EVALUATING TECHNOLOGY ADOPTION MODEL ON AGRO-SMALL PERFORMANCE IN SELANGOR, MALAYSIA

Abstract

This conceptual paper evaluates the impact of technology adoption on the operational efficiency of agro Small and Medium Enterprises (SMEs) in Selangor, Malaysia. Deploying a narrative literature review approach, the paper acknowledges the role of Information and Communication Technology (ICT) in improving service delivery and overall business performance, as well as highlights the constraints of Technology Acceptance Model (TAM) and the Unified Theory of Acceptance and Use of Technology (UTAUT). While the TAM model focuses on perceived usefulness and ease of use, it does not explain user behavioral intentions. Variables like knowhow, management agenda, culture and ownership influence providing contextual insights for the model's application. However, both TAM and UTAUT models still have methodological and theoretical constraints in addressing behavioral intentions of adoption and use. Equally, the model does not address risks associated with adoption and use despite contextual extensions and facilitating conditions. Therefore, absence of policy guidelines regarding ICT adoption necessitates further exploration as it concerns user attitudes as mere adoption and use does not assure success. Consequently, risks of adoption and cultural practices, expertise and individual needs limit practicality of the model. Hence, the paper proposes further studies with focus on risks associated with adoption and efficacy of use to understand behavioral intention to adopt and use ICT by SME.