ERP evaluation during the shakedown
phase: lessons from an after-sales division
Lotta Häkkinen* & Olli-Pekka Hilmola
†
*Turku School of Economics, Business Research and Development Centre,
Rehtorinpellonkatu 3, FIN-20500 Turku, Finland, email: lotta.hakkinen@tse.fi,
†
Lappeenranta University of Technology, Kouvola Research Unit, Prikaatintie 9,
FIN-45100 Kouvola, Finland, email: olli-pekka.hilmola@lut.fi
Abstract. Integrated information systems and operational efficiency are both
pivotal issues for contemporary firms. While there is substantial evidence that
enterprise resources planning (ERP) systems can deliver related improvements,
the implementation of these systems can turn out to be a very complex and risky
task. One key aspect of managing these risks is maintaining operational momen-
tum and preventing possible problems from escalating in the so-called shakedown
phase shortly after system implementation. The objective of this paper is to
examine how user evaluations of ERP system success could be used to trace
down the source of potential problems, which can arise during the shakedown
phase, and how and why experienced system success might vary between differ-
ent user groups. The paper builds on a case study completed in the after-sales
division of a large multinational organization. This context is considered a fruitful
empirical setting for the study as the business sets enormous demands for ERP
system functionality and its smooth implementation. Based on the case study, it is
argued that in such a context the importance of sufficient user skills, data reliability
and intra-organizational communication becomes emphasized in the ERP imple-
mentation process. Moreover, results illustrate how downstream operations and
customer relations are particularly vulnerable to problems accumulated in
upstream business processes. Related problems can potentially form a self-
fulfilling cycle, where the lack of skills and information constantly deteriorates both
user perceptions and actual operational performance.
Keywords: ERP systems, IS evaluation, shakedown phase, case study
INTRODUCTION
Enterprise resources planning (ERP) systems have become common in contemporary orga-
nizations operating in demanding business environments. The underlying idea of ERP is to use
doi:10.1111/j.1365-2575.2007.00261.x
Info Systems J (2008) 18, 73–100 73
© 2007 The Authors
Journal compilation © 2007 Blackwell Publishing Ltd