Study On The Implementation Of ERP System By TOC Methodology

There are many companies introducing enterprise resources planning (ERP) now. However there will be a lot of uncertain limitation factors during the achieving process. Releasing from academic research reports that many companies conduct ERP to improve their competitiveness, but unfortunately, most of them are failed in implementing ERP. Therefore, a successful ERP implementation must be managed as a program of wide-ranging organizational change rather than a software installation effort. Aiming at exploiting the Theory of Constraints (TOC), a kind of thinking process and methodology, this paper try to construct a systematic framework and implementation procedure of the ERP project management as a guideline to assist enterprises to implement their ERP system successfully.The systematic thinking of TOC emphasized that the maximum output will be decided by the weakest linkage in any specific system. The weakest linage or any other weak linkage is so-called the"constraint"of the system (Goldratt, 1992).In this paper, I will try to identify and find out the constraints within ERP implementation procedure of the ERP project, and then try to manage these constraints within it.This paper try to offer a solution that will help the enterprises to manage ERP project, through the proposed ERP project implementing framework and procedure by TOC methodology. In doing this, they can not only avoid failure risk but also reduce a lot of time and make cost savings to implement the ERP systems.