BUSINESS INTELLIGENCE SYSTEM ADOPTION THEORIES IN SMEs: A LITERATURE REVIEW

Today, business intelligence system (BIS) is universally considered as an essential tool to aid business decision making process. There is consensus that BIS has significant effects on predicting current and prospective views of business operations. These effects will only be realized if, and when, BIS are widely spread and used. An imperative study of BIS adoption theories is crucial in order to understand the determinants of BIS adoption. Previous studies on the BIS adoption theories in the global Small Medium Enterprise (SME) are limited. To fill the gap, this study is aimed to study the BIS adoption theories as reported by prior researchers and propose the BIS adoption model for SME in Malaysia. Through systematic literature review (SLR), this paper discusses two prominent models being adopted in SMEs. These two prominent models; diffusion of innovation (DOI) theory, and the technology, organization, and environment (TOE) framework are discussed in details in this paper. This paper also makes recommendations for future research.

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