Development of A Framework For The Implementation of Sustainable Enterprise Resource Planning
Development of A Framework For The Implementation of Sustainable Enterprise Resource Planning
Development of A Framework For The Implementation of Sustainable Enterprise Resource Planning
A publication of
CHEMICAL ENGINEERINGTRANSACTIONS
VOL. 61, 2017 The Italian Association
of Chemical Engineering
Online at www.aidic.it/cet
Guest Editors:PetarSVarbanov, Rongxin Su, Hon Loong Lam, Xia Liu, Jiří J Klemeš
Copyright © 2017, AIDIC ServiziS.r.l.
ISBN978-88-95608-51-8; ISSN 2283-9216 DOI: 10.3303/CET1761255
Sustainable Enterprise Resource Planning (S-ERP) is an enterprise system that designed to integrate
sustainability activitiesbetween corporate sustainable business functions. This system enables practitioners to
effectively practice sustainability in an organisation. Systemanalyse und Programmentwicklung (SAP), Oracle,
and Microsoft have designed the S-ERP system for various types of industry. However, a number of
organisations still have a problem of implementing the S-ERP system as it is a multifaceted system that needs
managerial and technical skills to implement. Therefore, they need a master plan that provides a comprehensive
guidance for practitioners to implement this system. According to a literature, there is no available master plan
that assists the organisations to implement the S-ERP system. This issue will obstruct the implementation
process. Therefore, this issue motivates the researchers to develop an S-ERP master plan that encompasses
three parts: roadmap, framework, and guidelines. A study focused on the development of an S-ERP roadmap
has been performed in the earlier work entitled “A master plan for the implementation of sustainable enterprise
resource planning systems (part II): development of a roadmap” (Chofreh et al., 2016b). In addition, the S-ERP
roadmap has been evaluated in the work entitled “A master plan for the implementation of sustainable enterprise
resource planning systems (part III): evaluation of a roadmap” (Chofreh et al., 2016c).
Subsequently, this study aimed to summarise the development process of the S-ERP framework. This
frameworkwould give a comprehensive perspective to implement the S-ERP system. A conceptual research
method is used to develop this framework by reviewing two related areas on sustainability and Enterprise
Resource Planning (ERP) system implementation and exposing the knowledge gap. The literature revealed that
there are diverse dimensions considered in the sustainability and ERP implementation frameworks. These
dimensions are generally considered two main paradigms including sustainability paradigm and decisional
paradigm. The sustainability paradigm consists of three sustainability dimensions including environment, social,
and economic. The decisional paradigm consists of three decision-making levels in an organisation including
strategic, tactical, and operational. The S-ERP framework is developed by integrating these two paradigms and
unites them into one holistic structure. The breakdown of each component and level of the paradigms is
identified according to the relevant literature. Concisely, this framework would be a potential guidance for
practitioners to distinguish various perspectives that need to be considered for the S-ERP system
implementation. The framework hopefully can assist the practitioners to mitigate the problems during the S-ERP
system implementation.
1. Introduction
Sustainability notion has emerged since early of the 20 th century to solve the economic, environmental, and
social issues (Goni et al., 2015). This concept becomes well recognised after several policy documents have
been produced by international and local government, such as Brundtland Report, to assert the importance of
sustainability (Čuček et al., 2015). Through enforcement from the international and local government, various
organisations embed sustainability idea into their business strategy (Küçüksayraç, 2015).
Please cite this article as: Chofreh A.G., Goni F.A., Klemeš J.J., 2017, Development of a framework for the implementation of sustainable
enterprise resource planning, Chemical Engineering Transactions, 61, 1543-1548 DOI:10.3303/CET1761255
1544
Chofreh et al. (2014) stated that organisations face to segregation issuerelated tosustainability data and
activities. This problem effects on the ineffectiveness of managing the sustainability practices. To solve this
problem, therefore, a Sustainable Enterprise Resource Planning (S-ERP) system is introduced as a new
generation of an enterprise system. This system facilitates the practitioners to integrate the sustainable data
and activities across different business functions in an organisation.
Systemanalyse und Programmentwicklung (SAP), Oracle, and Microsoft have designed the S-ERP system for
various industries (Chofreh, 2015). However, the practitioners in organisations still have difficulty in
implementing this system since it is a massive and multifaceted system. It needs a combination of technological
and managerial skills to be implemented. Therefore, there is a need of a master planwhich has a role to direct
the practitioners in implementing the S-ERP system in organisations.
Chofreh et al. (2016a) have introduced the S-ERP system master plan in their previous work. The structureof
the master plan consists of three interlocking parts including roadmap, framework, and guidelines. The S-ERP
roadmap “provides stages that involve effective processes that need to be completed throughout the life cycle
of the project”. The S-ERP framework “refers to an essential structure underlying the dimensions that
demonstrate a perspective of an issue that has to be considered in S-ERP system implementation”. The S-ERP
guidelines “provide steps that determine a course of action for the completion of the S-ERP system
implementation”.
Chofreh et al. (2016b) have developed the S-ERP implementation roadmap. To complete the structure of the
S-ERP master plan, therefore, this study intends to develop the S-ERP framework. The next section presents a
review of prior studies in the related field. The methodology used to develop the framework is provided in Section
3. Section 4 explains the development process of the S-ERP roadmap. A conclusion of the study and
recommendation of potential research is described in Section 5.
2. Literature review
A research in S-ERP system field requires a multi-disciplinary area of works. The S-ERP research is also a new
topic, which has limited source of literature references (Chofreh et al., 2014). To develop the S-ERP framework,
therefore, this study reviews literature in three related fields including sustainability implementation framework,
ERP implementation framework, and decision-making levels. The explanation of each field is presented in the
sub-sections.
2.1 Sustainability implementation framework
According to Kobryn (2000), a framework is a conceptual structure for managing multifaceted topic. It consists
of main components and their relationship that show a method for a system development. Practitioners in
organisations need to have a framework to implement the S-ERP system. It should combinevarious key
dimensions that need to be considered in the system implementation.
This study reviews a number of existing sustainability implementation framework. Heemskerk et al. (2002)
identified a framework that aimed to design and manage sustainability reporting. In their study, they underscored
the importance of integrated sustainability management and reporting for an advancement of sustainability
practices in organisations. They, in addition, introduced numerous benefits of sustainability reporting for
organisations. The outcome of their study is a framework that provides two main processes including integrated
management process and sustainability reporting process.
British Standards Institution (BSI) (2003)proposed a sustainability transformation framework, which is named
as SIGMA management framework,to direct practitioners for transforming their organisations towards
sustainable future. This framework consists of a four-phase cycle to manage and incorporate sustainability
issues within core organisational processes.
Loorbach et al. (2009) observed a method to analyse sustainability transformation, which culminated into a
transformation management framework. They used a transition management theory and argued that
practitioners need to consider three transition management levels for the transforming their organisations
towards sustainability. These three transition management levels including strategic, tactical, and operational.
Ahmed and Sundaram (2012) proposed a sustainability transformation and reporting framework that includes
five interacted components. These components consist of discovering and learning, strategizing, designing,
transforming, and monitoring/controlling.
From the existing literature, it shows that there are various dimensions identified in the
sustainabilityimplementation frameworks. These dimensions generally considered two main paradigms
including sustainability paradigm and decisional paradigm. The sustainability paradigm is adopted from the
concept of a triple bottom line that comprises of three dimensions including environment, social, and economic.
The decision-making paradigm is adopted from the concept of decision-making levels in an organisation that
consist of strategic, tactical, and operational.
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3. Research methodology
This study applied a conceptual research method to develop an S-ERP implementation framework. This method
is generally used by numerous researchers in developing a conceptual framework. It relies mainly on the
literature including sustainability implementation framework, ERP implementation framework, and decision-
making levels to develop the structure of the S-ERP framework. The development process of the S-ERP
framework is provided in Figure 2.
dimension consists of some areas that need to be considered in completing the strategic and tactical goals and
objectives.
6. Conclusions
S-ERP system is necessary to be implemented by organisations in order to assist them in advancing
sustainability practices. This system enables the organisations to integrate sustainability data and activities
across all entities in the extended value chain. To implement this system, the practitioners need to be guided
by a coherent S-ERP system master plan. The master plan comprises of three interlocking components
including roadmap, framework, and guidelines. The aim of this study is to summarise the development process
of the S-ERP framework.
The development of the S-ERP framework was performed by applying a conceptual research method. In this
regard, numerous literature on sustainability implementation framework, ERP implementation framework, and
decision-making levels were reviewed in order to get an idea of formulating the structure of the framework. A
peer review method is applied to evaluate the usability of the framework.
Further studies need to be performed concerning the development and evaluation of S-ERP guidelines in order
to complete the formation of the S-ERP master plan. This master plan would benefit organisations in providing
guidance to implement the S-ERP system.
Acknowledgement
This research has been supported by the EUproject Sustainable Process Integration Laboratory – SPIL, funded
as project No. CZ.02.1.01/0.0/0.0/15_003/0000456, by Czech Republic Operational Programme Research and
Development, Education, Priority 1: Strengthening capacity for quality research.
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