Alignment of Production Strategy with BPR in ERP Implementation for Performance Measurement in Continuous Manufacturing Industries



Nowadays, organizations in a competitive environment need an efficient and integrated system of resources in order to rich more quality and speed in product and service's delivery. One of the main problems to implement ERP is the lack of coordination and relevance with business process reengineering (BPR). Successful implementation of BPR inspired by strategic planning and top management support led to the successful implementation of the ERP and subsequently strong correlation with the results of performance evaluation in the organization which is the main objective of the study. In order to achieve the research objectives, experienced executives and experts of four companies working under continuous mass production (ZobAhan Esfahan, Sain Abhar, Goltash Esfahan and Paksan Tehran) were selected to answer the research instruments. The instruments have been used in this research were: Questionnaire to production strategic planning and reengineering business processes along with questionnaire to select and implement ERP application solutions and performance evaluation. The research data were analyzed using Pearson’s correlation coefficient test in LISREL 8.53.The results show that the standard correlation coefficient between the two concepts of performance measurement and production strategy is (0.90) which is in contrast to what the foreign papers show. Afterwards, the highest correlation between performance measures and ERP project is very close to the same number that is (89/0). This confirms a profound impact of successful selection and implementation of ERP on performance indicators of organization.