Enterprise resource planning (ERP) system and supply chain performance a case study of joint medical stores

Abstract

The purpose of the study was to examine the effect of Enterprise Resource Planning (ERP) Systems and Supply Chain Performance using JMS as the case study. Specifically the study undertook to examine the effect of Enterprise Resource Planning system configuration, implementation and evaluation on supply chain performance at Joint Medical Stores. The study used a case study design adopting qualitative and quantitative approaches. Data was collected from a sample of JMS staff who were pharmacists, PDU, warehouse, customer care and logistics staff. The study found a positive significant relationship between ERP and supply chain performance and it was the most significant predictor of the variance in supply chain performance. The study found a positive significant relationship between ERP system implementation and supply chain performance at JMS implying that ERP system implementation positively affect supply chain performance especially where the staff use the system to complete reliable upstream supply chain data, distribution process management, retail and e-commerce as well as for back office activities and it was the second most significant predictor of the variance in supply chain performance at JMS. There was no significant relationship between ERP system evaluation and supply chain performance. To enhance medical supply chain performance, the management of JMS and related firms should Task the ERP developer/vendor to adequately identify user needs and configure the ERP software to support upstream supply chain undertakings, and distribution process management activities at JMS; task the Vendor to strengthen the ERP system reliability to provide consistent, real time and up to date data on medical supplies; recruit more ERP specialists to offer internal technical expertise for promptly trouble shooting ERP system failures.