Enterprise Resource Planning (ERP) Adoption in the Thai Agricultural Sector

Abstract

The Thai economy has been trying to adapt to the disruptive emerging new technologies. To this end, the Thai government has been actively delivering several modern technological policies and structural changes in the public administration. In the business sector, all business organizations have also been required to transform their current enterprise management so as to exploit the benefits of the technology stream and maintain their resilience. This study examines an actual reaction. More specifically, it focuses on the use intention of the agricultural sector with regard to enterprise resource planning (ERP) technology, which is meant to enhance their ordinary management basis. The technology acceptance model (TAM) is the main theory used to make this determination, along with three success factors of ERP study: government support (GOV), business process  re-engineering (BPR) and training (TRA). They are deployed as key indicators to predict intention characteristics of the agricultural enterprise. A questionnaire is used to survey the rice mill industry, which is a representative of the agricultural industry. The results are evaluated with the path analysis under the structural equation modeling technique. The findings indicate that three ERP success factors and two factors from the TAM have both positive direct and indirect relationships to the possibility for agricultural organizations to deploy ERP. In terms of managerial implication and policy recommendation, BPR is determined as the key parameter to fulfill the intention of ERP adoption.