Impact Of Information Technology Investments On The Performance Of Small And Medium Enterprises In Oyo State, Nigeria
Owomoyela, Samuel Kayode
Department of Business Administration, Osun State Polytechnic, Iree, Nigeria
Keywords: Small and Medium Enterprises, Information Technology, Performance, productivity, Profitability
Abstract
Nowadays, most Small and Medium Enterprises (SMEs) are moving away from a limited focus on efficiency to a wider set of goals that included collaboration and innovation. The advent of e-commerce has brought many changes in industrial value chains. This research project investigates the impact of Information Technology (IT) investments on the performance of SMEs operation in Nigeria. This research explored the extent to which the increase in the performance of SMEs operation can be attributed to the implementation of IT. The study was carried out in Oyo state, Southwest of Nigeria, Using a multi-stage sampling technique. The survey designed method in this study involves self-designed structured questionnaire in collecting data from 400 SMEs in Oyo state. The data collected was analysed using both descriptive and inferential statistical tools. The descriptive statistics used include percentages, tables, bar and pie charts while the inferential tools employed are correlation and Categorical regression analysis. The finding from this study showed that IT investment enhances productivity and profitability. The study also expected to serve as a guide to the government in formulating policy for the survival and growth of SMEs, policy and assists managers and owners of SMEs in decision making with respect to value created by ICT investment and development of business strategy related to IT investment