FACTORS AFFECTING THE ADOPTION OF ELECTRONIC DATA INTERCHANGE BY SMALL MEDIUM ENTERPRISES
Date
2012-02-10
Authors
Riley, Sean
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Abstract
Recent technological advancement in the area of electronic data interchange (EDI) provides
the mechanism for small medium enterprises (SME) to leverage trading networks at a much
lower cost. The result is that SMEs can enjoy the benefit of EDI. This study attempts to
discover how many SMEs do make use of EDI and in addition, what motivated the decision
to make use of EDI.
This study makes use of a technology-organisation-environment framework to test thirteen
factors which impact a SMEs decision to adopt EDI and to understand the relative importance
of those factors that impact the decision. The study makes use of quantitative methods to
determine the factors, the method of analysis has been completed by means of confidence
interval estimation of the mean and factor analysis of data collected by electronic and hard
copy survey.
The results suggest that there are a number of factors that impact a SME decision to adopt
electronic data interchange. The perception amongst SMEs that have adopted EDI is good
with regard to the implementation, continued use and expansion of electronic data
interchange. SMEs perceive the increased operating efficiency benefit, increased financial
benefit, improved customer service and increased buyer pressure to be the main factors that
influence their decision to adopt EDI
Description
MBA thesis - WBS
Keywords
Electronic data interchange, Small businesses, Medium sized businesses