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ISSN : 2233-4165(Print)
ISSN : 2233-5382(Online)
Journal of Industrial Distribution & Business Vol.11 No.4 pp.7-18

The Impact of Technology Adoption on Organizational Productivity

Monika LAKHWANI*,Omkar DASTANE**,Nurhizam Safie Mohd SATAR***,Zainudin JOHARI****
*First Author. MBA Student, Lord Ashcroft International Business School, Anglia Ruskin University, Cambridge, United Kingdom. Email:
***Associate Professor, Research Center for Software Technology and Management (SOFTAM), Faculty of Information Science & Technology the National University of Malaysia, UKM 43600, Bangi Selangor, Malaysia. Email:
****Head of School, School of Engineering & Information Systems, FTMS College Malaysia, Malaysia. Email:

© Copyright: Korean Distribution Science Association (KODISA)
This is an Open Access article distributed under the terms of the Creative Commons Attribution Non- Commercial License ( which permits unrestricted noncommercial use, distribution, and reproduction in any medium, provided the original work is properly cited.
**Corresponding Author. Head of Postgraduate Centre Cum Senior Lecturer, School of Accounting & Business Management, FTMS College Malaysia, Malaysia. Email:
February 12, 2020 March 31 2020 April 05, 2020


Purpose: This research investigates the impact of technology adoption on organisation productivity. The framework has three independent variables viz. technological change, information technology (IT) infrastructure, and IT knowledge management and one dependent variable as organisational productivity. Research design, data and methodology: An explanatory research design with a quantitative research method was employed, and data was collected using a self-administered questionnaire using online as well as an offline survey. The sample consisted of 300 IT managers and senior-level executives (production as well as service team) in leading IT companies in Malaysia selected using snowball sampling. Normality and reliability assessment was performed in the first stage utilising SPSS 22, and Confirmatory Factory Analysis (CFA) was performed with maximum likelihood estimation to assess the internal consistency, convergent validity, and discriminant validity. Finally, Structural Equation Model (SEM) and path analysis are conducted using AMOS 22. Results: The research findings demonstrated that technological change and IT infrastructure positively and significantly impact the organisation's productivity while IT knowledge management has significant but negative impact on organizational productivity of IT companies in Malaysia. Conclusion: The research concludes that all three factors plays important role in deciding organizational producvity. Recommendations, implications, limitations and future research avenues are discussed.

JEL Classification Code: M10, M15, O33





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