Abstract
Information Technology (IT) adoption is an important field of study in a number of areas, which include small and medium-sized enterprises (SMEs). Due to the numerous advantages of IT, SMEs are trying to adopt IT applications to support their businesses. IT adoption by SMEs differs from larger organizations because of their specific characteristics, such as resources constraints. Therefore, this research aims to provide a better and clearer understanding of IT adoption within SMEs by reviewing and analyzing current IT literature. In this research, the review of literature includes theories, perspectives, empirical research and case studies related to IT adoption, in particular within SMEs from various databases such as Business Premier, Science Direct, JStor, Emerald Insight and Springer Link. The proposed model of effective IT adoption is believed to provide managers, vendors, consultants and governments with a practical synopsis of the IT adoption process in SMEs, which will in turn assist them to be successful with IT institutionalization within these businesses.
Highlights
In this 21st century, a worldwide system of commerce is evolving, in much the same way as national markets evolved from local and regional networks
Shin [59] found that small and medium-sized enterprises (SMEs) are moving toward the adoption of enterprise application (EA) software to survive in competitive global markets while consultants often have a greater share in providing EA than vendors
Prior literature on Information Technology (IT) adoption in SMEs shows that approximately most failures and most dissatisfaction resulted in one or more of the following reasons [31,32,33,34,49,58,78,127,155,156]:
Summary
In this 21st century, a worldwide system of commerce is evolving, in much the same way as national markets evolved from local and regional networks. The modern economic environment which is dominated by globalization, hyper-competition and the knowledge and information revolution has revolutionized the way business is conducted [1] This new technological epoch is apparent through intensified investment in computer-processing and data preparation appliances in the manufacturing and service industries and telecommunications infrastructure, and to its widespread usage in government agencies, educational organizations, and, more recently, in the household. A tendency to employ generalists rather than specialists, reliance on short-term planning, informal and dynamic strategies and decision-making process, plus an unwillingness to develop and the use of standard operating procedures are other distinctive characteristics of SMEs [10,11] It is the restricted resources controlled by SMEs, commonly referred to as resource poverty [12,13], that is the major differentiator between SMEs and large organizations. By using the proposed conceptual model of effective IT adoption, the authors propose a systematic IT adoption strategy for SMEs to succeed in IT institutionalization at different adoption stages
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