The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet

The objective of this study was to examine the impact of cultural differences and to identify solutions to challenges they cause in multinational ERP projects, with a particular focus on project management and financial management. While ERP implementations have been extensively researched over the...

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Main Author: Voutilainen, Leevi
Other Authors: Jyväskylä University School of Business and Economics, Jyväskylän yliopiston kauppakorkeakoulu, University of Jyväskylä, Jyväskylän yliopisto
Format: Master's thesis
Language:eng
Published: 2024
Subjects:
Online Access: https://jyx.jyu.fi/handle/123456789/99118
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author Voutilainen, Leevi
author2 Jyväskylä University School of Business and Economics Jyväskylän yliopiston kauppakorkeakoulu University of Jyväskylä Jyväskylän yliopisto
author_facet Voutilainen, Leevi Jyväskylä University School of Business and Economics Jyväskylän yliopiston kauppakorkeakoulu University of Jyväskylä Jyväskylän yliopisto Voutilainen, Leevi Jyväskylä University School of Business and Economics Jyväskylän yliopiston kauppakorkeakoulu University of Jyväskylä Jyväskylän yliopisto
author_sort Voutilainen, Leevi
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description The objective of this study was to examine the impact of cultural differences and to identify solutions to challenges they cause in multinational ERP projects, with a particular focus on project management and financial management. While ERP implementations have been extensively researched over the past decades, studies addressing specifically the effects of cultural differences remain limited. Particularly case studies including multiple countries have been relatively rare. This master’s thesis began with a literature review, which provided the basis for a qualitative case study. The theoretical framework was constructed using Geert Hofstede’s dimensions of national culture and a selection of the most cited critical success factors (CSFs) in ERP literature. The study was conducted as an assignment for the Finnish multinational corporation Valmet, focusing on the company’s global ERP program Leap Forward. The research examined ERP implementations in the selected target countries China and the United States by interviewing individuals who had participated in ERP projects in these countries. More than half of the interviewees had been involved in ERP projects in both target countries, enabling not only a detailed analysis of each country but also a comparison of the two cultures. The findings highlight the influence of cultural differences on multinational ERP projects. Additionally, the study revealed the remarkable cultural differences between China and the United States and their impact on ERP implementations. As an example, the best practices for change management differed considerably between the two countries: in China top management was the primary target for change management, whereas in the United States, change management was important to implement at all levels of the organization. The results of this research highlight the importance of including cultural considerations into multinational ERP projects. Tämän tutkimuksen tavoitteena oli tarkastella kulttuurieroja ja löytää ratkaisuja niiden aiheuttamiin haasteisiin monikansallisissa ERP-projekteissa erityisesti projektinhallinnan ja taloushallinnon näkökulmista. Vaikka ERP-käyttöönottoja on tutkittu laajasti viimeisen vuosikymmenten aikana, kulttuurierojen vaikutuksiin liittyvää tutkimusta on toistaiseksi tehty rajallisesti. Erityisesti useita maita kattavia tapaustutkimuksia on julkaistu varsin vähän. Tässä pro gradu -työssä aihetta lähestyttiin kirjallisuuden avulla ja toteuttamalla laadullinen tapaustutkimus. Tutkimuksen teoreettinen viitekehys rakentui Geert Hofsteden lanseeraamista kansallisen kulttuurin ulottuvuuksista sekä joukosta ERP-tutkimuskirjallisuuden siteeratuimpia kriittisiä menestystekijöitä (CSF). Tutkimus toteutettiin toimeksiantona suomalaiselle suuryritykselle Valmetille, ja sen kohteena oli yrityksen globaali ERP-ohjelma Leap Forward. Tutkimuksessa tarkasteltiin kohdemaiksi valikoituneiden Kiinan ja Yhdysvaltain ERP-käyttöönottoja haastattelemalla näiden maiden käyttöönotoissa työskennelleitä henkilöitä. Haastateltavista yli puolet oli osallistunut molempien kohdemaiden ERP-projekteihin, mikä mahdollisti paitsi maiden kulttuurien erillisen tarkastelun, myös niiden keskinäisen vertailun. Tutkimuksen tulokset korostavat, kuinka merkittävä rooli kulttuurieroilla on monikansallisissa ERP-projekteissa. Lisäksi tutkimuksessa nousi esiin Kiinan ja Yhdysvaltain kulttuurien suuri erilaisuus ja sen vaikutus ERP-käyttöönottoihin. Esimerkiksi muutosjohtamisen parhaat käytännöt erosivat huomattavasti maiden välillä: Kiinassa muutosjohtaminen oli syytä kohdistaa erityisesti ylimpään johtoon, kun taas Yhdysvalloissa muutosjohtamista oli tärkeää tehdä kaikilla organisaation tasoilla. Tutkimuksen tulokset osoittavat, että kulttuuriset tekijät on tärkeää ottaa huomioon monikansallisissa ERP-hankkeissa.
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spellingShingle Voutilainen, Leevi The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet Accounting and Corporate Finance Laskentatoimi ja yritysrahoitus
title The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
title_full The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
title_fullStr The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
title_full_unstemmed The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
title_short The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
title_sort impact of cultural differences on management of global erp implementation projects case valmet
title_txtP The Impact of Cultural Differences on Management of Global ERP Implementation Projects: Case Valmet
topic Accounting and Corporate Finance Laskentatoimi ja yritysrahoitus
topic_facet Accounting and Corporate Finance Laskentatoimi ja yritysrahoitus
url https://jyx.jyu.fi/handle/123456789/99118 http://www.urn.fi/URN:NBN:fi:jyu-202412197927
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