The study explores how Enterprise Resource Planning (ERP) systems can enhance value chain performance in the dairy manufacturing sector. The paper aims to evaluate the role of ERP-based enhancements in integrating processes, improving efficiency, and coordinating resources to create value along the value chain. The study uses an analytical research design and secondary financial and operational data obtained by extracting dairy industry reports for the 2012-2020 period. Statistical methods, such as correlation analysis and significance testing, were used to assess the effect of the ERP implementation on key performance indicators related to value chain activities. The results show that the working capital ratio has a negative growth rate of -0.9 percent, indicating short-term financial instability for the reviewed dairy companies. Also, the value-added ratio declined by 1.5 percent over the period of study, indicating reduced productivity and cost-to-output efficiency. Despite these decreases, ERP systems showed a statistically significant positive effect on value chain performance at the 0.01 significance level. Findings also indicate a positive relationship between ERP adoption and value chain effectiveness at the 0.01 level, suggesting that resource planning directly increases value chain coordination. In particular, the more the ERP integration, the greater the probability of creating a more effective and responsive value chain, by 0.018 percent. In general, the research concludes that, even amid the introduction of more comprehensive financial performance measures, ERP systems are essential for enhancing strategic alignment, operational consistency, and positioning in the dairy industry.
Al-Hashimi A, Al-Ardawe A. Implementing Target Costing within the Supply Chain to Lean Costs: Case Study in Najaf Cement Factory. Journal of Xi’an University of Architecture & Technology. 2020;1308–20.
2.
Ali I, Arslan A, Chowdhury M, Khan Z, Tarba SY. Reimagining global food value chains through effective resilience to COVID-19 shocks and similar future events: A dynamic capability perspective. Journal of Business Research. 2022;141:1–12.
3.
Alsharari N. THE IMPLEMENTATION OF ENTERPRISE RESOURCE PLANNING (ERP) IN THE UNITED ARAB EMIRATES: A CASE OF MUSANADA CORPORATION. International Journal of Technology, Innovation and Management (IJTIM). 2022;2(1).
4.
Asikin Z, Baker D, Villano R, Daryanto A. The use of innovation uptake in identification of business models in the Indonesian smallholder cattle value chain. Journal of Agribusiness in Developing and Emerging Economies. 2023;14(4):845–64.
5.
Barik AK, Jaiswal S, Das DC. Recent trends and development in hybrid microgrid: a review on energy resource planning and control. International Journal of Sustainable Energy. 2021;41(4):308–22.
6.
Kuma B, Getnet K, Baker D, Kassa B. Determinants of participation decisions and level of participation in farm level milk value addition: the case of smallholder dairy farmers in Ethiopia. Ethiopian Journal of Applied Sciences and Technology. 2011;(2):19–30.
7.
Canello J, Buciuni G, Gereffi G. Reshoring by small firms: dual sourcing strategies and local subcontracting in value chains. Cambridge Journal of Regions, Economy and Society. 2022;15(2):237–59.
8.
Silva de Souza Lima Cano N, Iacovidou E, Rutkowski EW. Typology of municipal solid waste recycling value chains: A global perspective. Journal of Cleaner Production. 2022;336:130386.
9.
Horngren C. Cost accounting: A managerial emphasis. 2009;
10.
Jain S, Singh V. Water resources systems planning and management. 2023;
11.
Jambal T, Jambal E. Value Chain Analysis and Attractiveness of the Telecommunications Industry in Mongolia. SHS Web of Conferences. 2022;135:01024.
12.
Sahu A, R M, Hashmi S, Marandi AK, Kumar A, S SP. AI-Based Security: Effective Load Balancing and Optimum Distribution of Resources for Enhancing Financial Cloud. Journal of Internet Services and Information Security. 2025;15(2):18–29.
13.
Donovan J, Franzel S, Cunha M, Gyau A, Mithöfer D. Guides for value chain development: a comparative review. Journal of Agribusiness in Developing and Emerging Economies. 2015;5(1):2–23.
14.
Jayasuriya DD, Sims A. From the abacus to enterprise resource planning: is blockchain the next big accounting tool? Accounting, Auditing & Accountability Journal. 2022;36(1):24–62.
15.
Lequeux J. Manager avec les ERP: architecture orientée services (SOA). 2011;
16.
Kahar A, Tampang T, Masdar R, Masrudin M. Value chain analysis of total quality control, quality performance and competitive advantage of agricultural SMEs. Uncertain Supply Chain Manag. 2022;551–8.
17.
Koc T, Bozdag E. Measuring the degree of novelty of innovation based on Porter’s value chain approach. European Journal of Operational Research. 2017;257(2):559–67.
18.
Loucks D, Beek V, E. Water resource systems planning and management: An introduction to methods, models, and applications. 2017;
19.
Olutola T, Balen J, Lotisa V, Johnima A, Browndi I. Algebraic Multigrid and Cloud Enterprise Resource Planning System: A Powerful Combination for Business Efficiency. Asian Journal of Basic and Applied Sciences. 2023;197–202.
20.
Greene L, Steiner J. Dynamic resource allocation in supply chain scheduling using digital twin models. International Academic Journal of Science and Engineering. 2022;(4):5–8.
21.
Valle-Cruz D, García-Contreras R. Towards AI-driven transformation and smart data management: Emerging technological change in the public sector value chain. Public Policy and Administration. 2023;40(2):254–75.
The statements, opinions and data contained in the journal are solely those of the individual authors and contributors and not of the publisher and the editor(s). We stay neutral with regard to jurisdictional claims in published maps and institutional affiliations.