Evaluation of Implementation of Enterprise Resource Planning Information System with DeLone and McLean Model Approach


Variables Indicator target



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Variables

Indicator target

AVE

Status

System Quality

• 0.5

0.667

Valid

Information Quality

• 0.5

0.702

Valid

Service Quality

• 0.5

0.846

Valid

User Satisfaction

• 0.5

0.842

Valid

Net benefit

• 0.5

0.629

Valid

TABLE II. RESULTS OF TESTING OUTER AND CROSS LOADING


System
Quality
(KS)

Information
Quality
(KI)

Service
Quality
(KL)

User
Satisfaction
(KP)

Net
Benefit
(MB)

KS4

0.763

0.555

0.489

0.531

0.489

KS6

0.864

0.628

0.513

0.591

0.577

KS8

0.819

0.547

0.452

0.503

0.542

KI1

0.536

0.755

0.585

0.560

0.599

KI2

0.550

0.870

0.624

0.621

0.561

KI3

0.664

0.832

0.629

0.623

0.626

KI4

0.578

0.819

0.566

0.557

0.592

KI5

0.620

0.891

0.634

0.673

0.692

KI6

0.611

0.854

0.630

0.623

0.690

KL1

0.543

0.680

0.927

0.619

0.592

KL2

0.570

0.726

0.937

0.627

0.609

KL3

0.530

0.609

0.895

0.605

0.621

KP1

0.630

0.675

0.660

0.931

0.708

KP2

0.629

0.656

0.584

0.934

0.713

KP3

0.573

0.675

0.600

0.888

0.742

MB1

0.577

0.621

0.575

0.672

0.813

MB2

0.537

0.603

0.558

0.669

0.838

MB3

0.583

0.642

0.545

0.620

0.851

MB4

0.571

0.725

0.556

0.707

0.839

MB5

0.389

0.494

0.454

0.502

0.721

MB6

0.419

0.510

0.458

0.544

0.748

MB7

0.555

0.578

0.483

0.635

0.747

MB8

0.500

0.541

0.541

0.566

0.779

Convergent validity test generated Average Variance Extracted (AVE) value above 0.5 for all variables and generated loading factor value above 0.7 for each variable indicator. While discriminant validity test with cross loading parameter also produced indicator loading factor to construct variables itself has a greater value than the loading factor to other construct variables. In other words, the test results showed that all the indicators used in the research questionnaire has a greater correlation value with its own latent variables when compared to other latent variables. It showed that all variables were valid to be included in hypothesis testing.
Based on the composite reliability and Cronbach's value, all of the variables value were above 0.70 so it has met the requirements of reliability that can be seen in the following table:
TABLE III. RESULTS OF RELIABILITY TEST

Variables

Composite Reliability

Cronbach’s Alpha

Status

Sistem Quality

0.857

0.749

Reliable

Information Quality

0.934

0.915

Reliable

Service Quality

0.943

0.909

Reliable

User Satisfaction

0.941

0.906

Reliable

Net Benefit

0.931

0.915

Reliable

All the results of validity test performed including Convergent Validity and Discriminant Validity (Cross Loading) as well as reliability test from parameters of composite reliability and Cronbach's alpha indicated that the indicators and constructs variable used were valid and reliable so that it can be used in testing the structural model (inner model).
2) Measurement Model Test (Outer Model).
By using SmartPLS 3.0 application with bootstrapping menu, Path Diagram of the research structural model was obtained. It showed the values of R-Square and Path coefficient as shown the following Path diagram figure:

Fig. 5. The research Structural Model Diagram.
TABLE IV. VALUE OF R-SQUARE

Independent Variables

R-Square Value

User Satisfaction

0.605

Net Benefits

0.618

R-Square value of user satisfaction variable was 0.605 and net benefits variable was 0.618, which meant ERP SAP user satisfaction inthis model can be explained by the system quality, the information quality and service quality by 60.50%, while the net benefits from the implementation of ERP SAP in this model can be explained by user satisfaction of 61.80%. Rsquare value of the research showed that the models were in strong category (Chin in Ghazali and Latan [16])

C. Research Hypothesis Test


Hypothesis testing research was conducted by looking at the t-statistics released by the SmartPLS3 application through bootstrapping process. In testing, the hypothesis was accepted (Ha were accepted) with a significance level of 5% critical value ratio was •1.96

Variables Effect

Path

T-Stat.

Status

Information Quality  User Satisfaction

0.361

3.930

H1 Accepted

System Quality  User Satisfaction

0.260

3.313

H2 Accepted

Service Quality  User Satisfaction

0.253

3.405

H3 Accepted

User Satisfaction  Net Benefits

0.786

26.675

H4 Accepted
TABLE V. T-STATISTICS TEST RESULTS
Based on Table 6, the t-statistic generated was greater than limit value of 1.96 with significant level of 5%. It can be concluded that the information quality has positive influence on user satisfaction, system quality has positive influence on user satisfaction, service quality has positive influence on user satisfaction, and user satisfaction positively affects net benefits.

V. DISCUSSION


Based on the results of the variables statistical tests as shown in Table 6, the four hypotheses that have been formulated before, including the relationship between constructs variables and dependent variable, were supported and proven to have positive and significant effect on the dependent variable.
T-statistics on relationship influence of information quality variable to user satisfaction variable was 3.930 or greater than the limit value of 1.96 at the 5% significance level which meant that the hypothesis H1 in this study was accepted or in other words the quality of information was proven to have positive and significant effect on user satisfaction. The better the information quality, the more satisfied the ERP SAP users. The results of this study confirmed the results of research conducted by Rai et.al [17], Mc Gill et.al [11] and Livari [10].
T-statistical on relationship influence of system quality variables to user satisfaction variable was 3.313 or greater than the limit value of 1.96 at the 5% significance level which meant that the hypothesis H2 in this study was accepted or in other words the quality of the system was proven to have positive and significant effect on user satisfaction. The better the quality of the system, the more satisfied users of ERP SAP. The results of this study confirmed the results of research conducted by Rai et.al [17], Mc Gill et.al [11] and Livari [10].
T-statistical on relationship influence of service quality variables to variable user satisfaction was 3,405 or greater than the limit value of 1.96 at the 5% significance level which meant that the hypothesis H3 in this study was accepted or in other words the service quality have positive and significant effect on user satisfaction. This meant the better service quality provided by the department of information systems, the users of ERP SAP will be more satisfied. The results of this study confirmed the results of research conducted by Falgenti and Pahlavi [2].
T-statistical on relationship influence of user satisfaction variable to net benefits variable was 26.675 or greater than the limit value of 1.96 at the 5% significance level, which meant the H4 hypothesis in this study was accepted or in other words proven that user satisfaction was significantly influential to the net benefits. This meant the more user satisfaction, the net benefits will be increased. The results of this study confirmed the results of research conducted by Mc Gill et.al [11], Livari [10], Falgenti and Pahlavi [2].
If it was viewed from the path coefficient, the relation of information quality, system quality and service quality variable to user satisfaction variable, of which the most powerful path coefficient was the path coefficient of information quality variable with a value of 0.361, followed by the path coefficients of system quality variable with a value of 0,260 and the latter was the path coefficient variable of service quality with a value of 0,253. Based on the value of the path coefficients, thus the priority in improving user satisfaction of ERP SAP was on the information quality produced by ERP SAP which has the highest path coefficient. Improving quality of ERP SAP information can be based on descriptive analysis of information quality variable discussed before, by improving indicators (items) which have the lowest level of approval. From six items of the statement about the quality of ERP SAP, among them, the lowest approval level was "information generated by ERP SAP was complete" in the amount of 85.85%. Therefore, to improve the information quality of the ERP SAP there should be development of the output generated by the ERP SAP, for example by adding menu (t-code) reporting as required by the user of the ERP SAP, so that the information generated by the ERP SAP will be more complete and improve the information quality, which in turn will increase user satisfaction of ERP SAP.
VI. CONCLUSION

  1. The model in this study was using DeLone and McLean modified model with R-square value of 0.605 for user satisfaction variable, which meant the ERP SAP user satisfaction in this model can be explained by the system quality, the information quality and service quality for 60.50%. Thus this model can be used to predict user satisfaction in using ERP SAP through three aspects: information quality, system quality and service quality. While the net benefits variables have R-square value of 0.618 which meant that the net benefits of ERP SAP implementation, both the benefits for individuals as well as benefits for the company user can be explained by the user satisfaction variable for 61.80%.

  2. Hypothesis test suggested that the information quality, system quality and service quality were partially positive and had significant effect on user satisfaction. User satisfaction significantly had positive effect on net benefits.

  3. The order of variables influencing the user satisfaction of SAP from the largest system user was the information quality variable (path 0.361) then the system quality variable (path 0.260) and the last was the service quality variable (path 0.253)

  4. Descriptive analysis showed that the respondents as ERP SAP users assessed the system quality, the information quality and service quality in excellent category.

  5. The descriptive analysis showed that the respondents as the user was satisfied with ERP SAP. In addition, according to respondents, the implementation of ERP SAP provided net benefit both for individuals as consumers as well as for the company.

VII. FURTHER RESEARCH

  1. The variables in this study described the user satisfaction by 60.50%, which meant that 39.50% was explained by other variables outside the study. In the subsequent studies, it is suggested to add other variables of research theories on information systems so that further research could explain the success of the system with better information.

  2. The sampling method used in this research was the probability sampling and samples taken from members of the population at random by the group of ERP SAP modules user proportionally (proportional cluster random sampling). Further research could use stratified sampling methods to differentiate users based on the ERP SAP levels in the organization, for example the strategic level and the operational level, or based on the status of ERP SAP users, for example top management, middle management and lower management. This was because every level needed different information systems, so that further research could explain empirically the satisfaction of the use of information systems based on the perception of each different levels.

  3. Studies can then generate more diverse views and discussions by using different research approaches. For example, by using the theory, research methods, or models of different studies such as Technology Acceptance Model (TAM).

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