The development of the ERP consulting service line in the big four audit firms in Malta

Abstract

Purpose: This study investigates the potential of the ERP consulting service line in the Big Four Audit firms in Malta (BF). It particularly focuses on the current situation and attitudes in Malta, thereby allowing an extraction of the major issues and challenges faced by local ERP implementations. This will enable an analysis of the degree of effectiveness that the BF can achieve as ERP consultants. Design: This research is of a qualitative nature. Information was gathered through semi-structured interviews; 4 interviews with the BF, 3 interviews with ERP vendors and an interview with a non-BF. Findings: It has emerged that global ERP providers have penetrated the SME market, thereby increasing demand for ERP consulting in Malta. This is predominantly available through audit firms and ERP vendors. The BF prevalently prioritise both IT and business strategies, unlike ERP vendors who strongly lean towards IT - this emphasises the former's ability to act as a bridge between vendor and client. While both parties claim a healthy relationship with each other, the BF state that clients could greatly benefit from an availability of business experts and having someone protecting their interests with ERP vendors. With regards to the latter, they tend to have varying perceptions of the BF as ERP consultants. Conclusion: The development of the ERP consulting service line in the Maltese BF seems to improve the concept of an ERP consultant. Whereas these roles can sometimes be criticised for not having enough business and industry knowledge, the BF have now provided an environment capable of inter-departmental support and a vast choice of business experts. Given said structure and resources, it seems that the BF are enhancing the ability that ERP consultations have of ensuring successful ERP implementations. Value: Apart from emphasising the need for the accountancy profession to start evolving towards IT in order to thrive, this study highlights the market dynamics in the Maltese ERP consulting environment specifically. Some BF are affiliating with ERP vendors and others are staying independent. Knowing current market dynamics can help predict future ones. Moreover a novel path the Maltese BF can opt to follow has been identified.