- Factors affecting e-business adoption in SMEs: an empirical research | Emerald Insight
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Policies Disclaimer. Skip to content. Google Scholar: Look up in Google Scholar Abstract Recent empirical evidence across countries shows a substantial and increasing return to IT investment. Look up in Google Scholar. Information management creates value of information infrastructure with its appropriate use in organizing and administering information into the decision making. In conducting information management and the decision making, BI integrates business skills, IS skills, and analytic skills Burton et al.
In this regard, information management capability and organizational capability have been suggest for BI success. Although large industries have readiness of these constructs, the entity of SME is characterised with limited capability Ponelis and Britz, SMEs still stay in inferior position of required skills and capabilities Mathrani, Nevertheless, BI implementation becomes important for SMEs in order to conduct diverse changes, which affect business performance order. Information management capability does not only provide SMEs the solution of information based needs, it also generates issue-based, quality, and reliable information for the decision making Mithas et al.
However, information management capability depends on organizational capability Brinkhues et al. As organizational capability is identified as the leading factor of information management in SMEs Matthews, , Low et al. Organisational capability allows SMEs to gain effort-free access to information Burton et al. Further, organizations use relevant skills in conducting BI implementation.
As organizational capability leads to both information management capability and BI implementation, it becomes a leading construct of BI implementation in SMEs. The discussion summarizes that the need of BI implementation enforces SMEs to adopt required capability information management and organizational capabilities in businesses. In effects, their sharing contributions produce performance accumulation into the business environment.
BI implementation assists in taking the relevant decision, Strategic decision making enables SMEs meet changing requirements within the business environment e. Eventually, SMEs and BI do not only affect each other in relation to their individual development, their cooperative relation generates positive impacts on business environmental performance. The contribution of this study has been summarized and presented into figure 5. It represents that our study identifies new decision for conducing new changes within the environment. New decision requires reformation of BI implementation.
Reformation of BI generates new innovation. Therefore, new innovation of BI provides new contribution to the field of IS research and practices for business performance. Capability adoption strengthen organizational structure of SMEs. Thus, adoption of capability in SMEs adds new inclusion into the business domain, which may provide significant impact on business development and national economic development.
Factors affecting e-business adoption in SMEs: an empirical research | Emerald Insight
Finally, it is evident that both BI and SMEs learn from each other, which contributes to business environmental performance. The aim of this study was to explore an integrated view of previous studies through a theoretical analysis that how BI and SMEs interact each other, which may have positive effects in such as strengthening individual insights of them, improving business environmental performance, and new knowledge generation into the research field of IS. There are two issue were primarily considered in initiating this study.
First, SMEs are characterised with disparate limitations, which constrain business hoped performance. Second, uncertain often environmental changes affect SMEs discontinue their business performance order. For new understanding of how SMEs can gain opportunities emerging from those changes offers a study. Therefore, this study has been entailed and attempted to review literature in relation to a theoretical outcomes in this regard. Rapidity and consistency of new emergent in technology and its rapid effects in industrial revolution cause more turbulent within the current business environment.
New and complex information because of technological sophistication creates new changes in such as customer preferences, products and services, supply chain management, business policy, and market strategy.
Those uncertain often changes create diverse opportunities and threats, which become the issue of business survival and development of SMEs. However, change adaptation become a challenge for taking opportunities and encountering unexpected threats. Change adaptation necessitates reviewing and reshaping existing business decision that guides managers in conducting change adaption.
The decision making requires an appropriate level of information management. Therefore, two issues such as information management and the decision making have become on necessity for change adaptation. As BI provides corporate performance management Richards et al. Therefore, information management capability has logically been recognized for BI implementation. As SMEs have diverse limitation in terms of required capability, our findings suggest attaining information management capability that integrates technological and personnel capabilities for BI implementation in SMEs. From the above discussion, our study has learned that the need of BI implementation for change adaptation in businesses allows SMEs to learn in changing their organizational structure followed by adoption of required capability.
Although SMEs learn for BI implementation for the decision making in terms of change adaptation, the consistency of changing phenomena remains a concern. In order to conduct uncertain often changes, SMEs require new decision. As BI is the best conductor of the decision making, iterating the decision making necessitates the repetition of BI application. Therefore, reformation or new innovation of BI becomes imperative for iterating the decision to conduct occurring changes. In essence, the study has recognized two issues from literature analysed such as new decision for conducting new changes and organizational entity of SMEs, which raised the issue of new innovation of BI.
In addition, our study has also recognized that the interactive relation of BI and SMEs provides the source of learning aspect, which strengthens their individual position. The interactive learning process generates an integrated contribution to the business environmental performance. Eventually, business environment attains benefits from this interactive relation.
In conclusion, our findings suggest enhancing relevant capability of SMEs and identifying appropriate application of BI for achieving competitive advantages emerging from constantly changing environment. Although what type of capability SMEs require has been discussed above, the application type of BI yet to focus. Therefore, further research is suggested in identifying relevant formation of BI application in terms of changes adaptation in businesses.
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