Organisational Capacity and Implementation of Enterprise Resource Planning System Projects in the Security Industry in Kenya; a Case of Kenya Kazi Services (Kk) Security

Abstract

Successful ERP system adoption in organisations is very critical due to its benefits in automating organisational processes, reducing manpower, integrating departments and easier reporting. A lot of resources, finances, manpower and time go into ERP implementation, and therefore failure of the implementation project is not an option. The implementing company and the vendor put a lot of consideration into planning and executing the project in order to avoid failure of the implementation project. Researchers can as well use these documents for reference while doing research on ERP implementation topics or any related research. The study's intended population was personnel working on the administration and management levels at all the KK Security Company offices in Kenya. Stratified random sampling was used for proportional allocation after determining the sample size of 231 participants using the Krejcie and Morgan table. A questionnaire was administered to all the study participants after signing a consent form, and the data was managed and analysed using SPSS version 23 software. Frequency and summary statistics tables was used to describe the distribution of the data. Further analysis was conducted by performing correlation and using regression analysis to assess the impact of the explanatory variables on the implementation of the ERP system. The demographic analysis covers gender distribution, designations, education levels, age distribution, and years of service of the respondents. In the ERP project implementation section, mean and standard deviation assess organizational benefits, operational cost reduction, business process efficiency, decision-making improvement, customer service enhancement, and administrative staff reduction. The study explores organizational capacity, focusing on resource, technical, quality control, and infrastructure capacities. The regression analysis examines the relationship between ERP implementation and resource (0.897), technical (0.708), quality control (0.857), and infrastructure (0.604) capacities. The model demonstrates a high R² value (56.36%) and a low probability (2.13%) in the ANOVA table, indicating significant relationships. The coefficients highlight the impact of each capacity on ERP implementation. Chapter Five interprets the findings of a study exploring the relationship between Enterprise Resource Planning (ERP) System Projects and four independent variables: Resource Capacity, Technical Capacity, Quality Control Capacity, and Infrastructure Capacity. A diverse demographic profile of 112 respondents from the security sector is presented, emphasizing a predominantly male, well-educated workforce. ERP project implementation analysis reveals positive evaluations for organizational benefits, customer service improvement, and administrative staff reduction. However, mixed opinions exist on operational cost reduction and decision-making improvement, signaling potential areas for concern. Organizational capacity discussions highlight the significance of resource and technical capacities, recognizing competent ERP implementers and IT managers. Quality control capacity emphasizes clear user requirements analysis, while infrastructure capacity underscores the importance of compatible PCs and network bandwidth. The discussion delves into demographic insights, ERP project implementation nuances, and organizational capacity dimensions. Recommendations include tailored training programs, continuous improvement efforts, effective communication on ERP aspects, and regular employee assessments. Suggestions for further study propose comparative analyses across industries, in-depth evaluations of training preferences, and qualitative investigations into employee perspectives on ERP implementation. This comprehensive examination contributes valuable insights for organizations navigating ERP system projects