The Enterprise System Experience— From Adoption to Success

173 For some 20 years after John Dearden wrote these words, history proved him right. Today, however, there is a booming market for software packages claiming to provide a total, integrated solution to companies’ information-processing needs. Even companies that choose not to adopt such packages are pursuing aggressive strategies of systems integration by redeveloping custom software and adopting technologies such as data warehousing. Integrated enterprise systems deserve serious research attention because of their great potential for financial, technical, managerial, human, and strategic benefits, costs, and risks. This chapter provides a theoretical framework for analyzing, both retrospectively and prospectively, the business value of enterprise systems. We first describe the historical context in which enterprise systems emerged. Next we identify the key characteristics of enterprise systems, discuss the reasons companies do and do not adopt them, and summarize arguments about why enterprise systems are an important topic for research. We then analyze enterprise systems in terms of the concept of success. We argue that the many facets of success create difficulties for