We found that ICT usage within SMEs in Oman is moderate in common technologies, but limited in the more
sophisticated technologies such as wireless, data storage and network security solutions. It was noticed that
Omani SMEs are taking a comprehensive approach to their ICT investment focusing on both strategic and
operational aspects of their business. The results of our study show that Omani SMEs are making
reasonable investment in ICT and that there is a modest competition among the SMEs. The main driving
forces for ICT investment was to provide better and faster customer service, to stay ahead of competition
and following top management strategy. The competitive strategy for the majority of SMEs was to provide
high quality products and services to their customers and to establish long term relationships with customers.
Nearly half of the respondents have realized business benefits of ICT adoption such as better customer
relationships, increase in revenue and in reducing costs. Two thirds of the respondents are very positive
about increasing their business performance in the future.
With regard to barriers to ICT investment, three fourths of the firms feel that a lack of necessary internal skills
is a major barrier. More than half of the respondents feel that the costs of implementation are too high. Lack
of availability of relevant information and advice on suitable and effective technologies is also one of the
major barriers. Other barriers include SMEs having no time to implement ICT projects, lack of top
management support, bad experience in the past and government regulations and requirements. These
findings are consistent with other studies e.g. (Harindranath et al 2008). This emphasizes the need for more
training facilities in ICT for SMEs, measures to provide ICT products and services at an affordable cost, and
availability of free professional advice and consulting at reasonable cost to SMEs. Our findings therefore
have important implication for policy aimed at ICT adoption and use by SMEs.
More than half of the participants outsourced over 50% of their activities. This can be related to lack of in-
house capabilities in ICT identified as a major barrier. These results also confirm findings of (Harindranath et
al 2008) and (Chibelushi 2008) and re-emphasize the need of ICT training for SMEs.
Overall, it seems that only a small number of SMEs in Oman are aware of the benefits of ICT adoption. The
findings of our research show that the SMEs lack necessary ICT knowledge and skills and mechanism to find
and receive advice and support. There is a need for more focus and concerted efforts on increasing
awareness among SMEs on the benefits of ICT adoption in order for SMEs to be more productive and
competitive. Also, there is a need for providing affordable ICT products, services, solutions and relevant
professional advice for SMEs. There is a need for government and professional trade organizations (such as
Chamber of Commerce and Industry) to address the gaps and issues identified in this study. The findings of
this research will provide a foundation for future research and will help policy makers in understanding the
current state of affairs of the usage and impact of ICT on SMEs in Oman.