Information system architecture: a framework for a cluster of small- and medium-sized enterprises (SMEs)

Abstract

Although Indian small- and medium-sized enterprises (SMEs) are competent enough to produce and supply internationally acceptable quality goods and services, they are yet to get sufficient economic returns. According to the survey results presented in this study, one of the reasons for this is the absence of proper information systems (IS) architectures that can provide the required information at the right time to help them become more competitive in today's era of globalisation. In the absence of a proper IS, Indian SMEs are unable to reap the benefits for which they are the deserving candidates. This issue has been addressed in this paper by investigating the SMEs' IS-related practices by conducting a survey of 210 select SMEs of the western part of India. The survey results observed an increasing trend in using information technology (IT) in the SME sector, but SMEs lack the capabilities to exploit it optimally for their development in the present competitive market. Further, this research effort contributes an IS architecture for a cluster of SMEs, which includes information modules to support the business operations of SMEs from strategic to operation level. The proposed IS architecture can help SMEs not only operate internally but also provide information externally, to compete in the global market.