The Determinant of Adoption of Enterprise Resource Planning for Small and Medium Enterprises in Iran

The enterprise resource planning system (ERP) is a new class of packaged application software that has been appeared through the past decade, seemingly merging under a same banner with several of the largest software firms. These packaged software solutions tries to complete the range of a business's functions and process to be able to present a whole view of the business from singular information technology (IT)architecture. The small and medium size enterprise (SME) does not possess sufficient financial and human recourse, in comparison to the large size organizations; hence, it will not allow them to have a sufficient chance to compete with powerful competitors, in a business environment. However, the adoption rate of ERP in Iran is still in the beginning stage with not many adopters. As a result, this study focuses on the adoption of ERP among Iran companies. Seven factors were identified as determinants of ERP adoption by combining the two widely applied IT theories i.e.Diffusion on Innovation (DOI) and Technology-Organization-Environment (TOE) framework. In the future with eight factors we will conduct survey, factor analysis and logistic regression to determine factors affecting ERP adoption