Knowledge is a very powerful asset for the creation of competitive advantage. A tacit knowledge, which is not explicitly known by the others become very important and one of the traits that can make a company successful. Due to that reason, an internal organizational structure or resource like business process, and management become a crucial part in the company itself in creating a competitive advantage against the competition with other company. When this development of knowledge becomes more easily accessed with the help of the information system that is equipped with IoT enabled system, makes the knowledge transfer become faster. Different company background has their own primary and supporting factor that make them adopt innovations. This innovation adoption behavior is very critical to be investigated. This study, the research question will focus on exploring these factors that influences the to adopt innovations
To explore the critical factors from the company’s innovation adoption behavior, we select four SME cases in Indonesia. By qualitative methodology, we interview six people from the four companies in order to get a better view about the influence of the factors among them. The interview is followed by a direct observation in the company, to ensure the naturalism and confirmation of the result in the interview section. All the four SMEs are located in the southern region of Indonesia, where the Indonesia population are concentrated, and these four cases are collected from four different industries to see the different view among them. With this method, we can explore the answer to the innovation adoption behavior.
Based on the results of the interviews, we proposed several findings that explain company’s innovation adaption behavior. First, the primary reason of the innovation adoption behavior is the economic scale, not only this factor directly influences the intention, but this factor also influences the operational complexity of the business process, and affect the intention even higher. The other findings are in the personal level, the top management education and experience is the primary factor that positively influence the company’s intention to adopt innovations as they influence the knowledge owned by the top management that represent the knowledge owned by the company.

Knowledge is a very powerful asset for the creation of competitive advantage. A tacit knowledge, which is not explicitly known by the others become very important and one of the traits that can make a company successful. Due to that reason, an internal organizational structure or resource like business process, and management become a crucial part in the company itself in creating a competitive advantage against the competition with other company. When this development of knowledge becomes more easily accessed with the help of the information system that is equipped with IoT enabled system, makes the knowledge transfer become faster. Different company background has their own primary and supporting factor that make them adopt innovations. This innovation adoption behavior is very critical to be investigated. This study, the research question will focus on exploring these factors that influences the to adopt innovations
To explore the critical factors from the company’s innovation adoption behavior, we select four SME cases in Indonesia. By qualitative methodology, we interview six people from the four companies in order to get a better view about the influence of the factors among them. The interview is followed by a direct observation in the company, to ensure the naturalism and confirmation of the result in the interview section. All the four SMEs are located in the southern region of Indonesia, where the Indonesia population are concentrated, and these four cases are collected from four different industries to see the different view among them. With this method, we can explore the answer to the innovation adoption behavior.
Based on the results of the interviews, we proposed several findings that explain company’s innovation adaption behavior. First, the primary reason of the innovation adoption behavior is the economic scale, not only this factor directly influences the intention, but this factor also influences the operational complexity of the business process, and affect the intention even higher. The other findings are in the personal level, the top management education and experience is the primary factor that positively influence the company’s intention to adopt innovations as they influence the knowledge owned by the top management that represent the knowledge owned by the company.

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