The study assessed the implementation challenges of ERP systems in the Tanzania mining industry. Businesses are under increased pressure to minimize supply chain costs overall, increase throughout, decrease inventory, diversify their product offerings, enhance customer service, raise quality, raise efficiency and synchronize global demand, supply and production. A mixed research approach was employed, in that regard, a case study design was used. Since the approach of the study was qualitative, then the content/ thematic analysis was employed. However, the quantitative data collected were analyzed by using Statistical Packaging for Social Sciences (SPSS). The study finding shows that, despite the ERP's success, its implementation of it has been constrained by some challenges. For example, the challenge which were identified by the respondents was the high cost of implantation (87.50%) due to the investment of newly acquired technology which requires investment of a lot of money which many organizations cannot afford it. According to the study's findings, there is a higher chance of success when management accountants are involved in the implementation of an ERP system. There was a lot of frustration during the installation phase because the task is not simple. But in cases where deployments are effective, data quality improves, information is available more quickly and decision-making is enhanced. Also, the IT infrastructures in the country have been reported by respondents to be incapable of accommodating most of the new technologies (84.38%). Furthermore, the findings reveal that the performance and acquisition of the ERP system were constrained by a lack of enough and qualified personnel which makes it difficult to make the implementation of its at large scale (71.88%). The study concludes that the system is important to be adopted and applied not only in the mining sector but also in all sectors of the economy. According to the study, management accountants should be able to easily communicate with the management team and summarize and explain the results (the financial data's impact) in plain language. It is imperative that management accountants adopt a collaborative position with managers.
Author(s) Details:
Richard Mbogo,
Institute of Accountancy Arusha (IAA), P.O. Box 69007, Dar es
Salaam, Tanzania.
Juma Mshana,
Institute of
Accountancy Arusha (IAA), P.O. Box 69007, Dar es Salaam, Tanzania.
Please see the link here: https://stm.bookpi.org/CRBME-V2/article/view/13696
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