Tailoring ERP systems: a spectrum of choices and their implications

The IS literature distinguishes between custom-built and off-the-shelf software. Enterprise resource planning (ERP) packages are often viewed as off-the-shelf software, because adopters implement them by setting parameters (called configuration), rather traditional programming. Making changes to ERP software code (called modification) is usually strongly discouraged by vendors and implementation consultants. Nevertheless, field research has shown that many companies have had to modify ERP software in various ways to meet essential business needs. This suggests that ERP packages do not fit cleanly into the custom/off-the shelf distinction. The authors describe a portfolio of tailoring options between configuration and modification, with important implications for implementation risk and the difficulty of ERP system upgrades. They discuss the implications of their framework for practitioners and for further research on ERP systems.