Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia

In Malaysia, manufacturing industry is a major contributor to the economic advancement. As a result, cutting-edge technology like the internet of things (IoT) is projected to have a significant impact on business operations and supply chain management (SCM). However, research into the influence of I...

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Main Authors: Lee, Khai Loon, Puteri Nurhazira, Romzi, Hanaysha, Jalal Rajeh, Alzoubi, Haitham M., Alshurideh, Muhammad
Format: Article
Language:English
Published: Growing Science Ltd. 2022
Subjects:
Online Access:http://umpir.ump.edu.my/id/eprint/32968/
http://umpir.ump.edu.my/id/eprint/32968/1/uscm_2021_119.pdf
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author Lee, Khai Loon
Puteri Nurhazira, Romzi
Hanaysha, Jalal Rajeh
Alzoubi, Haitham M.
Alshurideh, Muhammad
author_facet Lee, Khai Loon
Puteri Nurhazira, Romzi
Hanaysha, Jalal Rajeh
Alzoubi, Haitham M.
Alshurideh, Muhammad
author_sort Lee, Khai Loon
building UMP Institutional Repository
collection Online Access
description In Malaysia, manufacturing industry is a major contributor to the economic advancement. As a result, cutting-edge technology like the internet of things (IoT) is projected to have a significant impact on business operations and supply chain management (SCM). However, research into the influence of IoT deployment on supply chains and organizational performance is relatively sparse. Therefore, this study is to determine the relationship between benefits and challenges of IoT adoption and organizational performance. Furthermore, this study looks into the mediating role of supply chain performance in the relationship between IoT adoption benefits and challenges and organizational performance. The population of this study is comprised of 3019 manufacturing companies in Malaysia, while the minimum sample size needed is 43 manufacturing companies.1160 complete set of survey questionnaire were distributed through email and 63 responses received representing five per cent of response rate. Partial Least Square Structural Equation Modelling (PLS-SEM) is used to assess all of the study's hypotheses. The results of this paper support six out of the seven hypotheses tested. In conclusion, the manufacturing industry in Malaysia needs to be exposed more to the benefits of IoT rather than keep discussing its challenges. This study can be a guideline to the manufacturing companies in decision making for IoT adoption. The limitations and recommendation for future study is highlighted.
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institution Universiti Malaysia Pahang
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spelling ump-329682022-05-31T01:11:37Z http://umpir.ump.edu.my/id/eprint/32968/ Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia Lee, Khai Loon Puteri Nurhazira, Romzi Hanaysha, Jalal Rajeh Alzoubi, Haitham M. Alshurideh, Muhammad H Social Sciences (General) HD Industries. Land use. Labor In Malaysia, manufacturing industry is a major contributor to the economic advancement. As a result, cutting-edge technology like the internet of things (IoT) is projected to have a significant impact on business operations and supply chain management (SCM). However, research into the influence of IoT deployment on supply chains and organizational performance is relatively sparse. Therefore, this study is to determine the relationship between benefits and challenges of IoT adoption and organizational performance. Furthermore, this study looks into the mediating role of supply chain performance in the relationship between IoT adoption benefits and challenges and organizational performance. The population of this study is comprised of 3019 manufacturing companies in Malaysia, while the minimum sample size needed is 43 manufacturing companies.1160 complete set of survey questionnaire were distributed through email and 63 responses received representing five per cent of response rate. Partial Least Square Structural Equation Modelling (PLS-SEM) is used to assess all of the study's hypotheses. The results of this paper support six out of the seven hypotheses tested. In conclusion, the manufacturing industry in Malaysia needs to be exposed more to the benefits of IoT rather than keep discussing its challenges. This study can be a guideline to the manufacturing companies in decision making for IoT adoption. The limitations and recommendation for future study is highlighted. Growing Science Ltd. 2022 Article PeerReviewed pdf en cc_by_4 http://umpir.ump.edu.my/id/eprint/32968/1/uscm_2021_119.pdf Lee, Khai Loon and Puteri Nurhazira, Romzi and Hanaysha, Jalal Rajeh and Alzoubi, Haitham M. and Alshurideh, Muhammad (2022) Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia. Uncertain Supply Chain Management, 10 (2). pp. 537-550. ISSN 2291-6830 (Online). (Published) https://doi.org/10.5267/j.uscm.2021.11.009 https://doi.org/10.5267/j.uscm.2021.11.009
spellingShingle H Social Sciences (General)
HD Industries. Land use. Labor
Lee, Khai Loon
Puteri Nurhazira, Romzi
Hanaysha, Jalal Rajeh
Alzoubi, Haitham M.
Alshurideh, Muhammad
Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title_full Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title_fullStr Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title_full_unstemmed Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title_short Investigating the impact of benefits and challenges of IOT adoption on supply chain performance and organizational performance: An empirical study in Malaysia
title_sort investigating the impact of benefits and challenges of iot adoption on supply chain performance and organizational performance: an empirical study in malaysia
topic H Social Sciences (General)
HD Industries. Land use. Labor
url http://umpir.ump.edu.my/id/eprint/32968/
http://umpir.ump.edu.my/id/eprint/32968/
http://umpir.ump.edu.my/id/eprint/32968/
http://umpir.ump.edu.my/id/eprint/32968/1/uscm_2021_119.pdf