Challenges Faced By Kenyan Deposit Taking Savings And Credit Cooperative Societies (Saccos) In The Deployment Of Enterprise Resource Planning (Erp) Systems

Abstract

ERP systems help a company achieve competitive advantage. Despite the promises and the continued popularity of ERP Systems, evidence demonstrates that there are challenges that face their deployment. The study purposes to investigate the challenges facing the deployment of ERP systems. The objective of the study was to investigate the challenges facing the deployment of ERP systems by SACCOs in Kenya. The specific objectives were: to determine the challenges encountered in the procurement of ERP systems by Kenyan SACCOs; to determine the challenges in business process re-design in the deployment of ERP systems by Kenyan SACCOs; to determine the human resource challenges deployment of ERP systems by Kenyan SACCOs; to investigate the challenges in the integration of various ERP systems to business functions by Kenyan SACCOs. A descriptive research design was employed. The target population was the 176 deposit taking SACCOs licensed by SASRA. Simple random sampling was used to select the sample of 60 SACCOs. Data was collected by the use of a questionnaire. Out of the 60 questionnaires sent, 51 questionnaires were filled therefore representing a 85% response rate. Quantitative was analysed through Descriptive analysis. Qualitative data was analysed qualitatively through content analysis. Results were presented in form of tables and graphs. Frequency tables, cumulative percentage tables, bar charts; pie charts were used to present the findings. The study concludes that inco-operation of technology in SACCO operations has seen SACCOs improve efficiency, curb fraud and improve service efficiency to clients. The study recommends that organization’s management must strive to improve employees’ knowledge and skills to ensure successful ERP deployment.