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Managing IS Adoption Challenges in Emerging Technologies: A Longitudinal Case Study of Financial Management Services Automation in a Medium-Sized Enterprise

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Information Systems (EMCIS 2023)

Part of the book series: Lecture Notes in Business Information Processing ((LNBIP,volume 502))

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Abstract

Adapting to innovations of the Fourth Industrial Revolution (4IR) has proven to be a challenge for many organizations. This longitudinal and in-depth case study, focusing on the adoption and technology continuation of Robotic Process Automation, encompasses 25 interviews and complementary data collected between 2021 and 2023 in a medium-sized public company. The study’s findings underscore that the adoption of technology and its acceptance would greatly benefit from an increased understanding of the diverse challenges that emerge during long-term technological integration, rather than merely relying on initial adoption decisions. Of particular significance is the evolving role and nature of resistance to change over time, as well as the hesitancy in making decisions – both of which have notable implications for the rate of automation adoption. To mitigate resistance toward disruptive innovations, proactive management should, during the early stages, elucidate the reasons for apprehension, communicate the advantages gained by employees, and invest in relatively straightforward implementations that build knowledge and engender trust within the organization. The advent of 4IR innovations necessitates prompt and adaptable resource planning. It is improbable that organizations will achieve success in their adoption journey if they solely rely on outsourced technical competence.

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Correspondence to Henriika Sarilo-Kankaanranta .

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Appendices

Appendix A DCP2 Interviews

Position/ Role

Employment

Participation in DCP 1

Director, IT services

 >2 years

No

Director, Financial management services

 >2 years

No, replaced FM service manager

Main user in Financial management systems

 <2 years

No

Main user in Financial management systems

 >2 years, new position

No

ICT-specialist, RPA

 <2 years

No

Director, HR- and payroll services

 >2years

Yes

Accountancy specialist

 >2years

Yes

Development manager

 >2years, new position

No

ICT Designer, in a role supporting the automation team

 >2years

No

Project manager

 >2years

Yes

Accountancy specialist

 >2years

Yes

IT Specialist in knowledge management solutions

 >2years

Yes

Specialist in Accounts payable and receivable

 >2years

No

Service manager

 <2 years

No

Appendix B Restraints, Challenges and Accelerators of Adoption: Summary of Harmonized Open Coding Within Key-Themes in DCP2

Theme (variable)

Restraints and challenges from open coding

Accelerators from open coding

Competing technologies and compliance with EA

- Needs fulfilled by other technologies in the automation portfolio (Note. negative in RPA perspective, but positive in the perspective of comprehensive automation) or developments in the information system itself are preferred

- Challenges with several customer IS for same processes - >1) need for multiple robots 2) compromises with different customer needs

Good level of integration supports automation positivity

Resourcing model of development

Development with subcontractor: lower ROI, lack of customer knowledge, different financial objectives

Development with subcontractor: good project management, skilled experts

Incompleteness of processes

Restraints:

- Deficiencies in documentation or operative procedures

- Implementation road map either missing or not communicated

- Different cultures and processes between provinces

- Lot of work done on process documentation

- Suggested improvements on operations model accepted by senior management and to be executed

Interactions between IT and other teams

- Sharing the same level of understanding and lacking common language

- Need for developing further co-operation between IT and other operative teams as well as between financial management teams and HR & payroll team

Having IT unit in the same organization

Amount of knowledge and ideas

- Difficulty in prioritizing backlog

- Difficulty in efficiency estimations

- Understanding of RPA’s capabilities and actions has increased

- Goal set to expand RPA knowledge and skills in teams

- Skills for specification have improved

- Organization has skills to define robot specifications

- Teams have identified needs for automation and they are collected to an automation backlog

Resistance to change and trust (excl. list of individual RC and attitude experiences)

Causes RC and decreases trust:

- Lack of control or visibility in RPA production

- Distrust in tech. capabilities

Reduces RC and creates trust:

- Getting used to technology

- Positive attitude

Negative RC factor (-) Compatibility issues

- Difficulties in implementing complex rule sets for a robot

- Technical challenges

- Low flexibility of implementations

- Disappointment in tech. capabilities

None

Negative RC factor (-) Fear

N/A

- Fear of losing job was gone (No impact any longer)

Negative RC factor (-) Lag in processes

- Slow progress with implementations and low adoption rate

- Slow incident and problem management

- lack of agility

None

Negative RC factor (-) Scarcity of professional resources and knowledge

- Not enough automation specialists in-house or outsourced

- Personnel changes

- Obstacles to recruitment

- More urgent projects and excessive operative work

- Extra work needed for implementation and maintenance

- Misapprehension of objectives

None

Positive RC factor (+) Indirect external obligations (Triggers)

None

Variable had positive effect at earlier stages of continued adoption. No effect later in DCP2

Positive RC factor (+) Relative advantage

Relative advantage perceived lower, when:

- RPA is boring to work with

- Change does not bring personal benefits

- Technology is seen as unnecessary

- Unwillingness to hand over tasks to a robot

Relative advantage perceived higher, when:

- Motivational improvements and job satisfaction is gained

- Robots reduce personal workload

- A broader, positive effect of automation is observed

Positive RC factor (+) Success stories (excl. list of individual successes)

None

- Reliability of implemented robots and integrations

- Successful implementation projects (on time and goals met)

- General attitude shifted to positive

- Measured efficiency improvements

- Observed quality improvements

NEW Citizen development

Obstacles:

- Lack of resources and skills

Possibilities:

- Maintenance of robots and rule sets

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Sarilo-Kankaanranta, H., Frank, L. (2024). Managing IS Adoption Challenges in Emerging Technologies: A Longitudinal Case Study of Financial Management Services Automation in a Medium-Sized Enterprise. In: Papadaki, M., Themistocleous, M., Al Marri, K., Al Zarouni, M. (eds) Information Systems. EMCIS 2023. Lecture Notes in Business Information Processing, vol 502. Springer, Cham. https://doi.org/10.1007/978-3-031-56481-9_13

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