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TOE Framework

TOE Framework identifies factors related to technology, organisation, and environment that influence technology adoption.

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TOE Framework - Triangular Diagram
Technology - Organisation - Environment
What is:

TOE Framework

In simple words, imagine:

A school decides to use tablets based on technology availability, school policy, and teacher support.

‍(TOE) Framework explains how companies adopt new technology.

    It considers three important factors
  • Technology: The tools and systems available‍
  • Organisation: The company’s structure and culture‍
  • Environment: External factors like competition and regulations
    When these factors align well, technology adoption is more successful .TOE helps companies plan and manage new technology implementations

Explain it to Grandma:

This is like planning a community garden. You need the right tools (technology), good organisers (organisation), and a supportive community (environment) to make it successful. It’s all about making sure everything is in place to help new ideas grow, just like preparing the soil before planting seeds.

Business Cases:

General Electric (GE)
Amazon Web Services (AWS)
SAP
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General Electric (GE)
Digital Industrial Internet
Manufacturing

GE applied the TOE (Technology-Organization-Environment) Framework to its Digital Industrial Internet initiative. The company assessed the technological, organisational, and environmental factors before adopting new technologies to enhance its manufacturing processes.

Result
Successful
GE’s careful consideration of these factors led to significant improvements in operational efficiency and productivity.
Amazon Web Services (AWS)
AWS Cloud Adoption Framework
Cloud Computing

AWS used the TOE Framework to develop its Cloud Adoption Framework. The framework helps organisations evaluate technology, organisational readiness, and environmental factors before migrating to the cloud, ensuring a smoother transition.

Result
Successful
The Cloud Adoption Framework has been widely adopted by businesses, leading to successful cloud migrations and increased reliance on AWS services.
SAP
SAP S/4HANA
Enterprise Resource Planning (ERP)

SAP utilised the TOE Framework in the development and deployment of SAP S/4HANA, its enterprise resource planning (ERP) solution. The company considered technological advancements, organisational needs, and market trends to ensure the solution met the demands of modern businesses.

Result
Successful
SAP S/4HANA has been adopted by many global enterprises, helping them streamline operations and stay competitive.

Academic Research:

TOE Framework

Authors:

Tornatzky, Louis G., and Fleischer, Mitchell

Paper Link

https://scholar.google.com

Year Researched

1990

Summary:

The Technology-Organisation-Environment (TOE) framework identified three aspects that influence the adoption of technological innovations: the technological context, the organisational context, and the environmental context. These aspects help explain why certain technologies are adopted in some settings but not others.

Some links

  • https://jsec.journals.ekb.eg/article_328997.html
  • https://typeset.io/papers/the-technology-organization-environment-framework-3xh0b7ar
  • https://www.researchgate.net/publication/327698725_The_Technology-Organization-Environment_Framework
  • https://en.wikipedia.org/wiki/Technology-organization-environment_framework
  • https://link.springer.com/referenceworkentry/10.1007/978-1-4419-6108-2_12