Understanding smes behaviour in accounting technology: Organizational competencies, technology, organization, and environment

Abstract

This study examines the factors influencing information and communication technology (ICT) adoption behavior in small and medium-sized enterprises (SMEs) through the lens of organizational competencies and the technology-organization-environment (TOE) framework. The objective is to enhance the understanding of ICT adoption behavior in SMEs to help them achieve sustainability by improving the quality of accounting information derived from ICT. This quantitative study uses primary data obtained using an online questionnaire distributed to SME owners and managers. Data are analyzed using structural equation modeling. The findings indicate that organizational competencies (ẞ = 0.628; t-value = 8.207; p-value = 0.000) and technology (ẞ = 0.254; t-value = 2.016; p-value = 0.044) positively affect ICT adoption, whereas organization (ẞ = −0.020; t-value = 0.161; p-value = 0.872) and environment (ẞ = −0.153; t-value = 1.086; p-value = 0.278) do not have a significant positive effect. The findings suggest a priority on strengthening organizational competencies and technological readiness, while environmental policy levers are positioned as ecosystem enablers for SMEs. This study examines ICT adoption behavior in SMEs using the TOE framework, aiming to enhance the quality of accounting reports and support business sustainability through informed decision-making based on reliable information. These findings suggest that SME managers should focus on refining organizational and environmental factors to improve accounting report quality and facilitate sustainable growth.