Improving enterprise resource planning (ERP) fit to organizational process through knowledge transfer

Critical to enterprise resource planning (ERP) implementation is the fit between the system and the processes in an organization. Knowledge about the ERP system must flow from those implementing the system and those responsible once in production. Effective knowledge transfer is assisted by the absorptive capacity of the learner and the competence of the knowledge holder, as reflected in the client and consultant relationship of this study. A model of transfer is composed from existing theories of learning to explain the roles played by the client through absorptive capacity and the consultant through competence. Survey data of CIOs in Taiwan confirm that transfer is improved with higher levels of capacity and competence, while the transfer process leads to a better fit between ERP systems and organizational processes. Management needs to foster the build-up of their internal knowledge stocks in order to stimulate the flow of knowledge transfer.