Factors Influencing Artificial Intelligence Adoption in South African Organisations: A Technology, Organisation, Environment (TOE) Framework
Date
2023
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
University of the Witwatersrand, Johannesburg
Abstract
Artificial intelligence (AI) refers to the formation of machines that mimic human intelligence and encompasses various technologies. AI technology is changing the landscape for South African organisations and how they operate. Using current literature and other online reports by auditing firms, the study aimed to identify a suite of AI technologies used by South African organisations. Technologies such as robotic process automation, image and speech recognition, machine learning and chatbots were defined. In addition, this research paper investigated the factors influencing AI technology adoption by South African organisations. The technology, organisation and environment factors of the TOE framework were examined to understand adoption decisions. It was important to close this gap as lack of understanding of how factors influence AI decisions, and an undefined suite of AI technologies could impact adoption decisions. A cross sectional relational research design was chosen for the study. A survey instrument was used and administered through a web-survey to 252 IT decision makers or IT leaders from South African organisations who served as key informants for their organisations. Responses were received from 55 organisations.
Reliability and validity tests were used to evaluate the consistency and reliability of the data and to evaluate whether measures correctly represent the variables that they intend to measure. Correlation analysis, stepwise and multiple regression were used to test the hypotheses of the conceptual model. It was found that of the suite of AI technologies, robotics process automation followed by machine learning and image recognition had the highest levels of adoption. Results showed that data availability and top management support were supported as the most significant technology, organization, environment (TOE) factors influencing AI technology adoption in South African organisations. It was found that perceived technology benefits, IT infrastructure, resource capability and normative pressure were also strongly correlated to AI technology adoption. Financial resources and competitive pressure were not supported as determinants. Artificial intelligence is receiving much attention in both practice and research. This study addresses the gap in the current body of knowledge on AI adoption in South Africa by making use of the TOE framework to study adoption of artificial intelligence technologies in organisations. Useful insights are provided to South African organisations so that they can benchmark their adoption against other industry players and manage their response to those factors most significant for AI adoption
Description
A research report submitted in partial fulfilment of the requirements for the degree of Master of Commerce to the Faculty of Commerce, Law and Management, School of Business Sciences, University of the Witwatersrand, Johannesburg, 2023
Keywords
Artificial Intelligence, AI, South African Organisations, TOE, Technology, Organisation, Environment, TOE Framework, UCTD
Citation
Hoosen, Kaneez Fathima. (2023). Factors Influencing Artificial Intelligence Adoption in South African Organisations: A Technology, Organisation, Environment (TOE) Framework [Master’s dissertation, University of the Witwatersrand, Johannesburg]. WireDSpace. https://hdl.handle.net/10539/38741