Setyo Hari Wijayanto
Faculty of Economics and Business, Universitas Indonesia

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The Determinant Factors of Technology Adoption for Improving Firm’s Performance: An Empirical Research of Indonesia’s Electricity Company Zainal Arifin; Firmanszah .; Avanti Fontana; Setyo Hari Wijayanto
Gadjah Mada International Journal of Business Vol 18, No 3 (2016): September-December
Publisher : Master in Management, Faculty of Economics and Business, Universitas Gadjah Mada

Show Abstract | Download Original | Original Source | Check in Google Scholar | Full PDF (363.306 KB) | DOI: 10.22146/gamaijb.16898

Abstract

This study investigates the determinant factors of technology adoption by connecting Technology Organizational Environment (TOE) with the dynamic capability factors. Using 518 respondents representing 222 business units of Indonesia’s electricity company, the study found that only the absorptive capability has a positively significant effect on technology adoption. Practically, the study emphasizes that without the absorptive capability for managing the resource, the core competence of a firm will not occur and the adoption of technology will be less effective. Another finding is the absorptive capability’s typology mapping the eight technology adoption statuses in an organization, based on three of the determinant factors: the externalities, entrepreneurial leadership and slack resources.