Usage of Enterprise Resource Planning Systems in Higher Education Institutions in Pakistan

Abstract

The purpose of this empirical study is to examine the usage of Enterprise Resource Planning Systems (ERPS) in Higher Education Institutes (HEIs). Recently, rapid growth in information technology services compels developing countries to emerge as an information-based society. This emergence corresponds with the calls of researchers to address ERPS (Abbas, 2011). However, there is a scarcity of efforts by researchers to identify the factors contributing to the usage of ERPS at the organisational, departmental and end-user layer in HEIs. To fill this gap, this research develops a Multi-Layer Usage Model (MLUM) to determine the factors of ERPS usage across the organisational, departmental and individual levels of HEIs. The theoretical foundation of this study is adapted from unified theory of acceptance and use of technology developed by Venkatesh et al (2003). The study is unique in many respects. Firstly, it offers a newly developed multi-level conceptual model that is tested empirically using three distinct questionnaires; one for each layer. A large primary dataset, 1317 responses, is collected through three questionnaire from 18 higher education institutions in Pakistan; 86 responses from the organisational layer, 143 from the departmental layer and 1088 from the end-user layer. Structural equation modelling is used to analyse the effect of factors at three layers contributing to the usage of ERPS. Furthermore, the models are refined by applying extensions of structural equation modelling. Results suggest that at the organisational layer human resource availability, tolerance for risks and conflicts, collegial support and collaboration and decision making and control are significant and contributed towards ERPS usage while at the end-user layer behavioural intentions and motivation were insignificant and were therefore, removed from the model. This study contributes to theory development regarding usage of innovations in the under-researched context of HEIs. It also provides indigenous manifestations of ERPS usage that may be used by policy-makers.