In spite of the roles played by ICT and the various efforts made by government at all levels to encourage SMEs to adopt ICT for effective performance, SMEs in Nigeria have failed to take the advantage of reaping the benefits of ICT application in order to perform optimally. The study therefore investigated the extent of ICT application by Small and Medium Enterprises, and evaluates the effect of ICT application on the performance of SMEs in Ondo State, using a well-structured questionnaire as method of data collection. Both descriptive and inferential methods of analysis were also used by the study. The descriptive analysis revealed that SMEs applied ICT devices to a large extent in their operations in the study area; leaving only the satellite system (2.03), cash counting machine (2.02), fax/telex (1.90) and Cash tiling machine (1.58) devices that were ‘not often’ or ‘never’ used, with their corresponding mean values within 1.81 – 2.6 and 1.0 – 1.8 respectively. The Hierarchical Multiple Regression and Analysis of Variance (ANOVA) results also indicated positive and significant effect of ICT application on performance of SMEs in the study area, with all the predictor models significant at 5% level. The study concluded that ICT application did not just make a difference but a significant difference in the performance of small and medium enterprises (SMEs) in Ondo State, Nigeria; while also recommended the need to put into constant use some of the ICT devices that were not often or ‘never’ used by SMEs, so as to continually serve the customers better, gaining competitive advantage and maintaining significant performance of SMEs in Ondo State, Nigeria.
Agbola, T., Egunjobi, L., Olatubara, C. O., Yusuf, O. D., & Alabi, M. (2003). Contemporary Social Science Research Methods: A Practical Guide. Nigeria: MURLAB Search wisdom Educational Services, p.133.
Akande, O., & Yinus, O. (2013). An Appraisal of the Impact of Information Technology (IT) on Nigeria Small and Medium Enterprises (SMEs) Performance. International Journal of Academic Research in Management, 2(4), 140- 152.
Apulu, I., & Ige, E. O. (2011). Are Nigeria SMEs Effectively Utilizing ICT? International Journal of Business and Management, 6(6), 207-214.
Apulu, I., & Latham, A. (2009). “Knowledge Management: Facilitator for SME’s Competitiveness in Nigeria.”UK Academy for information systems Conference Proceedings, 2009.6
Ayozie, D. O., Jacob, S. O., Umukoro, F., & Ayozie, V. U. (2013). Small and Medium Scale Enterprises (SMES) in Nigeria: The marketing interface. Global Journal of Management and Business Research Marketing, 13(9), 1-13.
David, S. C., & Bernard, K. N. (2018). Influence of ICT Adoption on Small and Medium Enterprises Performance in the Entertainment Sector. ResearchJournali’s Journal of Entrepreneurship, 5(2), 6-33.
Fatusin, A. F., & Oladehinde, G. J. (2018). Implication of ICT Use on Productivity and Regional Development Planning Among Small Scale Enterprises in Ondo State. Agricultural and Resource Economic International Scientific E-Journal, 4(1), 5-19.
Ghobakhloo, M., Sabouri, M. S., Hong, T. S., & Zulkifli, N. (2011). Information Technology Adoption in Small and Medium Sized Enterprises: An Appraisal of Two Decades Literature. Interdisciplinary Journal of research in Business, 1(7), 53-80.
Kuyoro, S. O., Awodele, O., Alao, O. D., & Omotunde, A. A. (2013). ICT Solution to Small and Medium Scale Enterprises (SMEs) in Nigeria. International Journal of Computer and Information Technology, 4(2), 785-789.
MacGregor, R. C., Vrazalic, L., Carlsson, S., Bunker., & Magnusson. (2012). The Impact of Business Size and Business Type on Small and Business Investment in Electronic Commerce: A Study of Swedish Small Businesses. Australasian Journal of Information System, 9(2), 31- 39.
Organisation of Economic Cooperation and Development (OECD). (2011). List of ICT Products and Services. Nigeria: Danmarks Statistik.
Yinus, O., Oladejo, M. O., & Akande, O. O. (2014). Impact of ICT Adoption on the Performance of Small and Medium Scale Food and Beverages Firms in Nigeria. International Journal of Advances in Management and Economics, 3(3), 45-52.
Olise, M. C., Anigbogu, T. U., Edoko, T. E., & Okoli, M. I. (2014). Determinants of ICT adoption for improved SMEs Performance. American International Journal of Contemporary Research, 4(7), 163- 176.
Onyeaghala, O. H., & Anele, C. A. (2014). Globalization: effects on small-scale business development in Nigeria. International Journal of Economics, Commerce and Management, II (5), 1-17.
Oyedele, O., Kareem, T. S., & Akanbi, F. K. (2016). Globalization and small and medium enterprises development in Nigeria: evidence from Lagos, Nigeria. International Journal of Economics and Business Management, 2(4), 22-29.
Ramoni, S. A. & Adepoju, B. A. (2018). Effects of Information and Communication Technology adoption on the operation of modern retail outlets in metropolitan Kano, Nigeria. Nigeria Academy of Management for 12th Technology Acceptance Model (TAM) Conference Proceedings.
Simon-Oke, O. O. (2020).Working Capital Management-Performance Relationship: A Study of Small and Medium Enterprises in Akure, Nigeria. International Journal of Economics, Commerce and Management, Vol. VIII, Issue 2, 386-396.
Small and Medium Enterprises Development Agency of Nigeria (SMEDAN) (2017).National Micro, Small and Medium Enterprises (NMSME) Survey Report.
Venkatesh, V., Morris, M. G., Davis, G. B., & Davis, F. D. (2003).“User Acceptance of Information Technology: Toward a unified view”, MIS Quarterly, 27(3), 425-478.
Wambaria, D. W., Kibas, P. B., & Asienga, I. C. (2016).Determ
In-Text Citation: (Olayemi & Bolanle, 2020)
To Cite this Article: Olayemi, S.-O. O., & Bolanle, A. O. (2020). Performance of Small and Medium Enterprises in Ondo State, Nigeria: Does Application of Information and Communication Technology Make a Difference? International Journal of Academic Research in Business and Social Sciences, 10(3), 749–760.
Copyright: © 2020 The Author(s)
Published by Human Resource Management Academic Research Society (www.hrmars.com)
This article is published under the Creative Commons Attribution (CC BY 4.0) license. Anyone may reproduce, distribute, translate and create derivative works of this article (for both commercial and non-commercial purposes), subject to full attribution to the original publication and authors. The full terms of this license may be seen at: http://creativecommons.org/licences/by/4.0/legalcode
