments (interview guides / questionnaires)

In order to collect the needed information, the study has to use a structured questionnaire; this will allow data to be collected with high level of focus and precision. As the variables have to be tested for the relationships, it is important to use a Likert scale; this allows the respondents to rank variables from one to five based on the level of agreement they indicate. This will allow the parties to provide responses in line with the expectations of the study (Lomas, 2007). Due to the usage of the Likert scale, the validity and the reliability of the study findings will also improve.

Role of the researcher

The researcher has no special interest in this area of study that will create any boas within the study. The researcher is not involved with the promotion of a specific ERP system and the findings of the study is for academic usage only. Thus, the study will have a higher level of objectivity in place and will lead to achieving of the right outcomes and benefits in the future.

Validity

The sample that is selected is representative of the apparel manufacturing of the country; the trust of the respondents will be developed before providing them with the questionnaire so they are aware that the information will be used only for academic purposes.

Reliability

The questionnaires remain compact and easier to understand by the respondents; further, the study uses Likert scale that will facilitate better collection of the required information for the study. These will improve the overall reliability of the study.

Generalisability

The findings of the study are applicable in the context of the apparel manufacturing firms of the country. If the sample was larger, there is a better level of accuracy as the sample can better represent the population.

Ethics

The research is carried out in the ethical manner; the companies will have to provide their approval for data collection and they will also suggest the employees that we have to use for the data collecting purpose. The respondents can refuse to participate in the study at any stage; thus, the respondents will be able to provide their insights with the needed level of accuracy and make sure that the right benefits are reached. The anonymity of all the respondents are maintained and after the completion of the study process, all information collected are destroyed.

Data Access

The data can be accessed as the details of the research if provided to the companies and their agreement is received. As there are no sensitive data collected about the company and the competitiveness of the operation, the data is likely to provide the needed insights on these study areas in detail. ERP system is not a sensitive subject for an apparel manufacturing company and thus, it is likely that the study will be able to collect information about these aspects in detail.

Constraints

The study could have used more than 10 apparel companies; such will provide more details about the study relate insights. However, the resource constrains such as the time as well as money issues remain areas that will impact the study negatively. Further, more companies placed out of the Colombo district also can be included provided there is a larger sample. Such would require time as well as expenses for collecting of the data. Thus, such action is not possible in this context. This indicates that the study insights are impacted negatively form these areas of findings.

Time Scale

List of references

Al-Mashari, M., (2002), Enterprise Resources Planning (ERP) System; a Research Agenda, Industrial Management and Data Systems, Vol 103, No 2, pp165-170, https://pdfs.semanticscholar.org/d21f/9d6a6a27dc762cff6dc39624816e23665fc6.pdf, February, 2018.

Calvert, P., (2013) “Research Methods in Information”, The Electronic Library, Vol. 31 Issue: 5, pp.682-683.

Fourie, I., (2014) “Research Methods in Information”, Aslib Journal of Information Management, Vol. 66 Issue: 6, pp.702-703.

Lomas, E., (2007) “Research Methods in Information”, Records Management Journal, Vol. 17 Issue: 3.

Morris, A., (2006) “Provision of research methods teaching in UK LIS departments”, New Library World, Vol. 107 Issue: 3/4, pp.116-126.

Stoilov, T., and Stoilova, K., (2008), Functional Analysis of Enterprise Resource Planning Systems, International Conference on Computer Systems and Technologies – CompSysTech’08, http://einstein.etsu.edu/~pittares/EIS/articles/2stoilov_Functional%20Analysis.pdf, February, 2018.

Kumar, S.A., and Suresh, S., (2008) Production and Operations Management, New Age International (P) Ltd., Publishers, New Delhi.

Zykov, S.V., (2010), Enterprise Resource Planning Systems: the Integrated Approach, ITERA International Group of Companies, Moscow, https://arxiv.org/ftp/cs/papers/0607/0607129.pdf, February, 2018.

Addo-Tenkorang, R., and Helo, P., (2011), Enterprise Resource Planning (ERP): A Review Literature Report, Proceedings of the World Congress on Engineering and Computer Science 2011 Vol 2, WCECS 2011, October 19-21, 2011, San Francisco, February, 2018.

Magal, S.R., and Ward, J., (2012), Integrated Business Process with ERP System, ohn Wiley & Sons, Inc., New York.