The Effects of Uses of VERGI Model in ERP On Business Performance

The enterprise resource planning-systems are under a paradigm shift when it comes to the aspect of utilizing the recent technological innovations. The amount of transactional and analytical information added into the databases is increasing for enterprises, and it is necessary for software companies to reflect on how to deal with this large data volumes. SAP has released a new product alliance under the name SAP HANA, built upon an In-memory database. By combining the transactional and analytical environments within the same database, organizations are able to work under much greater performance environments. This study aims to evaluate this solution from an academic point of view, identifying benefits from a technical viewpoint and further by analyzing the benefits that it may lead to for business use. Additionally there will be a discussion on how these benefits can influence future trends in both technical and business aspects. To ensure the validity and reliability of this research, the evaluation is made using the VERGI-model combined with focus group interviews with experienced SAP consultants. A literature study was done in the extended background section to present information about central topics in this study; analytics in the business warehouse and technical grounds for in-memory databases and SAP's own products.

The results show that there is a range of technical benefits by adding the information systems on inmemory databases such as SAP HANA. The results show that both the analytical and transactional processing will experience large performance benefits and there is potential for simplicity in the ITlandscapes. However, the main advantages for businesses will come from learning to utilize these performance benefits efficiently and from learning to consummate this information to identify cost savings and innovations.