APPLICATION OF AN ENTERPRISE RESOURCE PLANNING (ERP) SYSTEM IN A STATE-OWNED ENTERPRISE IN SOUTHEAST ASIA

Abstract

This paper focuses on a state-owned enterprise (SOE) in Southeast Asia which utilizes an Enterprise Resource Planning (ERP) System to aid the restructuring and privatization process. It demonstrates that ERP systems will provide SOEs in any industry a revolutionary rather than evolutionary step in their bid to gain competitiveness. A case study represents how one particular SOE in the steel industry, created electronic internal linkages between their various functions in a multi-mode/multi-site environment and utilized external linkages to communicate to their external customers, financial institutions and suppliers. In addition, the case study provides practical and rigorous analysis of the organization and its transformation. Culture, management and organizational implications in adopting ERP systems in Southeast Asian SOEs are discussed. This paper will demonstrate why an ERP system is a valuable information systems tool in the development of SOEs in developing countries.