Revisiting IT Readiness: An Approach for Small Firms

Drawing from the literature, this paper offers an empirically validated framework for examining IT readiness in small firms. A conceptual framework of IT readiness for small firms is developed and validated empirically using a quantitative survey of 117 UK manufacturing small firms to identify distinct clusters of firms according to their states of IT readiness. The survey responses are grouped according to three distinct profiles that display varying degrees of IT readiness depending upon their strategic motivation, IT processes, project management and technology complexity. The novelty of the conceptual model differs from the prior literature on IT readiness by explicitly recognising the potential effect of IT maturity on the capability of the firm to respond to opportunities in its external environment. The paper also distinguishes between internal IT processes and project management skills.