Social knowledge transfer and social network influences on enterprise resource planning systems implementation

Current research on technology acceptance and implementation has primarily focused on understanding user acceptance of independent systems at the individual user level. These studies are not very relevant in understanding the factors that influence the successful implementation of Large Scale Integrated (LSI) systems such as Enterprise Resource Planning (ERP). Prior research has indicated that the implementation of LSI systems require considerable knowledge transfer and coordination among its users. We believe social relationships in the organizational workplace shape these knowledge transfers and thus affect the extent to which a new system is successful. Using Social Network Theory which focuses on the relationships between individuals in an organization and their interaction patterns, we examine the extent to which these knowledge transfers through social relationships have a significant impact on system success.;We expect users having a large number of relationship ties within their organizational unit to be able to acquire knowledge regarding the LSI system more effectively than their less connected colleagues, thereby enabling them to integrate the system more effectively into their work routines. Likewise, organizational units characterized by close and dense ties among its employees would have rapid and efficient knowledge flows that serve to lower knowledge barriers, and facilitate user learning; thus the unit as a whole is able to better utilize the LSI system in their business processes.;We collected data at two points in time from a large organization that implemented an ERP system. We found strong support for our ideas. Users who occupied central positions within the network felt that the system impacted their work practices more than those users who were peripheral to the network. Organizational units that had dense ties and were less centralized were more successful in implementing the system. Thus we find support for our contention that social network structures shape technology related knowledge flows within organizations, and hence influence the success of LSI system implementation.