LEVERAGING TECHNOLOGY FOR ORGANIZATIONAL PERFORMANCE: EVIDENCE FROM SMES IN EDO STATE, NIGERIA.
By
Tule Peter Amaya-Akpala
Abstract
This study examines the role of technology adoption in enhancing organizational performance among small and medium-sized enterprises (SMEs) in Edo State, Nigeria. SMEs are widely recognized as critical drivers of economic growth, employment, and innovation, yet many face persistent challenges in competitiveness and sustainability due to limited technological integration. Using a mixed-method approach, data were collected through structured questionnaires and interviews with SME operators, and analyzed using descriptive and inferential statistics. Findings reveal that SMEs leveraging digital tools—such as mobile money platforms, point-of-sale systems, social media marketing, and e-commerce—record significant improvements in efficiency, profitability, and customer satisfaction. Technology adoption was found to explain nearly half of the variance in organizational performance, underscoring its strategic importance for SME survival and growth. However, barriers including high ICT costs, poor infrastructure, low digital literacy, and cybersecurity risks continue to hinder optimal utilization. The study highlights that while basic technologies are increasingly embraced, advanced systems such as enterprise resource planning and automation remain underutilized. It concludes that technology adoption is not optional but a necessity for SMEs seeking competitiveness in dynamic markets. Practical recommendations include targeted training programs to build digital capacity, government subsidies and tax incentives to reduce costs, and public–private partnerships to strengthen infrastructure. By providing empirical evidence from Edo State, this research contributes to the broader discourse on SME development in emerging economies and emphasizes the need for systemic interventions to foster sustainable digital transformation.
Keywords: Technology adoption, Organizational performance, Small and Medium Enterprises (SMEs), Edo State, Nigeria, Digital transformation, E-business, ICT utilization, Customer satisfaction, Efficiency, Profitability, Infrastructure challenges.