Effects of Enterprise Resource Planning Implementation on Private Universities: A Case Study of St. Paul’s University, Limuru in Kenya

Abstract

There is an increasing trend cross the world that is showing a rapid use of information technology in universities. These institutions are changing from traditional way of doing things in order to improve on their levels of efficiency and another advantage derived is that the work becomes less tedious. It is as a result of theses that universities have progressively implemented one form or another of enterprise resource planning (ERP) to manage their academic and management needs. The question that one can ask is why are universities turning to ERP systems? This can simply explain by stating that their and increasing demand on management to deliver high quality service as well as improve on their productivity levels; the systems bring a high degree of efficiency and increasing recognition that information is vital for decision making especially in the current competitive and ever dy7namioc environment that universities are operating on. The purpose of this study was to investigate the effects of ERP implementation on the performance of private universities in Kenya. The objectives of the study were to investigate the effects of ERP implementation on the financial performance, the management’s performance and on student administration. This study employed descriptive research design since it involve as in-depth investigation on particular firm. The researcher targeted the teaching staff, non-teaching staff and the students. The researcher targeted 19 members of the teaching staff, 17 non-teaching staff and 289 students. Purposive sampling was used for the teaching staff while random sampling was used on the non-teaching staff and students. This researcher used the questionnaires as the data collection instruments. Statistical package for social science (SPSS) we used to analyze the data collected from the field. Descriptive statistics was presented in frequency tables, bar graphs and percentages. The key findings of the study indicated that the system was of benefit to the various stakeholders in the university under study. According to 70% of the students who participates in the research stated that with ERP the process of learning as well as various processes has been enhanced. According to the lectures more than 50% of them were in agreement that the software was had been of great assistance in carrying out their duties. From the management perspective 86% of them stated that the finance module was a great idea and it was benefit in the area of finance management as well as giving the organization a strategy. The study concluded that it was important for a learning institution to be able to embrace information technology and adoption of an ERP that suits the needs of any organizations a worth investment in this day and age. The study recommended that the organization continuous to use the system as well as embrace any changes that it brings in its operating environment and in the course of time upgrade to higher versions as they come for as long as they are relevant. The findings of the study clearly indicated that there is a positive relationship between the implementation of the system and the set objectives of the study. This study will benefit institutions of higher learning that are yet to be embrace the system after they consider the benefits that can be derived from having it in operation.