Business become more efficient and effective by technology. One of these technologies is Enterprise Resource Planning (ERP). Only around 20% of Indonesian SMEs (Small Medium Enterprises) are estimated to make use of IT including ERP. The factor that affects adoption of IT within SME is cost of IS/IT. By using cloud service, the license for ERP in form of annual fee per user. It will make it accessible by SME. The problem is there are no ERP adoption framework studies based on cloud computing especially for Indonesia SME. Most of the adoption framework studies are found in manufacturing and there are limited studies on establishing a framework in SMEs ERP adoption. The purpose of this research is developing ERP adoption framework by examining the ERP characteristic, key stakeholders readiness and ERP success, role of cloud computing to reduce and simplify the ERPs adoption. By examines a phenomenon in its natural setting, employing multiple methods of data collection to gather information from SME in Indonesia, the critical success factor will be build based on Technology Organization Environment(TOE) model. Based on the critical factor, the framework for adopting ERP by SME in Indonesia will be used as the guideline for ERPs vendor and SME as the user in adopting ERP base on cloud computing. A better understanding of the factors affecting the success of ERP Implementation will benefit practitioners and consultants. Organization from SME that currently planning ERP Implementations, will benefits from this knowledge. This will contribute to the development ERP success theory and practices. The findings of this result not only for SME in Indonesia but fill the lack of this research, especially in Asia region.

ERP, adoption, framework, SME, TOE

• Dr. Henkie Ongowarsito, S.Kom., M.T.,M.Sc, CBDMP

• Laily Alfa Citra, S.Kom., M.Kom.