Evaluating The Value Of ERP In Healthcare

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Enterprise resource planning (ERP) is a centralized integrated computer system which contains various software specific programs such as, financing, distribution, human resources, and sales. During the 1990s, many organizations implemented ERPs to combine divergent and multifaceted internal and external operations (Grabski, Leech, & Schmidt, 2011). Research suggests that ERP systems and the implementation process has many positive aspects and respectively as many negative aspects. The purpose of this paper is to analyze the concept and interactions within ERP, evaluate the value of ERP in a healthcare setting, assess the impact of five major risks that Chief Information Officers (CIOs) should be aware of and be concerned of when implementing …show more content…

According to Garg & Agarwal (2014), there is great value in the successful implementation of ERP in a hospital. ERP systems are recognized as a great value to healthcare organizations; by means of, improved clinical information systems, administration management processes, patient care efficiency and effectiveness, information technology integration, monetary value, and governmental compliance and regulations (Poba-nzaou, Uwizeyemungu, Raymond, & Paré, …show more content…

As such, the CIO should consider various strategies to mitigate ERP system implementation risks. Research recommendations include, active involvement of top management and appointing a project champion; early involvement of subject matter experts (SMES), effective and efficient project management, and thoughtful appointing of ERP team members (Garg & Agarwal, 2014). To validate commitment, top management must actively participate in the project planning and implementing. The project champion will assist with encouraging the buy-in of staff resistant to the changes. Effective project management allows for efficient complex managing of internal and external staff, processes, and IT throughout the project; all of which must be completed on-time, within scope, quality product, and cost-effective. The ERP team must represent the most skilled employees throughout the organization. Successful ERP implementation is correlated to recruiting the correct individuals with intelligence, proficiencies, and capabilities (Garg & Agarwal,

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