Tiny Impact of ICTs and Paucity of Rigorous Causal Studies: A systematic review of urban MSMEs in the developing world

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Tiny Impact of ICTs and Paucity of Rigorous Causal Studies: A systematic review of urban MSMEs in the developing world P. Vigneswara Ilavarasan, PhD http://web.iitd.ac.in/~vignes (Jointly with Albert Otieno, Ying Huang, Charlie Cabotaje, Garima Sahay )

Agenda Systematic Review The question Process Findings Implications Vignesh 2

Systematic Review For evidence based policy making Rigorous search, extract, & synthesis Unbiased & Replicable Origins from medicine Intake of Vitamin C for cold Driven by experimental designs Increasing importance 3

Does The Protocol access to business relevant information through networked devices enhance the internal efficiency and business growth of the urban MSMEs in low and middle income countries? 4

Business relevant Info Business relevant Info Business relevant Info Question Networked Devices Internal Efficiency Time saving Intra-enterprise coordination Info to Customer Relationship Mgmt. Business networks Coordination with customers & suppliers. Market information & opportunities Inventory management Opportunities on financing Work -life balance Connected supply chain Mgmt Business growth Increase in sales, turnover, number of employees, branches, customers, suppliers, work locations, partnerships, products, services, business networks, and incoming referrals. Diversification into new areas of business, products & services. Policy environment, Gender, Owner & Enterprise characteristics, and Cultural factors

The Need MSMEs in national development in developing world Ubiquitous mobile devices or low cost devices Moving up from adoption studies to Impact studies Quantification of impact on MSMEs growth Causal linkages Empirical evidence based policy making 6

Keyword search of databases The Process Acad Search, business source, Econlit, Scopus, Wos, IEEE, ACM, AIS Electronic Library Example: 10. (SMEs or MSMEs or enterprise* or business* or microenterprise* or microbusiness* or entrepreneur* or microentrepreneur* or self-employ* or owner* or businessman or businessmen or businesswoman or businesswomen or "self-help group*" or cooperative* or "social enterprise*" or Start-up* or incubators or "born global*").ti,ab,sh. 11. (Laptop* or computer* or PC or Internet or landline* or telephone* or mobile* or phone* or cell or cellphone* or smartphone* or CSCs or telecenter* or telecentre* or Wifi or WLAN or GDPRS or messaging or digital or ipad* or iphone* or apple or android or windows or broadband or wireless or wireline or CDMA or SMS or text* or MMS or facebook or linkedin or network* or Intranet or "discussion list*" or contacts or "online forum" or "discussion thread*" or "online feedback" or ICT or ICTs or "communication technolog*" or "information systems").ti,ab,sh. Grey Literature 7

Inclusion Criteria Urban? Low and middle income countries? On MSMEs? Has primary / numerical data? Use at least one networked device? Process business relevant information? Done 2000 & after? English? 8

23926 Results Screening Acad Search; Business Source; Econlit; Scopus; WoS 1000+ IS, IEEE, ACM Conferences 500+ Grey Literature Title Abstract Methodology Full Paper Data Extraction Five screeners Double coding in the final stages 9

Final 10 papers All regression No experimental designs Africa & India The final papers 10

Findings IT Enabled KM practices Chadha, S. K., and Saini, R (2014) Process Improvement (0.31) Operational Support (0.34) Strategic Development (0.14) ecommerce Applications Jahanshahi et al (2011) Operational Performance (0.98) ICT Usage ICT Possession Esselaar et al., 2007 Labour Productivity (0.55) Usage of Mobile Technologies Wamuyu and Maharaj (2011) Organizational Performance (0.41) 11

Length of mobile use Total ICT Access Donner (2006) Chew et al (2011) Proportion of business calls (0.13) Business Growth (0.15) Length of mobile use Biz use of mobile Chew et al (2012) Business Growth (0.13; 0.07) Mobile money use Profits (0.36) Fredrick (2014) ICT Usage Exp Turnover (0.39) Esselaar et al., 2007 12

Quantitative Meta Analysis Business Growth Six studies Positive Small effect size (0.047) lower than desired small level 0.2 Stats. insignificant Internal efficiency Three studies Positive Small effect size (0.321) higher than desired statistically significant 13

Policy Implications Limited impact of ICTs on growth Total ICT access; mobile use length; business use; mobile money use, ICT usage expenditure Need for documenting evidences 14

Implications - Researchers Need for causal studies Moving beyond cross sectional survey studies Rigorous sampling techniques to enable possible generalizations Other LMI Countries India & Africa More beyond mobile centric approach Checking recursive relationships Disaggregated analysis MSMEs, Gender, etc 15

Thank you! Vignesh 16