Transforming public sector operations with enterprise resource planning: Opportunities, challenges, and best practices

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Abstract

The public sector has long been criticized because the private sector is often considered more advanced and efficient in achieving its goals. Technological improvements in the public sector are needed to provide benefits to the wider community, one of which is by adopting systems used by advanced companies such as enterprise resource planning (ERP) systems. The purpose of this research is to provide insight into how ERP systems can be used to provide improvements in the public sector. This article uses a systematic literature review to synthesize the benefits and challenges and provides examples of best practices for implementing an ERP system in the public sector. The results show that ERP stands as an essential technical solution to achieve accountability and transparency in the public sector. The public and private sectors differ in the accessibility and disposal possibilities of resources, thus to overcome these challenges, the public sector needs to be guided by the implementation of best practices. The relatively low number of available Scopus-indexed research articles that focus on ERP in the public sector shows that the ERP literature has not developed well in the public sector.

Keywords: ERP Software, Enterprise Resource Planning, Public Sector Organizations, Systematic Literature Review

Authors’ individual contribution: Conceptualization — G.T.P.; Methodology — G.T.P., A.I., A.B.H., R.A.T., and T.S.S.; Validation — G.T.P. and A.I.; Formal Analysis — G.T.P., A.B.H., R.A.T., and T.S.S.; Investigation — G.T.P., A.B.H., R.A.T., and T.S.S.; Resources — G.T.P. and A.I.; Data Curation — G.T.P., R.A.T., and T.S.S.; Writing — Original Draft — A.B.H., R.A.T., and T.S.S.; Writing — Review & Editing — G.T.P.; Visualization — A.B.H.; Supervision — G.T.P.; Project Administration — A.I. and A.B.H.

Declaration of conflicting interests: The Authors declare that there is no conflict of interest.

JEL Classification: D73, H11, H83, M41, O33

Received: 01.08.2023
Accepted: 26.04.2024
Published online: 30.04.2024

How to cite this paper: Pontoh, G. T., Indrijawati, A., Handayanto, A. B., Tahang, R. A., & Supardi, T. S. (2024). Transforming public sector operations with enterprise resource planning: Opportunities, challenges, and best practices. Corporate Law & Governance Review, 6(2), 8–24. https://doi.org/10.22495/clgrv6i2p1