Key Factors Influencing Technology Adoption for Food Loss Management in SMEs

Main Article Content

Sutasinee Kusolchoo
Pittawat Ueasangkomsate

Abstract

Food loss is a pressing global issue, with significant economic, environmental, and social ramifications. Small and Medium Enterprises (SMEs), which constitute a substantial share of food production, often face higher levels of food loss during processing due to limited resources and production capacity. Digital technologies present a promising solution for managing food loss and enhancing sustainable food security. However, SMEs frequently encounter barriers, such as resource constraints, limited budgets, and inadequate technical expertise, when adopting such technologies. This study investigates the factors influencing the adoption of digital technologies for food loss management among SMEs in the food manufacturing industry by employing an integrated framework that combines the Unified Theory of Acceptance and Use of Technology (UTAUT) with the Technology-Organization-Environment (TOE) perspective. Data were collected through a census approach, using questionnaires emailed to representatives of food manufacturing SMEs registered with the Department of Business Development in the Bangkok Metropolitan Region, Thailand, yielding 371 usable responses. Confirmatory Factor Analysis (CFA) and Structural Equation Modeling (SEM) were utilized for data analysis. The findings revealed that performance expectancy, effort expectancy, and facilitating conditions, significantly impact the adoption of digital technologies, with facilitating conditions being the most influential factor. Conversely, social influence does not have a significant effect. The study highlights the importance of robust digital infrastructure, accessible technology specialists, and tailored training programs to enhance SMEs’ digital adoption. Furthermore, promoting awareness of the benefits of digital technologies and ensuring user-friendly solutions can improve confidence, motivation, and operational efficiency, ultimately reducing food loss in SMEs.

Article Details

Section
Articles

References

Agarwal, V., & Sahu, R. (2022). Predicting repeat usage intention towards O2O food delivery: extending UTAUT2 with user gratifications and bandwagoning. Journal of Foodservice Business Research, 25(4), 434-474. https://doi.org/10.1080/15378020.2021.1951074

Ali, I., Aboelmaged, M., Govindan, K., & Malik, M. (2023). Understanding the key determinants of IoT adoption for the digital transformation of the food and beverage industry. Industrial Management & Data Systems, 123(7), 1887-1910. https://doi.org/10.1108/IMDS-02-2022-0082

Baker, J. (2011). The technology–organization–environment framework. Information Systems Theory: Explaining and Predicting Our Digital Society, 1, 231-245. https://doi.org/ 10.1007/978-1-4419-6108-2_12

Batucan, G. B., Gonzales, G. G., Balbuena, M. G., Pasaol, K. R. B., Seno, D. N., & Gonzales, R. R. (2022). An extended UTAUT model to explain factors affecting online learning system amidst COVID-19 pandemic: The case of a developing economy. Frontiers in Artificial Intelligence, 5, 768831. https://doi.org/10.3389/frai.2022.768831

Bhageria, S., & Vyas, S. (2023). A study of environmental-friendly practices by food processing SMEs. In AIP Conference Proceedings, 2760(1). AIP Publishing.

Broun, R., & Sattler, M. (2016). A comparison of greenhouse gas emissions and potential electricity recovery from conventional and bioreactor landfills. Journal of Cleaner Production, 112(4), 2664-2673. https://doi.org/10.1016/j.jclepro.2015.10.010

Chaiyakulwat, N. (2018). An application of unified theory of acceptance and use of technology (UTAUT) for understanding the adoption of virtual investment community of retail investors (Master's thesis). Graduate School, Bangkok University. Retrieved from https://shorturl.asia/dBg3t

Chen, C. R., & Chen, R. J. (2018). Using two government food waste recognition programs to understand current reducing food loss and waste activities in the US. Sustainability, 10(8), 2760. https://doi.org/10.3390/su10082760

Chen, L., Rashidin, M. S., Song, F., Wang, Y., Javed, S., & Wang, J. (2021). Determinants of consumer’s purchase intention on fresh e-commerce platform: Perspective of UTAUT model. Sage Open, 11(2). https://doi.org/10.1177/21582440211027875

Cimino, A., Coniglio, I. M., Corvello, V., Longo, F., Sagawa, J. K., & Solina, V. (2024). Exploring small farmers behavioral intention to adopt digital platforms for sustainable and successful agricultural ecosystems. Technological Forecasting and Social Change, 204, 123436. https://doi.org/10.1016/j.techfore.2024.123436

Department of International Trade Promotion. (2023). The role of AI technology in Canadian food retail. Retrieved from https://www.ditp.go.th/post/155504

Digital Economy Promotion Agency. (n.d.). Food innovation and digital technology. Retrieved from https://shorturl.asia/DhvP5

Eiriz, V., Barbosa, N., & Ferreira, V. (2019). Impacts of technology adoption by small independent food retailers. Journal of Small Business Management, 57(4), 1485-1505.

https://doi.org/10.1111/jsbm.12413

Food and Agriculture Organization of the United Nations. (2018). Food loss and waste and the right to adequate food: Making the connection. Rome, Italy. Retrieved from https://shorturl.asia/Dnp0O

Food and Agriculture Organization of the United Nations. (2023). Developing capacity to reduce food loss and waste in Thailand. Rome, Italy. Retrieved from https://openknowledge.fao.org/handle/20.500.14283/cc4736en

Fornell, C., & Larcker, D. F. (1981). Evaluating structural equation models with unobservable variables and measurement error. Journal of Marketing Research, 18(1), 39-50. https://doi.org/10.1177/002224378101800104

Intaratrakul, K., & Pensupa, N. (2020). Food loss and food waste in Thailand and direction for amending. Naresuan Agriculture Journal, 17(2), 1-15.

Inuzuka, A., & Chang, L. (2023). Is participation in services a burden on customers? Optimizing the customer's role of participation. Review of Integrative Business and Economics Research, 12(1), 111-123.

Joshi, S., & Sharma, M. (2022). Digital technologies (DT) adoption in agri-food supply chains amidst COVID-19: an approach towards food security concerns in developing countries. Journal of Global Operations and Strategic Sourcing, 15(2), 262-282. https://doi.org/10.1108/JGOSS-02-2021-0014

Kamonthip, T., Akkaphop, A., Mungkhares, M., Achitpon, K., & Sapanna, A. (2022). Application design for food waste management and reduction. Journal of Innovative Media & Communication, 1(1), 48-68. https://doi.org/10.60101/jimc2022.34

Kattiyapornpong, U., Ditta-Apichai, M., & Chuntamara, C. (2023). Sustainable food waste management practices: perspectives from five-star hotels in thailand. Sustainability, 15(13), 10213. https://doi.org/10.3390/su151310213

Kattiyawong, T. K., Kuanprasong, L., & Niyomwong, T. (2019). Financial liquidity risk which affects the efficiency and operation potential of SMEs in the eastern economic border trading zone of Chantaburi provinces. Journal of Rambhai Barni Graduate Studies, 13(3), 130-139.

Kayikci, Y., Subramanian, N., Dora, M., & Bhatia, M. S. (2022). Food supply chain in the era of Industry 4.0: Blockchain technology implementation opportunities and impediments from the perspective of people, process, performance, and technology. Production Planning & Control, 33(2-3), 301-321. https://doi.org/10.1080/09537287.2020.1810757

Khan, S., Khan, S.U., Khan, I.U., Khan, S.Z., & Khan, R.U. (2024), Understanding consumer adoption of mobile payment in Pakistan, Journal of Science and Technology Policy Management, 15(6), 1339-1362. https://doi.org/10.1108/JSTPM-07-2021-0110

Kör, B., Krawczyk, A., & Wakkee, I. (2021). Addressing food loss and waste prevention. British Food Journal, 124(8), 2434-2460. https://doi.org/10.1108/BFJ-05-2021-0571

Krejcie, R. V. (1970). Determining sample size for research activities. Educational and Psychological Measurement, 30(3), 607-610. https://doi.org/10.1177/001316447003000308

Kline, R. B. (2023). Principles and practice of structural equation modeling. Guilford publications.

Kusumowardani, N., Tjahjono, B., Lazell, J., Bek, D., Theodorakopoulos, N., Andrikopoulos, P., & Priadi, C. R. (2022). A circular capability framework to address food waste and losses in the agri-food supply chain: The antecedents, principles and outcomes of circular economy. Journal of Business Research, 142, 17-31. https://doi.org/10.1016/j.jbusres.2021.12.020

Lehn, F., Goossens, Y., & Schmidt, T. (2023). Economic and environmental assessment of food waste reduction measures–Trialing a time-temperature indicator on salmon in HelloFresh meal boxes. Journal of Cleaner Production, 392, 136183. https://doi.org/10.1016/j.jclepro.2023.136183

Mangla, S. K., Kazancoglu, Y., Ekinci, E., Liu, M., Özbiltekin, M., & Sezer, M. D. (2021). Using system dynamics to analyze the societal impacts of blockchain technology in milk supply chains. Transportation Research Part E: Logistics and Transportation Review, 149, 102289. https://doi.org/10.1016/j.tre.2021.102289

Marikyan, D., & Papagiannidis, S. (2023). Unified theory of acceptance and use of technology: A review. In S. Papagiannidis (Ed.), TheoryHub Book. Open.NCL. https://open.ncl.ac.uk

Mohd Salleh, N. A., Rohde, F., & Green, P. (2017). Information systems enacted capabilities and their effects on SMEs' information systems adoption behavior. Journal of Small Business Management, 55(3), 332-364. https://doi.org/10.1111/jsbm.12226

Nikolopoulou, K., Gialamas, V., & Lavidas, K. (2020). Acceptance of mobile phone by university students for their studies: an investigation applying UTAUT2 model. Education and Information Technologies, 25(5), 4139-4155. https://doi.org/10.1007/s10639-020-10157-9

Oktaviani, R. D., Naruetharadhol, P., Padthar, S., & Ketkaew, C. (2024). Green consumer profiling and online shopping of imperfect foods: Extending UTAUT with web-based label quality for misshapen organic produce. Foods, 13(9), 1401. https://doi.org/10.3390/foods13091401

Okayama, T., & Watanabe, K. (2024). Performance of the food waste recycling law in Japan with reference to SDG 12.3. Recycling, 9(1), 18. https://doi.org/10.3390/recycling9010018

Polit, D., & Hungler, B. (1999). Nursing research: Principles and methods (6th ed.). Philadelphia: Lippincott Williams & Wilkins.

Ramanathan, R., Duan, Y., Ajmal, T., Pelc, K., Gillespie, J., Ahmadzadeh, S., Condell, J., Hermens, I., & Ramanathan, U. (2023). Motivations and challenges for food companies in using IoT sensors for reducing food waste: some insights and a road map for the future. Sustainability, 15(2), 1665. https://doi.org/10.3390/su15021665

Ramanathan, U., Ramanathan, R., Adefisan, A., Da Costa, T., Cama-Moncunill, X., & Samriya, G. (2022). Adapting digital technologies to reduce food waste and improve operational efficiency of a frozen food company—The case of Yumchop Foods in the UK. Sustainability, 14(24), 16614. https://doi.org/10.3390/su142416614

Sharma, A., Sharma, A., Singh, R. K., & Bhatia, T. (2023). Blockchain adoption in agri-food supply chain management: an empirical study of the main drivers using extended UTAUT. Business Process Management Journal, 29(3), 737-756. https://doi.org/10.1108/BPMJ-10-2022-0543

Shi, Y., Siddik, A. B., Masukujjaman, M., Zheng, G., Hamayun, M., & Ibrahim, A. M. (2022). The antecedents of willingness to adopt and pay for the IoT in the agricultural industry: an application of the UTAUT 2 theory. Sustainability, 14(11), 6640. https://doi.org/10.3390/su14116640

Toader, D. C., Rădulescu, C. M., & Toader, C. (2024). Investigating the adoption of blockchain technology in agri-food supply chains: Analysis of an extended UTAUT model. Agriculture, 14(4), 614. https://doi.org/10.3390/agriculture14040614

Venkatesh, V., Morris, M. G., Davis, G. B., & Davis, F. D. (2003). User acceptance of information technology: Toward a unified view. MIS Quarterly, 27(3), 425-478. https://doi.org/10.2307/3003- 6540

Wongsaichia, S., Naruetharadhol, P., Wongthahan, P., & Ketkaew, C. (2022). Ideating a sustainable swine feed prototype: A qualitative approach in farmers’ pain point identification and product development. Sustainability, 14(7), 4048. https://doi.org/10.3390/su14074080

Yang, B., Hung, Y. C., Kumar, G. D., Casulli, K., & Solval, K. M. (2024). From sunburn detection to optimal cooling: A review of recent applications of thermal imaging to improve preharvest and postharvest handling of fruit and vegetables. Scientia Horticulturae, 337, 113527. https://doi.org/10.1016/j.scienta.2024.113527

Yuvaraj, M., Basu, R. J., Abdulrahman, M. D. A., & Kumar, C. G. (2023). Implementation of information and communication technologies in fruit and vegetable supply chain: a systematic literature review. Industrial Management & Data Systems, 123(9), 2349-2377. https://doi.org/10.1108/IMDS-01-2023-0058

Zhu, L. (2017). Economic analysis of a traceability system for a two-level perishable food supply chain. Sustainability, 9(5), 682. https://doi.org/10.3390/su9050682