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Barriers To Online Supply Chain Adoption

Info: 4323 words (17 pages) Dissertation Methodology
Published: 22nd Mar 2021

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Tagged: Supply Chain

Barriers To Online Supply Chain Adoption

This research process identifies and evaluates the academic journal “Barriers to the adoption of online supply chain solutions in small and medium enterprises”, from this determining what are the best methods needs to use to generate quality information. The abstract of this research measuring the Canadian SME business barriers of the e-Business adoption. This study evaluates which way Canadian SME e-business solution related with supply chain partners and determining what are the questions need to be answered to find the best conclusion.

Research Domain SME:

The Small and Medium level organization are defined as business with the less than two hundred and fifty employees and the nature of the business vary from the large company. The SME innovation, internet based supply chain management process less comparing with the bigger organization. The eBusiness domain specification notifying what situation it’s taken into this research and how it’s optimizing the business operation. The small and medium level firms quickly responding according to the economical change, this is the greater advantage over the big company.

The small company is more ‘flexible specialization’ due to business domain changes but employment relationship is less in SME. “Some less significant supplier businesses have suffered because big customers have in progress business online on a global basis or connected global purchasing portals, resulting in downward and occasionally indefensible price pressure (Brooks, 2001)”.

E-Business: The e-Business is the fashionable modern business, its providing internet based business with accuracy and efficient delivery. It’s supporting people to buy the product any moment from anywhere. Each and every second in the world millions of people buying and selling the product via internet. The trust relationship among the consumers and suppliers increasing the supply chain management.

SCM: It is a Manufacturing, distribution, transformation activity support for all business and end users. “Supply chain management activity supports the business to deliver the raw materials or product parts, inventory management, product order, distributing the products through different channels, monitoring the activities ( vokurka and Lummus, 1999)”. SCM is a greatest progress competitiveness and its dropping uncertainty and attractive to the customer and supplier interaction.

Identifying the research question:

A research problem use to come from real situation or observations. The investigation making many questions to identify the Canada SME barriers for the adoption of the internet supply chain activity. The theoretical problem identifying different business issues in SME and understating how SME organizations actually using business strategy to make success in their business. From the research problem we can able to find research questions in order to know more about small and medium supply chain management. After analyzing the literature the following questions raised

• What are the important in this SME research?

• What are the methods, business areas need further exploration?

• Is there any chance for improvement this study?

• What are the potential factors supports for SME to increase the e-Business?

• Will my research impact the field of interest?

• Is the SME data up-to-date or out of date?

The research question and problems is main key inputs for the next process.

Research questions relates to the research domain:

The research questions and problems investigating small and medium enterprises internet business. SMEs are mainly major part of growth for supply chain creation and this research questions finds the SME policy barriers in Canada. “The B2B transactions finding and taking place the supply chain and the B2B product element attracted by the buyer to get their product through internet (Rivard, 2002)”. The research question relates the e-business applications usage, online sales, supply chain interaction relationships.

Summarizing research:

After analysing this research the SME may get less benefit from the e-business supply chain solutions. The e-Business domain does not fully involved in SME due to the small organisation only concerned locally. In order to make competitive with other business in the new environment the SME supplier need to consider e-Business, this improve the efficiency and this power bring to the end consumer electronic relationship. It is clear that SMEs generally need to adopt e-business supply chain solutions.


The good hypotheses testable and measurable, its provide insight into a questions. The best research questions are important in terms of theory and application. This describes what we are expecting to discover in our research. The hypotheses relationship exists between independent variables versus variables dependent. Qualitative researchers characteristically discuss hypotheses or theory generated in the way of conducting research, as in investigative induction or grounded theory. “The best frequently cited articles on contributor inspection was written to show how to design a study using this method, ‘which seeks to discover hypotheses as well as to test them’ (Becker, 1958)”.

What are the main differences between SME e-Business adopters and non e-Business adopters?

What are the way E-business supports business communication and money transactions?

Is SME Managers need internet based supply chain management education?

How Supply chain decision dependency on SME business partners?

What is the procedure to adopt internet business into Small and Medium business?

“Secondary data include both quantitative and qualitative data and they are used principally in both descriptive and descriptive research, The data we apply may be raw data, where there has been small if any processing, or compiled data that have established some form of collection or summarizing (Kervin, 1999)”.

This research is sensible: The SME business evaluated back up data such as valuable qualitative data- words or text and quantitative data – numeric form used most frequently this research. There is no other experimental research included in this research. Diverse researches (Bryman, 1989, Dale et al., 1988) have generated a range of classifications for secondary data such as documentary data; survey-based data are used in this paper.

Alternative hypotheses: This research data answered that the difficulty of adoption eBusiness into the SME due to local business, less innovation, limited partnerships, not chain groups these are the positive hypotheses. Analyzing and researching this conclusion finding are negative hypotheses. Compare to Canada, the USA, UK countries SME business innovate new ideas and implementing online e-Business strategy. Due to the new technology adoption now a day’s many Canadian based SME implementing internet based supply chain management.


“The Methodology refers to the theory of how research need to be undertaken including the philosophical and theoretical assumptions upon which research can be based and the implications of these for the methods adopted (Saunders, M and Lewis, P., 2007).” This research paper evaluating barriers of the e-business supply chain adoption in the SME using data gathering, data analysis and presentation steps.

Data Gathering:

The secondary data is very useful for collecting background details and thus reducing data costs, saving time. The selected paper researcher secondary data fully not fitted, issues not explained completely. The data gathering information is not reliable completely and this does not contain many historical documents. This research data not used many statistics and not properly published. The advantages of the secondary data gathering source are very cheap comparing to the primary data collection.

The secondary data research for the SME e-Business barriers information collected from the books, internet, magazines, journals, articles. This research data maximum gathered from the source academic journal. Each secondary source got unique advantages, this information easily usable to other researchers. The books are mainly supported to find the literature review and to find the key issues of the wider Supply chain management, e-Business topic. As a result the internet is the best quick source to find the best huge relevant data. Used internet search tool to critically analyse the Canada SME business. The Research methodology books downloaded from the internet to collect a wide range of research information. Very few Magazines referred for the e-Business secondary research but the magazine didn’t have enough secondary sources. Many Journals referred from the Athens website, college library which contain detail information.

Data Sample – Representative:

The data sampling is one of the best data collection parts which are done by group members and census. Using sample analyze many research objectives, questions highlighted and the relevant data collected. The selected topic data sample limited to the particular SME, money, time. The sampling techniques provided all different range, subgroup which requires sample data to simplify. The sample provided the SME internet usage with the evidence of census. Due to the budget and time constraints surveyed the minimum people and calculated using different data technique. The two types of data sampling such as Probability, Non-Probability sampling associated with this survey. The barriers of the supply chain business in SME are survey based research strategies which supported to meet the objectives. Analyzing the research paper its used probability sampling and this can be divided into four main stages. This sampling method identified a suitable sampling frame but not used suitable sample size. Selected the important sample techniques but not delegated with the suitable population. Here the most important sampling techniques as Systematic, Stratified random techniques used.

Sampling frame:

The evaluated paper stratified random samples used in different sector such as distribution, manufacturing, retailing company. “This research contacted nearly 400 SME company and nearly 173 company agreed to contact the telephonic interview and the response would be nearly 43 percent, each interviews was 15 to 20 minutes (Shan Wang, Author)”. The sampling frame analysed in SME purchasing, technical, Sales shops and it’s not included in their responsibilities.

Questionnaire: This survey questionnaire directly or indirectly influences the SME managers and employees. The questionnaire included with internet and demographics usage. These perceptions included with the supply chain management, and other research response statements. The internet usage response varied different SME participants, strongly disagree range is maximum compare to the usage members range.

Data Analysis:

This research evaluation found that the data collection done with strongly visiting to the field research with the structured interviews. Many Data collection information is closely important such as company visiting, validating internet based data, telephonic interviews, and semi structured information also the best data collection. In this data analysis the weakness evaluated and notified through multiple SME sources. The B2B supply chain management information verified evaluated through the different documents, company structure.

“The face to face interview was very useful for collecting historical details from the participants (Creswell, 2003)”. The field research in this paper conducted in different SME suppliers in Canada. The empirical based evidence conducted through the online based product buyer and seller. Many of the end-user updated to the researcher that ‘the e-business purchasing and selling process applicable large business not in SME’. Evaluating data analysis, this search focused on supply chain management.

The important of the online based e-Business increase the supply chain management and make good long term relationship between the suppliers and customers. The e-Business B2B transaction improves the customer service; shares the business information, supports to store the vendor, supplier information. The procurement process, employee preferences, quality of communication will increase in the internet based business compare to the old style of business. From this research analyzed that the e-business benefits reduce the transaction costs and many top management understand the eBusiness agreement, significant. The SME supply chain management barriers identified in this research.

The SME supply chain data verified with the number of real time situation, found that this research data influences with online business transaction, new technologies. The percentage of the internet based SME business keep increasing and interacting with the suppliers and customers. The SMEs advertisement, promotion, e-mail communication, online gift offer providing the best improvement for online business. It is clear that the company online surveys indicates, ratio of the product purchase, company standard, quality of the services. The key statement of the business agreement data useful to identify the customers, supplier’s relationship. The digital video conference data reduces the travel cost, thus improving the efficiency of the communication. The software costs, innovation cost, training cost are the main impact for the SME business and this report critically analysed e-business adopters and non-adopters statement.

To identify the barriers of the e-Business supply chain management the evaluation of the interviewing concept provides strength and weaknesses of the SME supply chain activity. The investigation identified the size of the SME organisation, relationship between the customers, supply chain management policy and production process. After evaluating the data found that the SME not using the current technologies in all sectors. Talking to the academic research the SME enabling market position to meet customer needs. The research SME community understanding the new knowledge and updating the strategies to meet current expectation. The business information communication channel now a day’s more conflict, it’s provided much negative impact to the retailers. The modern life style moved to the technologies so the investigation suggesting to SME to use e-Business technology.

Quantitative Research:

Quantitative research is frequently contrasted with Qualitative research, as general quantitative research is disturbed with numbers and dimension rather than words in the collection and study of data. SMEs Quantitative research typically seeks to found casual relations between two or more variables using numerical methods to test the strength of the connection. Here the model research has recognized a regular and strong relationship between SME and e-Business supply chain management bond.

 Quantitative Statistical Analysis: This process of presenting and interpreting arithmetical data, the results part of research papers built-in quantitative data analysis frequently contains expressive statistics and inferential information. Supply Chain expressive statistics incorporated measures of central propensity, and measures of changeability about the average range and standard deviation. These all provide a picture of the data and use in the research project. Inferential figures are the outcomes of statistical tests, helping to test hypotheses and relating the findings to the example or population.

 Scientific Experiment: Quantitative communal research is rooted in a natural science model of research which sees the social world as agreeable to scientific study through experimental and statistical process. Here the data produced is arithmetical data which analysed in a variety of ways.

Qualitative Research:

Qualitative investigate is often contrasted with quantitative research. Here the SME quantitative research is concerned with understanding the meaning of human action from the perception of those studied, while quantitative research seeks to set up and explain casual relationships between variables and predict upcoming outcomes. Qualitative research is therefore less disturbed with measurement and more afraid with evaluating qualities. An assessment of customer perceptions of their purchaser power the following different method regimes would focus on the customer subjective interpretations of their purchase. Qualitative research is includes a variety of different approaches which have in common their theoretical supporting in interpretive methodologies. The data produced through qualitative research is usually documentary data or visual data and this analysed in a mixture of ways.

Data Presentation:

This research data presentation done by diagrammatic, report format with the picture, table structure. “The data describes in two ways similar to matrices, networks ways (Huberman and Miles )”. This research paper SME data showed in tabular columns, rows format. If Network nodes linked display indicate relationship with main key points. If this research data would describes in boxes or nodes format then the user can easily identify the relationship between parent and child data. “The best presentation creates through competencies and innovation idea ( Julta and Totdling, 2001)”. It is important that the preparation, practice and training is gives the best presentation. Here with this paper analysed, justified then presented as report. The delivered information showed with accurate numeric value and picture. The presentation related with the Canada SMEs retailer circumstances. This presentation answered the difficult research question and avoided the jargon.

Small and medium level company purchase details, ref: journal


Validity supporting to measure accurately what we have found in this research, this measure is customer satisfaction and supply chain process. Validity justifying this research as what we are claiming from this paper as customer point of view. The SME supply chain technology based method validating internet business objective.

Evidence supports:

The information what we need to get from the SME e-Business topic will find out more about the real world situation. The evidence searching mainly investigated from the selected paper and other critical evaluation information found from the alternative supports such as other resources. The research topic text and numerical data supporting for me to take best decisions which supporting me to create conclusion.

In Canada SME deal with national and international banks regularly, this mechanism now a day’s makes easier to carry out the B2B e-business between different countries. Recently the Canada banking sector supporting electronic financial support among the different SMEs. The internet digital certificate application secures the SME messaging, and document conduct techniques support SME Canada easily interacts with SME in UK.

In Canada only 35% SMEs has online e-Business which support to buy and sell product online, it is clear that the growth of the SME sector is more important in Canadian economy. Recently Canada got improvement in information, communication technology sectors which support SMEs to reach business goals. In summary Canada SME e-business adoption is low so, the recommendation of the online supply chain toolkit resources supports SMEs to overcome these issues.

Positional effects:

The researcher systematic presence effect supports to know the subject in depth. The researcher’s position and the world knowledge effected in this research and this influences impacted the results. The researcher conducted view is more influenced with the real time SME supply chain management business. The research effect is may be used in different case study but the potential results is unique expression pattern in different analysis.

The e-business supply chain process differs from the small business to the larger business. The market power is more in the big companies due to the brand image, volume of the business transaction. “According to Cox, The market power increase the partners influences which support to adopt innovation (Cox et al., 2004)”

Many of the supply chain e-Business barriers arise due to operation decisions, technological innovations. For example the survey suggests that the quality, price, reliability issues related with operations decisions. “The e-Business depends on experimentation, integration, transformation stages ( Myers, 2000)” . After analysing the SME stages, come to know that the experimentation stage is not available due to lack of resources. Many SME directly depend on the big organisations so, the small company high instability in manufactured goods demand.

The e-Business adoption improves business efficiency, effectiveness, and competitive positions. Analysing SME barriers are defined as less business operation, insufficient infrastructure, not enough financial, strategic support. The SME characteristics, management and competitive strategy influences to adopt e-Business supply chain management.


“The Evaluation refers to the ability to judge materials in terms of accuracy and consistency by comparison with external criteria (Rowntree, 1967)” The literature review supports to show the researcher evaluation ability and describes the limitation of research. “Research something that people undertake in order to find out things in a proper way, so the systematic research, find out things are more important, Systematic research based on logical relationships ( Ghauri and Gronhaug, 2005)”

The evaluation supporting in this research to view the secondary data collection as the primary data how collected. The evaluation is enabling and answering the research questions to meet business objectives. The SME eBusiness evaluation support to identify the business barriers and this information supports to answer the research questions. The secondary data is more valuable because this already exists. Evaluating the secondary data, the answers easily retrieved from the research questions. This secondary data supports to meet the objectives, provides recorded data with the associated costs.

Education and training are the main support for developing supply chain managerial skills, its necessary for successful small business. “Recent year’s business education in Canada improving and focusing in a great extends ( Ibrahim, 2009 )”.

“In order to get more benefit from the supply chain, all business should link electronically (smeltzer, 2002)”. If the business supply chain is more, it may compel the partners to adopt the internet based solutions. Critically reviewing the literature suggesting to the SME to adopt e-Business supply chain the following requirements must be met:

Technical adoption, increasing business infrastructure,

Adopting strategy, improving competitive position

Considering minimal behaviour change, conventional cost.

Improving market expansion, operational process.


 The Small business has few advantages has freedom, tax benefits, privacy; low start up costs as well as it has few disadvantages such as unlimited liability, lack on continuity, difficulty on raising money, the business reliance on one person. The study analyzed that the SME in Canada account for 98% and SME revenue is 19% of the total business revenue. The Canadian awards for Business excellence reached to small business entrepreneur. The recent Canada SME statistics says that the business concern with 0 to 499 employees and the gross revenue is nearly $50 million.

This research critically evaluated that the small business has been a best growth industry due to that the big company job layoffs are more, the large organisation supply chain management efforts often unrecognized. Many company efforts often unrecognized. The last few years small business easily adopting the e-Business compare to the previous years. Small business is economically, entrepreneurship wise more attractive. The data analysis found that the small business challenges, money making decisions, management policies. The research found that Canadian small business every year 13- 15% disappear and one half of new business fails in first 3 years. This research identified ‘Barriers to the adoption of online Supply chain solution in SME’ fails due to the poor technology knowledge, insufficient marketing knowledge, and insufficient production capability. This study suggest that SME management should aware the internet usage, need to know the e-business supply chain management features.

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A Supply Chain is a system in place between companies and their suppliers, from producing a product to distributing it ready to be sold. An effective and smooth running supply chain can contribute to the successful running of a business.

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