A FPN Based Risk Assessment Model for ERP Implementation in Small and Medium Enterprises

This research brings out a risk assessment model by selecting certain critical pitfalls related to the implementation phase of Enterprise Resource Planning (ERP) in Small and Medium Enterprises (SMEs). The model can be used to predict the impact of risk that will lead to the failure of ERP implementation. This paper is a part of the continuing research in assessing the ERP decisions for SMEs which involved five phases namely planning, acquisition, implementation, usage & percolation and extension. SMEs are subject to ERP implementation risks. These risks have been identified based on extensively referring to earlier research and the associated components for preparing the assessment model are defined. Formulation of rules for risk assessment is based on the concept and application of Fuzzy Petri Nets (FPN). Then the model is developed as a tool using the visual basic application. This paper attempts to use FPN due to the simple and efficient ability to quantitatively evaluate the risks inherent in the implementation phase of ERP adoption by SMEs