An Assessing Model for Measuring ERP Benefit

Abstract

Based on the Contingency theory, using the Balanced Scorecard method, the authors first set up a set of model to measure the performance of ERP from four levels including standard, region, industry and personalization, and then design a specific system for measuring the effectiveness of ERP users. The system uses composite index measurement, which not only takes qualitative indexes into quantitative, but also quantifies the qualitative indexes as many as possible, such as the introduction of user satisfaction obtained from the questionnaire. By doing so, this study overcomes the shortcomings of too simple for some measuring models. Meanwhile, the article uses principal component analysis when measuring the weight of indexes, thus avoid the defects of relying solely on experience. So this set of index systems has great practice.