Organizational memory and the completeness of process modeling in ERP systems

Abstract

Enterprise resource planning (ERP) systems not only have a broad functional scope promising to support many different business processes, they also embed many different aspects of the company’s organizational memory. Disparities can exist between those memory contents in the ERP system and related contents in other memory media, such as individuals’ memories, and the organizational structure and culture. It is our contention that, in general, these disparities or memory mismatches, as we will refer to them, lead to under‐performance of ERP systems. In this paper we focus on potential memory mismatches that may arise with respect to the embedding of process knowledge within ERP packages. Packages such as SAP provide a varied and rich environment for process modeling. However, we suspect that there are still many instances where process knowledge is either lost or represented in different ways in different parts of the organization. As we will discuss, the results of such memory mismatches will often not become evident until the system is in use. The overall thrust of the paper is to identify a variety of concerns, intriguing questions and avenues for future research.