How do information technology and knowledge management affect SMEs’ responsiveness to the coronavirus crisis?

Abstract

All organizations have been affected by the coronavirus pandemic in different ways. Small and medium-sized enterprises (SMEs) are more vulnerable to changes due to their limited resources. However, the capabilities of information technologies and processes of knowledge management can assist these enterprises to survive and respond appropriately to changes. Thus, this study aims to assess the extent to which information technology capabilities influence the responsiveness of SMEs to challenges that have emerged during the coronavirus crisis. It also investigates the degree to which knowledge management affects such a relationship in the context of Saudi Arabia. The study includes developing a survey as a data collection method. The responses from 136 SMEs were used to make an analysis and, consequently, draw a conclusion. It has been found that IT capabilities positively influence SMEs’ responsiveness to changes brought by coronavirus, through supporting work flexibility and providing a wide range of options in the supply chain, processes, and sales. It further found that knowledge management mediates the relationship between IT capabilities and SMEs’ responsiveness.