Search results

Information and communications technology (ICT) offers enormous opportunities for individuals, businesses and society. The application of ICT is equally important to economic and non-economic activities. Researchers have increasingly focused on the adoption and use of ICT by small and medium enterprises (SMEs) as the economic development of a country is largely dependent on them. Following the success of ICT utilisation in SMEs in developed countries, many developing countries are looking to utilise the potential of the technology to develop SMEs. Past studies have shown that the contribution of ICT to the performance of SMEs is not clear and certain. Thus, it is crucial to determine the effectiveness of ICT in generating firm performance since this has implications for SMEs’ expenditure on the technology. This research examines the diffusion of ICT among SMEs with respect to the typical stages from innovation adoption to post-adoption, by analysing the actual usage of ICT and value creation. The mediating effects of integration and utilisation on SME performance are also studied. Grounded in the innovation diffusion literature, institutional theory and resource-based theory, this study has developed a comprehensive integrated research model focused on the research objectives. Following a positivist research paradigm, this study employs a mixed-method research approach. A preliminary conceptual framework is developed through an extensive literature review and is refined by results from an in-depth field study. During the field study, a total of 11 SME owners or decision-makers were interviewed. The recorded interviews were transcribed and analysed using NVivo 10 to refine the model to develop the research hypotheses. The final research model is composed of 30 first-order and five higher-order constructs which involve both reflective and formative measures. Partial least squares-based structural equation modelling (PLS-SEM) is employed to test the theoretical model with a cross-sectional data set of 282 SMEs in Bangladesh. Survey data were collected using a structured questionnaire issued to SMEs selected by applying a stratified random sampling technique. The structural equation modelling utilises a two-step procedure of data analysis. Prior to estimating the structural model, the measurement model is examined for construct validity of the study variables (i.e. convergent and discriminant validity).

The estimates show cognitive evaluation as an important antecedent for expectation which is shaped primarily by the entrepreneurs’ beliefs (perception) and also influenced by the owners’ innovativeness and culture. Culture further influences expectation. The study finds that facilitating condition, environmental pressure and country readiness are important antecedents of expectation and ICT use. The results also reveal that integration and the degree of ICT utilisation significantly affect SMEs’ performance. Surprisingly, the findings do not reveal any significant impact of ICT usage on performance which apparently suggests the possibility of the ICT productivity paradox. However, the analysis finally proves the non-existence of the paradox by demonstrating the mediating role of ICT integration and degree of utilisation explain the influence of information technology (IT) usage on firm performance which is consistent with the resource-based theory. The results suggest that the use of ICT can enhance SMEs’ performance if the technology is integrated and properly utilised. SME owners or managers, interested stakeholders and policy makers may follow the study’s outcomes and focus on ICT integration and degree of utilisation with a view to attaining superior organisational performance.

This study urges concerned business enterprises and government to look at the environmental and cultural factors with a view to achieving ICT usage success in terms of enhanced firm performance. In particular, improving organisational practices and procedures by eliminating the traditional power distance inside organisations and implementing necessary rules and regulations are important actions for managing environmental and cultural uncertainties. The application of a Bengali user interface may help to ensure the productivity of ICT use by SMEs in Bangladesh. Establishing a favourable national technology infrastructure and legal environment may contribute positively to improving the overall situation. This study also suggests some changes and modifications in the country’s existing policies and strategies. The government and policy makers should undertake mass promotional programs to disseminate information about the various uses of computers and their contribution in developing better organisational performance. Organising specialised training programs for SME capacity building may succeed in attaining the motivation for SMEs to use ICT. Ensuring easy access to the technology by providing loans, grants and subsidies is important. Various stakeholders, partners and related organisations should come forward to support government policies and priorities in order to ensure the productive use of ICT among SMEs which finally will help to foster Bangladesh’s economic development.

Smart card-based E-payment systems are receiving increasing attention as the number of implementations is witnessed on the rise globally. Understanding of user adoption behavior of E-payment systems that employ smart card technology becomes a research area that is of particular value and interest to both IS researchers and professionals. However, research interest focuses mostly on why a smart card-based E-payment system results in a failure or how the system could have grown into a success. This signals the fact that researchers have not had much opportunity to critically review a smart card-based E-payment system that has gained wide support and overcome the hurdle of critical mass adoption. The Octopus in Hong Kong has provided a rare opportunity for investigating smart card-based E-payment system because of its unprecedented success. This research seeks to thoroughly analyze the Octopus from technology adoption behavior perspectives.

Cultural impacts on adoption behavior are one of the key areas that this research posits to investigate. Since the present research is conducted in Hong Kong where a majority of population is Chinese ethnicity and yet is westernized in a number of aspects, assuming that users in Hong Kong are characterized by eastern or western culture is less useful. Explicit cultural characteristics at individual level are tapped into here instead of applying generalization of cultural beliefs to users to more accurately reflect cultural bias. In this vein, the technology acceptance model (TAM) is adapted, extended, and tested for its applicability cross-culturally in Hong Kong on the Octopus. Four cultural dimensions developed by Hofstede are included in this study, namely uncertainty avoidance, masculinity, individualism, and Confucian Dynamism (long-term orientation), to explore their influence on usage behavior through the mediation of perceived usefulness.

TAM is also integrated with the innovation diffusion theory (IDT) to borrow two constructs in relation to innovative characteristics, namely relative advantage and compatibility, in order to enhance the explanatory power of the proposed research model. Besides, the normative accountability of the research model is strengthened by embracing two social influences, namely subjective norm and image. As the last antecedent to perceived usefulness, prior experience serves to bring in the time variation factor to allow level of prior experience to exert both direct and moderating effects on perceived usefulness.

The resulting research model is analyzed by partial least squares (PLS)-based Structural Equation Modeling (SEM) approach. The research findings reveal that all cultural dimensions demonstrate direct effect on perceived usefulness though the influence of uncertainty avoidance is found marginally significant. Other constructs on innovative characteristics and social influences are validated to be significant as hypothesized. Prior experience does indeed significantly moderate the two influences that perceived usefulness receives from relative advantage and compatibility, respectively. The research model has demonstrated convincing explanatory power and so may be employed for further studies in other contexts. In particular, cultural effects play a key role in contributing to the uniqueness of the model, enabling it to be an effective tool to help critically understand increasingly internationalized IS system development and implementation efforts. This research also suggests several practical implications in view of the findings that could better inform managerial decisions for designing, implementing, or promoting smart card-based E-payment system.

For many years management accountants have been involved in the design of information systems for decision-making. To be effective in system design, accountants need pertinent and reliable performance measures within a valid framework. The Balanced Scorecard (BSC) has received a great deal of attention as a comprehensive model of performance that takes into account both financial and non-financial measures. This paper examines the empirical reliability and validity of the BSC framework and its associated measures. With reference to content validity, internal consistency reliability, and factorial validity, results show that BSC, with measures grouped into its four dimensions, is a valid performance model.

Previous studies have called for better reliability and validity of BSC measures. The present study may help in the design and implementation of BSCs in business units by adding robustness to the BSC framework, and by suggesting a set of valid measures associated with the four BSC dimensions. The results may lead to reduced costs of BSC design and implementation, and enhanced consistency of future studies of the BSC.

This chapter presents and discusses various steps to ensure empirical reliability and theoretical validity in the construction of competence scales in graduate surveys. The development of a scale to assess demands of the teacher profession and related abilities in graduates for a German tracer study project serves as an example. Confirmatory factor analysis (CFA), principal component analysis (PCA) and Cronbach’s coefficient alpha are employed to test the reliability of the scale. Differing results illustrate how the method applied influences decisions in the process of developing a scale. Our findings show that multidimensionality can only be tested appropriately by CFA; PCA renders no feasible or similar results to CFA depending on the predetermination of the number of factors; Cronbach’s alpha produces misleading results as the prerequisite assumption of unidimensionality is violated by the data.

This chapter, completed in 1999, provides an overview and critical analysis of the validity research agenda undertaken by the National Board for Professional Teaching Standards (NBPTS) for its assessment to certify accomplished teachers at the end of its first decade of assessment development and implementation. The review is presented in three major sections: (a) an overview of the validity criteria underlying the review; (b) a description of the National Board's research agenda presented in its own terms, focusing first on the studies that were routinely carried out for each certificate and second on the “special studies” that were not part of the routine agenda; and (c) a series of six critical observations and explanations based on the validity issues described in the first section.

Numerous scales have been developed and utilized in the tourism and hospitality field, yet, their psychometric properties have not been systematically reviewed and evaluated. This gap compromises researchers' ability to develop better measures and improve measurement decisions. In this current study, 56 scales were identified and evaluated in terms of their psychometric properties. It was found that most scales were imperfect in measuring tourism and hospitality domains, and most scales did not provide explicit information about the scale development procedures that were adopted. The scale development procedure and psychometric properties of the reviewed scales are summarized, evaluated, and recommendations are made for future tourism and hospitality scale development.

The Balanced Scorecard (BSC) proposes four dimensions to represent business performance: Financial, Customer, Innovation and Internal Business, and Learning and Growth. Surprisingly, little attention has been paid to the BSC as a valid construct representing performance. Despite surveys reporting that a growing number of firms use the BSC, little is known about the reliability and validity of the measures and dimensions it proposes. Validity problems impact on the importance and credibility allocated by management to certain BSC measures.

This study's objective is to empirically examine the construct validity of the BSC. Through a literature review and field study, a set of measures associated with all four BSC dimensions is selected. Next, survey research is conducted to examine the reliability of selected measures and the structure of BSC dimensions. Lastly, we examine the convergent and discriminate validity of the BSC's measures using the multitrait–multimethod (MTMM) matrix.

Results show that the BSC – with its four dimensions and related measures – represents a valid construct. This study responds to research calls on the importance of validating the BSC framework – and its associated measures – in order to enhance consistency on BSC research.

This chapter draws from an understanding of measurement error to address practical issues that arise in measurement and research design in the day-to-day conduct of research. The topics include constructs and measurement error, the measure development process, and the indicators of measurement error. The discussion covers types of measurement error, types of measures, and common scenarios in conducting research, linking measurement to research design.