Challenges in implementing enterprise system functionalities in a matrix organization

In this paper we examine the implementation of new functionalities of enterprise system (ES) in a matrix organization. We conduct an in-depth case study in a large European high-tech company, which implements new ES functionalities and a new matrix organization in order to support its global project delivery model. The research is motivated by the view that enterprise system is not simply a part of the institutional infrastructure that can be taken for granted, but a socio-technical system that includes both the human agency and a material system [21]. In spite of a wide variety of research concerning ES implementation, the implementation of new ES functionalities in matrix organization is not well understood. By employing sociomateriality approach [21], the concept of agency [e.g. 10, 24] and the lens of “affordances” [e.g. 19, 29] we focus on factors and dynamics that have an impact on the implementation of ES functionality in the new matrix organization. The findings suggest that there are a wide variety of both factors and dynamics that influence the implementation of ES functionalities and the constitution of everyday work practices. The outcome-the global project delivery model-is highly dependent on the interaction between organization and enterprise system. In this interaction, the material features of enterprise system may create or inhibit affordances for organizing.