Challenge and Success Factors of Enterprise Resource Planning System in East Region Ethio Telecom

The purpose of this study was assessing the challenges and Success Factor of the ERP system in Ethio Telecom with the special emphasis to East Region. This study gathered by quantitative approach by applying structured questionnaires. In this regard the study used both primary and secondary data. Census method of inquiry was employed through distributing 100 questionnaires to all managerial (manager and supervisor) and non-managerial (specialist and staffs) employees of human recourse, sourcing and supply chain and finance divisions. Data Analysis was done using descriptive statistics and econometric model called multiple linear regression. To analyze the challenges of the ERP system deployment in East Region Ethio Telecom descriptive statistics such as frequency and percentage were used. Thus, the result also indicates there is a high level of respondents’ agreement on the challenges of ERP system deployment in East Region Ethio telecom. All of the critical success factors were found to have positive and significant correlation with the dependent variable (ERP system success). The ANOVA test result showed that, the value of R and R2 obtained under the model summary was statistically significant. The multiple linear regression analysis result shows that, all coefficient of independent variables (top management support, change management, communication, teamwork and composition, training and education, user involvement, effective project management, and vendor support) have a positive sign and statistical significant relationship with ERP system success in East Region Ethio telecom. As a result, the top management of ethio telecom in general and east region in particular should give attention to improve success factor and reduce challenges of the ERP system.