Top Management Commitment
Management commitment to technology acquisition, application and exploitation must be
seen as well as felt through the organization. Top management must be directly involved in
technology-related decision even if there are technically qualified staffs in the organization.
A "hands-off" approach must be avoided. Mechanisms to ensure integrated decision-making
must be put in place (Tengku Mohd Azzman, Karthyeni & Roslan Ahmad, 1998).
As an organizational factor, top management commitment is required to ensure successful
adoption of the Internet technology. The importance of leadership to the change management
process is highlighted by the fact that change requires creating a new system and then
institutionalizing the new approaches. Management needs to monitor employees’ response to
technological change, and institute appropriate action programs for IT acquisition,
implementation and operation (Fink 1998). For Example, the CEO has been shown to play a
significant role in the successful adoption of IT in small business (Thong and Yap 1995).
According to the 1998 e-commerce India Survey Report, senior level support and budget
allocation were given due weightage as actions taken for integration of e-commerce
technologies with existing processes. The survey also reported that IT Department and
Executive Committee are the biggest sponsors.
Figure 1 provides the research framework used in this study. E-readiness of SMEs is the
dependent variable, while infrastructure and technology, human capital, information security
and organizational factors are the independent variables. The organizational factors
considered in this study are resistance to change and top management commitment.