Enhancing operational efficiency and customer-centric practices through ERP adoption in South African construction SMEs

Abstract

This study aims to identify and assess the factors affecting ERP deployment in South African SMEs within the construction sector, intending to offer insights that better decision-making, improve operational efficiency, and fulfil customer expectations. A quantitative research methodology was utilised, employing a probability sampling procedure to guarantee equitable opportunity for sample selection. The researcher performed a comprehensive literature study to pinpoint knowledge deficiencies and employed data analysis techniques, such as descriptive statistics, reliability assessments, exploratory factor analysis, and normality evaluation. The research indicated that South African SMEs in the construction sector must assess essential elements prior to adopting an ERP model. The components encompass evaluating client requirements, analysing the experiences of current ERP system users, comprehending system maintenance necessities, and predicting anticipated performance results. The results offer practical suggestions for construction SMEs seeking to use ERP systems. By concentrating on the highlighted pivotal aspects, enterprises can improve their ERP implementation processes, mitigate operational inefficiencies, and more effectively match with customer and sustainability requirements.  This research enhances the scarce understanding of ERP implementation obstacles in South African construction SMEs. It offers a distinct viewpoint on how strategic ERP implementation can enhance operational efficiencies and facilitate sustainable growth practices within the sector.

Keywords: {'name': 'Construction, Enterprise Resource Planning, Operational Efficiency, Customer centric, Benefits'}

Authors & affiliations

Tshepo Mabotja
University of South Africa (UNISA)

Makhosi Maphanga
University of South Africa

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