Firm and Employee Effects of an Enterprise InformationSystem: Micro-econometric Evidence

We investigate the impact of adopting an enterprise resource planning (ERP) system onperformance changes and employee outcomes in a retail chain. We find that: (i) sales andinventory turnover initially drop by 7 % and recover in 6-12 months; (ii) inventory turnoverrecovers more quickly for establishments that adopt ERP later; (iii) employee outcomes,including increased workload, greater job difficulty and enhanced multitasking, varysignificantly over time, though implications for employee welfare are ambiguous....