Kalkidan Melaku Assignment 2
Kalkidan Melaku Assignment 2
May, 2022
Addis Ababa, Ethiopia
Acknowledgment
I would like to express my gratitude and appreciation to my course instructor Dr. Fikre Y. Wondimu
for sharing their pearls of wisdom and knowledge during this course and giving us this assignment
with the guidelines and all the support we required. I thank you for giving me the opportunity to
practice critical thinking and forward what I have learned.
Question – 1
What are the main challenges associated with implementing fully-fledged ERP, CRM, and SCM
systems?
Answer - 1
Although the potential business benefits of customer relationship management are many this
benefits are not guaranteed and, instead, have proven elusive at many companies. Surveys by
industry research groups include a report that more than 50 percent of CRM projects did not
produce the results that were promised. In another research report, 20 percent of businesses
surveyed reported that CRM implementations had actually damaged long-standing customer
relationships. The common wisdom of why CRM systems fail includes:
Lack of senior management sponsorship
Improper change management
Elongated projects that take on too much, too fast
Lack of or poor integration between CRM and core business systems
Lack of end-user incentives leading to poor user adoption rates
Despite the above, research shows that the major reason for CRM failure is a familiar one: lack of
understanding and preparation.
For example, in many cases, failed CRM projects were implemented without the participation of the
business stakeholders involved. Therefore, employees and customers were not prepared for the new
processes or challenges that were part of the new CRM implementation.
ERP serves as a cross-functional enterprise backbone that integrates and automates many internal
business processes and information systems within the manufacturing, logistics, distribution,
accounting, finance, and human resource functions of a company.
An ERP implementation involves people as well as technology. Accordingly, it may face people-
related challenges, such as resistance to change, as well as technical obstacles. Common ERP
implementation challenges include:
In managing information technology resources what are the main challenges facing IT managers
and what are the success factors that managers should embrace to meet the organizational goals?
The Success Factors That Managers Should Embrace To Meet the Organizational
Goals:
Business focus
Adaptability
Organizational cohesion
Entrepreneurial culture
A sense of integrity
Hands-on top management