eThesis - School of Business electronic theses

Purpose

The purpose of the study was to provide recommendations on how to enhance acceptance and utilization of information technology in a rural financial cooperative in a developing country context. The objective was firstly to find out what motivates employees in a rural financial cooperative to accept and use technology and secondly detect obstacles and challenges that may hinder the acceptance and efficient utilization.

Methodology

The research method of this study was a qualitative case study conducted in Ugandan savings and credit cooperative MAMIDECOT. The focus of the analysis was on the acceptance and usage of the FAO-GTZ MicroBanking system (MBWin). The data sources included semi-structured interviews, direct observation and secondary data sources. 29 interviews were conducted during the nine days field trip in Uganda in May-June 2009. In addition, one interview was conducted by email. Interviewees included users of MBWin, clients of MAMIDECOT and key informants from FAO and GTZ.

Findings

Based on the study, it can be concluded that local institutional, infrastructural and cultural contexts have a significant influence on information technology acceptance and utilization. Thirteen main factors that motivate employees in rural financial cooperatives to accept and use information technology were identified. The greatest challenges are related to dual record keeping, poor physical infrastructure, weak technical support, lack of human capabilities and improper implementation process. The study provides recommendations on how the management should promote dropping the manual system, establish internal support structures, improve training, make implementation process more efficient and monitor the information technology usage more effectively.