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Enterprise resource planning (ERP) systems are increasingly being adopted by organisations in developing countries. As in industrialised countries, this adoption seems beset by significant rates of failure, leading to a large waste of investment and other resources. This paper seeks to understand why such ERP failure occurs.

The paper moves beyond factor lists to make use of an overall “design‐reality gap” model. The model is applied to a case study of ERP failure in a Jordanian manufacturing firm, analysing the situation both before and during ERP implementation through a mix of interviews, observation and document analysis.

The research finds sizeable gaps between the assumptions and requirements built into ERP system design, and the actual realities of the client organisation. It is these gaps – and the failure to close them during implementation – that underlie ERP project failure.

This study shows the relevance and applicability of the design‐reality gap model to understanding ERP failure. Further research can be undertaken applying the model to other ERP cases, including case studies of success.

The paper draws conclusions about good practice in ERP implementation relating to both risk identification and risk mitigation, which must be based on closing design‐reality gaps. It offers examples of both specific and generic actions that help to achieve this. But it also notes limitations existing in some developing country contexts that may continue to constrain the effective use of enterprise resource planning systems.

The paper provides a new model for understanding ERP project success and failure, and for practical risk mitigation. The design‐reality gap model aims to be comprehensive but also contingent; sensitive to the specific conditions of any individual client organisation.

This study delves into the significant impact of entrepreneurial leadership (EL), organizational innovation (OI) and competitive advantage (CA) on the sustainability of organizations in the Jordanian Islamic insurance sector. This study aims to unravel the intricate dynamics among these pivotal factors, highlighting their collective role in the sustained success and resilience of Islamic insurance companies in Jordan. By examining the synergistic interplay between EL, OI and CA, the research seeks to offer invaluable insights into cultivating a sustainable future for these institutions.

This study adopts a positivist, quantitative approach to investigate the relationships between EL, OI, CA and organizational sustainability (OS). Data collection was achieved through questionnaires in a cross-sectional analysis of these variables. Convenience sampling yielded 389 valid responses, an 81% response rate, ensuring a thorough understanding of the dynamics within this framework.

The findings from the study on Jordanian Islamic insurance companies highlight the critical role of EL in influencing organizational dynamics. The research establishes a positive relationship between EL and both OI and OS. Furthermore, it identifies a significant positive correlation between EL and CA, underscoring the importance of leadership in securing a competitive edge. This study also emphasizes the vital role of OI in bolstering OS and confirms that a strong CA enhances OS, reinforcing the interconnectivity of these essential organizational components.

This study provides important insights for professionals in the insurance sector, especially those within the Jordanian Islamic insurance industry. It emphasizes the crucial role of EL in fostering innovation, competitiveness and sustainability. By understanding the significance of EL, companies can adopt more dynamic and effective strategies in leadership, organizational development and strategic planning, thereby enhancing their overall performance and resilience.

By conceptualizing EL and OS as second-order constructs, this study seeks to provide a detailed understanding of how EL catalyzes OI, CA and sustainability in an organizational context. This approach contributes significantly to the broader discussion on EL and OS, particularly within the Arab region and specifically in Jordan, offering nuanced insights into their roles and interrelations in shaping organizational dynamics.