Assessment of Information and Communication Technology on the Performance of Selected Small and Medium Scale Enterprises in Ilorin Metropolis, Nigeria

Abstract

Information and communication technologies (ICT) and its impact in the economic, social and personal development had become an important object of scientific researches during recent decades. The focus of the study is on “Assessment of ICT on the performance of SMEs in Ilorin.A sample size of 100 SMEs was selected in a cross-sectional survey research design in Ilorin,Kwara State. The returned copies of questionnaire of 74 representing (74.0%) were accordingly analysed using simple percentage and regression analysis. The major result of the hypothesis tested showed that there is a significant relationship between the independent variable (adoption of ICT) on dependent variable (SMEs performance) (R = .663, R2 = .440; P < .05).Findings from the analysis of the data indicate that SMEs have gained a significant advantage using ICTs particularly in the areas of communication and customers’ satisfaction, marketing efficiency, market penetration and promptly responding to market changes, quality improvements for products and services, reducing operational costs and more importantly increasing revenue stream. In conclusion, since ICT has been shown to be a driving force to the improved performance of SMEs, its full adoption and usage should be encouraged and aggressively pursued.Based on the finding, the study recommended that government should invest heavily on ICT infrastructure and awareness aspects related to the benefits and adoption of ICT. The study also recommended that entrepreneurs/ business owners should be trained on online transactions (ecommerce), online business relationships (B2B and B2C), and resource management.