The browser you are using is not supported by this website. All versions of Internet Explorer are no longer supported, either by us or Microsoft (read more here: https://www.microsoft.com/en-us/microsoft-365/windows/end-of-ie-support).

Please use a modern browser to fully experience our website, such as the newest versions of Edge, Chrome, Firefox or Safari etc.

Evaluating determinants for ERP use and value in Scandinavia: exploring differences between danish and swedish SMEs

Author

  • Björn Johansson
  • Pedro Ruivo
  • Tiago Oliveria
  • Miguel Neto

Editor

  • Tadhg Nagle

Summary, in English

In the paper we present a research model for evaluating determinants of ERP value in small and medium-size enterprises (SMEs). The model is grounded in the diffusion of innovation (DOI) model and resource-based view of the firm (RBV) theory. The research model links six DOI determinants to explain ‘ERP use’ linked with two additional determinants to explain ‘ERP value’, on which nine hypotheses are postulated. The hypotheses were tested through structural equation modelling on a dataset from a web survey of 325 SMEs in Denmark (107) and Sweden (218). Through an empirical work we validate the theoretical arguments and provide insight into how SMEs use and value ERP, especially how perceived ERP use and perceived ERP value in Scandinavian SMEs can be explained. To our knowledge this is the first empirical research study on Scandinavian SMEs, thus adding a cross-country dimension to the innovation diffusion literature. Unlike the typical focus on ERP adoption in large firms found in the literature, this study focuses on post-adoption of ERP in SMEs. The main finding is that Danish and Swedish SMEs show different results despite the fact that they seem to be so similar. Our study reveals that while transactional efficiency, best-practices, and competitive pressure are important determinants of ‘ERP use’ in both Swedish and Danish SMEs, complexity is significant only among Danish firms. Compatibility has contrary effects, i.e., it is an inhibitor for Danish SMEs and a facilitator for Swedish SMEs to explain ERP use. Furthermore, while for Danish SMEs ‘ERP value’ is explained mainly by collaboration, for Swedish SMEs ‘ERP value’ is explained mainly by analytics. The facts that the research presents results focusing on SMEs makes it especially valuable since this is an under researched area, and that the research has 325 respondents also makes it important in exploring the differences and similarities between countries, adding an international dimension.

Publishing year

2012

Language

English

Pages

135-142

Publication/Series

Proceedings of the 6th European Conference on Information Management and Evaluation

Document type

Conference paper

Publisher

Academics Publishing International Limited

Topic

  • Information Systems, Social aspects

Keywords

  • ERP
  • SMEs
  • diffusion of innovation
  • resource-based view
  • use
  • value
  • post-adoption.

Conference name

6th European Conference on Information Management and Evaluation, 2012

Conference date

2012-09-13 - 2012-09-14

Conference place

Cork, Ireland

Status

Published

ISBN/ISSN/Other

  • ISSN: 2048-8912
  • ISSN: 2048-979X
  • ISBN: 978-1-908272-65-2
  • ISBN: 978-1-908272-66-9