Holistic Approach in ERP Systems: Human, Technology and Process Integration
Chapter from the book: Başarır, Ç. & Yılmaz, Ö. (eds.) 2025. Human in the Data Age: The Future of Social Sciences.

Cemalettin Hatipoğlu
Bandırma Onyedi Eylül University

Synopsis

In the hyper-competitive business world of the twenty-first century, the survival of organizations relies heavily on the capability to collect, process, and transform data into strategic action; in this context, Enterprise Resource Planning (ERP) systems are positioned as the "central nervous system" of enterprises. However, ERP literature and practical applications are characterized by a disturbing "Implementation Paradox"; although organizations make massive investments reaching up to six percent of their net profits to maintain their competitiveness, 90% of projects exceed budget and time targets, while 67% fail to meet the targeted functional requirements. The root cause of these high failure rates is rarely the technology itself; the main issue is the lack of integration among the elements of People, Technology, and Process, known as the "Golden Triangle" of the business. Standard and "off-the-shelf" ERP packages often impose rigid "Best Practice" templates based on an assumption of specific industrial homogeneity. These rigid structures create a structural misalignment with operational reality in sectors where processes are highly fluid and dynamic, such as Engineer-to-Order (ETO) or retail. For instance, in the ETO sector where design can change even after production has started, the demand of standard ERPs for static data turns the system into a burden rather than a facilitator. These technical mismatches condemn employees to non-system manual tracking and spreadsheets ("Shadow IT"), thereby sabotaging the "Single Source of Truth" principle, which is the fundamental promise of ERP.

Nevertheless, the most critical and most frequently overlooked dimension of failure is the human factor; because no matter how flawless the technical architecture is, a system not adopted by users is worthless. Resistance encountered in ERP projects goes beyond simple reluctance and is rooted in deep psychological factors such as a lack of "computer self-efficacy," fear of status loss, and the anxiety that automation will take over their jobs ("Fear of Obsolescence"). When employees perceive the system as a threat to their current routines or merely as a control mechanism, they may demonstrate "passive non-compliance" by disrupting data entry or resort to "active rejection" to discredit the system. Therefore, a successful integration strategy requires rejecting the "if we build it, they will use it" approach and adopting a management mentality where leaders are not just sponsors but active "Change Agents" solving problems in the field. Communication strategies must explain to employees not only "How" to press a button but also "Why" accurate data is vital for the company's competitiveness and their own futures. Consequently, ERP integration is not a technical project ending with a specific "Go-Live" date; it is a dynamic and continuous organizational journey requiring the constant alignment of human capabilities, technological tools, and business processes, potentially where the core system is extended with "custom-designed modular tools" ("Composable Enterprise").

How to cite this book

Hatipoğlu, C. (2025). Holistic Approach in ERP Systems: Human, Technology and Process Integration. In: Başarır, Ç. & Yılmaz, Ö. (eds.), Human in the Data Age: The Future of Social Sciences. Özgür Publications. DOI: https://doi.org/10.58830/ozgur.pub1026.c4114

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Published

December 26, 2025

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