5. Aloini et al. (2007) - ERP Risk Management Review
1. Abstract
Purpose: To analyze existing literature on Enterprise Resource Planning (ERP) projects
to identify key risk factors, their relevance during the project life cycle, and their impact
on success.
Design: A structured literature review of approximately 75 peer-reviewed papers
published between 1999 and mid-2000s, classified by research aim, sector, type, and
methodology.
Main Idea: ERP projects are distinct from standard software projects due to high
organizational impact; successful implementation requires managing specific strategic
and managerial risks that arise early in the life cycle.
2. Models & figures
Figure 6 (Risk factors, effects and project failure): A comprehensive model mapping
19 identified risk factors (e.g., inadequate selection, poor team skills) to specific effects
(e.g., budget/time exceed) and finally to four failure categories: Process, Expectation,
Interaction, and Correspondence failure.
Table 2 (Top 10 risk factors): A frequency analysis showing the most cited risks are
"Inadequate ERP selection," "Ineffective strategic thinking," and "Ineffective project
management techniques".
Figure 5 (ERP life cycle): Aggregates project stages into three phases: Concept
(strategic planning/selection), Implementation (deployment/stabilization), and Post-
implementation (progress/evolution) to locate where risks occur.
3. Main conclusions
Strategic vs. Technical: The most critical risk factors are managerial and strategic
(e.g., selection and planning) rather than purely technological; issues like "Inadequate
Selection" appear most frequently.
Early Onset: The majority of critical risks (e.g., strategic planning, selection,
management involvement) manifest in the early "Concept" phase, having pervasive
effects throughout the project.
Research Gaps: There is a significant lack of literature regarding specific risk treatment
strategies and research specifically focused on Small and Medium Enterprises (SMEs).
Figures & Tables
,
,
, 6. Ouchi (1979) - Conceptual Framework for
Organizational Control
1. Abstract
Purpose: To describe three fundamentally different mechanisms—Markets,
Bureaucracies, and Clans—through which organizations cope with the problem of
evaluation and control.
Main Idea: Organizations use these mechanisms to solve the problem of obtaining
cooperation among individuals with partially divergent objectives, with the choice of
mechanism depending on social and informational prerequisites.
2. Models & figures
Table 1 (Social and Informational Prerequisites): Compares the three control types
based on requirements.
Market: Requires only a "Norm of Reciprocity" and "Prices" (informational).
Bureaucracy: Requires Reciprocity plus "Legitimate Authority" and uses "Rules."
Clan: Most demanding socially (requires Reciprocity, Authority, and "Shared
Values/Beliefs") but least demanding informationally ("Traditions").
Table 2 (People Treatment): Links recruitment/management style to employee
commitment.
Market: Totally unselective; relies on "Internalization" (self-interest).
Bureaucracy: Relies on monitoring; produces "Compliance."
Clan: Relies on strict selection and socialization; produces "Identification" or
"Internalization" of values.
Table 3 (Conditions Determining Measurement): A 2x2 matrix determining the
appropriate control based on "Ability to Measure Outputs" and "Knowledge of
Transformation Process".
High Output Measure + High Process Knowledge: Behavior or Output control
(e.g., Tin Can Plant).
High Output Measure + Low Process Knowledge: Output measurement (e.g.,
Boutique).
Low Output Measure + High Process Knowledge: Behavior measurement (e.g.,
Apollo Program).
Low Output Measure + Low Process Knowledge: Clan control (Ritual and
Ceremony) (e.g., Research Lab).
3. Main conclusions
1. Abstract
Purpose: To analyze existing literature on Enterprise Resource Planning (ERP) projects
to identify key risk factors, their relevance during the project life cycle, and their impact
on success.
Design: A structured literature review of approximately 75 peer-reviewed papers
published between 1999 and mid-2000s, classified by research aim, sector, type, and
methodology.
Main Idea: ERP projects are distinct from standard software projects due to high
organizational impact; successful implementation requires managing specific strategic
and managerial risks that arise early in the life cycle.
2. Models & figures
Figure 6 (Risk factors, effects and project failure): A comprehensive model mapping
19 identified risk factors (e.g., inadequate selection, poor team skills) to specific effects
(e.g., budget/time exceed) and finally to four failure categories: Process, Expectation,
Interaction, and Correspondence failure.
Table 2 (Top 10 risk factors): A frequency analysis showing the most cited risks are
"Inadequate ERP selection," "Ineffective strategic thinking," and "Ineffective project
management techniques".
Figure 5 (ERP life cycle): Aggregates project stages into three phases: Concept
(strategic planning/selection), Implementation (deployment/stabilization), and Post-
implementation (progress/evolution) to locate where risks occur.
3. Main conclusions
Strategic vs. Technical: The most critical risk factors are managerial and strategic
(e.g., selection and planning) rather than purely technological; issues like "Inadequate
Selection" appear most frequently.
Early Onset: The majority of critical risks (e.g., strategic planning, selection,
management involvement) manifest in the early "Concept" phase, having pervasive
effects throughout the project.
Research Gaps: There is a significant lack of literature regarding specific risk treatment
strategies and research specifically focused on Small and Medium Enterprises (SMEs).
Figures & Tables
,
,
, 6. Ouchi (1979) - Conceptual Framework for
Organizational Control
1. Abstract
Purpose: To describe three fundamentally different mechanisms—Markets,
Bureaucracies, and Clans—through which organizations cope with the problem of
evaluation and control.
Main Idea: Organizations use these mechanisms to solve the problem of obtaining
cooperation among individuals with partially divergent objectives, with the choice of
mechanism depending on social and informational prerequisites.
2. Models & figures
Table 1 (Social and Informational Prerequisites): Compares the three control types
based on requirements.
Market: Requires only a "Norm of Reciprocity" and "Prices" (informational).
Bureaucracy: Requires Reciprocity plus "Legitimate Authority" and uses "Rules."
Clan: Most demanding socially (requires Reciprocity, Authority, and "Shared
Values/Beliefs") but least demanding informationally ("Traditions").
Table 2 (People Treatment): Links recruitment/management style to employee
commitment.
Market: Totally unselective; relies on "Internalization" (self-interest).
Bureaucracy: Relies on monitoring; produces "Compliance."
Clan: Relies on strict selection and socialization; produces "Identification" or
"Internalization" of values.
Table 3 (Conditions Determining Measurement): A 2x2 matrix determining the
appropriate control based on "Ability to Measure Outputs" and "Knowledge of
Transformation Process".
High Output Measure + High Process Knowledge: Behavior or Output control
(e.g., Tin Can Plant).
High Output Measure + Low Process Knowledge: Output measurement (e.g.,
Boutique).
Low Output Measure + High Process Knowledge: Behavior measurement (e.g.,
Apollo Program).
Low Output Measure + Low Process Knowledge: Clan control (Ritual and
Ceremony) (e.g., Research Lab).
3. Main conclusions