Adoption of Technology–Organization–Environment Framework in the Digitization Decision of the Inventory Management

This study investigates the possible adoption of the technology–organizations–environment (TOE) paradigm to influence the food manufacturer to shift their warehouse operation to a digitalization process to boost their food production efficiency. It examines the elements that impact digitalization in inventory management, using the TOE framework as a lens for the adoption. This study employed a quantitative approach involving 63 respondents, and SmartPLS software was selected and used to analyze the information collected from the respondents. The findings indicated that accessibility, compatibility, performance expectations, top management support, company size, competitive pressure, and regulatory support directly the influence inventory management digitalization adoption. This study helps investors, government, logistics, and supply chain sectors, and students to understand what factors drive digital inventory management adoption. The developed framework provides input for related stakeholders in enhancing the inventory management process in Malaysia.