Govt. Degree College (Boys), Udhampur, Jammu and Kashmir, India.
Abstract
ICT has revolutionised the economics of the manufacturing sector, resulting in enhanced production capabilities, profitability, market share, employee welfare and competitiveness. The paper focuses on ICT adaptation, usage, moderating role of Govt. in enhancing ICT usage and challenges encountered in the use of ICT in small rural manufacturing firms. Data were collected from 44 managers of small rural manufacturing firms located in the industrial estate of district Udhampur, UT of J&K. After data purification; responses were analysed using descriptive analysis, multiple regression, and moderation given by Andrew F. Hayes. The study confirmed the use of ICT as a tool for enhanced communication, improves information sharing and communication with internal & external stakeholders and has a low moderating role of Govt. in the relationship between ICT-induced information sharing with internal and external stakeholders and a firm’s competitive strength. High cost of ICT equipment, lack of supporting infrastructure, erratic power supply, absence of trained manpower, limited incentives from public agencies etc., are reported constraints in the use of ICT in small manufacturing firms. Since ICT usage significantly influences differentiation, Govt organisations should actively come forward and demonstrate ICT usage in varied areas like the development of new products, quality control, customer relationship management, gathering market intelligence, training etc., in small rural manufacturing firms.
Keywords: ICT, Small Firms, Moderation
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