Abstract

Prior studies have suggested that Small and Medium Enterprises (SMEs) have unique characteristics that impact their ability to successfully implement enterprise systems. This paper analyzes three modes of delivery for enterprise systems: integrated ERP, Best of Breed (BoB), and Software as a Service (SaaS), and determines how well these delivery modes are aligned with the requirements of SMEs. An analysis of prior research on enterprise systems and SMEs suggests the integrated ERP approach may yield several additional benefits compared to the BoB and SaaS approaches for SMEs. The analysis framework presented can be used to guide the selection of appropriate enterprise systems delivery mechanisms for SMEs and ultimately help improve their effectiveness.

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