A Study on Effectiveness of the ERP System in Improving Financial Management Efficiency at Surya Pelle Chemical & Mould Private Limited Company.

Enterprise Resource Planning (ERP) systems have emerged as pivotal
instruments in reshaping financial management practices within
manufacturing organisations. This study examines the extent to
which ERP adoption contributes to financial management efficiency,
with specific reference to a chemical and mould manufacturing firm
operating in South India. Employing a quantitative, descriptive
survey design, data were collected from 110 employees drawn from
finance, marketing, production, and human resource departments
through a structured Likert-scale questionnaire. The internal
consistency of the instrument was validated using Cronbach's Alpha
(α = 0.736). Statistical analyses encompassing Pearson correlation,
multiple regression, one-way ANOVA, and chi-square tests were
applied to examine inter-construct relationships and demographic
influences. The findings reveal statistically significant positive
correlations among all ERP-related constructs — namely, system
impact, internal control, decision-making support, and cost efficiency
— with correlation coefficients ranging from r = 0.41 to r = 0.61 (p <
0.001). The regression model accounts for 46.1% of the variance in
ERP role effectiveness (R² = 0.461, F = 22.174, p < 0.001), affirming
the predictive potency of ERP dimensions on financial outcomes.
Demographic analysis indicates that age and departmental affiliation
exert significant influence on ERP perceptions, whereas gender and
educational qualification do not yield statistically meaningful differences. The study concludes that ERP systems
function not merely as operational utilities but as strategic enablers of financial governance, cost control, and
evidence-based managerial decision-making. Recommendations are advanced for strengthening training
frameworks, cross-departmental integration, and the adoption of next-generation cloud and AI-enabled ERP
platforms.
Keywords: ERP Systems, Financial Management Efficiency