The successful implementation of Enterprise Systems (ES) in large companies to manage the logistics processes has spiked the interest for small and medium enterprise (SME) to consider implementation. However, given the relatively low capital and relatively high failure rate of small companies, the feasibility of utilizing and implementing such a system in small companies to manage logistics activities is in question. A method to examine the feasibility of implementing full scale ES for small companies based on the company resources, needs and readiness will assist small businesses in decision making and reduce the risk of failure. The objective of this study is to establish main adoption drivers to select information technologies that assists small companies to determine the feasibility of implementing full scale systems and the necessity to utilize a custom-made software system to manage logistics activities when an ES implementation is not feasible. A survey was administered to small companies in Mexico to identify the critical factors in implementing an ES, including the technology, organization, economic and operational requirements, and the readiness of the small company. Preliminary results show that small companies in Mexico tend to adopt these systems based on recommendations and advice; economic and operational feasibility were not part of the decision.
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Félix-Eduardo Bueno-Pascual (2023) studied this question.
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