DRIVERS OF WAREHOUSE MANAGEMENT SYSTEM (WMS) ADOPTION AND ITS EFFECTS ON DISTRIBUTION CAPABILITY AND OPERATIONAL PERFORMANCE
DOI:
https://doi.org/10.35631/JISTM.1142026Keywords:
Diffusion Of Innovations, Warehouse Management System, WMS Adoption, Distribution Capability, Operational Performance, Logistics Smes, Conceptual FrameworkAbstract
The logistics and supply chain sector in Malaysia is experiencing rapid transformation driven by digitalisation, e-commerce expansion, and increasing customer expectations for faster, more reliable delivery services. In this context, Warehouse Management Systems (WMS) have become an important technological enabler for improving warehouse efficiency, inventory visibility, and distribution processes. However, WMS adoption among Malaysian logistics firms, particularly small and medium-sized enterprises (SMEs), remains uneven due to technological, organisational, and financial constraints. Drawing on the Diffusion of Innovations (DOI) theory, this conceptual paper develops a framework to explain the drivers of WMS adoption and its proposed implications for distribution capability and operational performance. Specifically, the paper synthesises the five DOI attributes—relative advantage, compatibility, complexity, trialability, and observability—as key antecedents of WMS adoption. It further positions distribution capability as an important mechanism through which WMS adoption may enhance operational performance. By integrating innovation adoption theory with logistics capability literature, this paper offers a structured conceptual foundation for understanding how WMS adoption can contribute to operational improvement in Malaysian logistics firms. The paper contributes to the literature by extending DOI to the context of warehouse digitalisation and by proposing a theoretically grounded model that can guide future empirical research and managerial decision-making related to logistics digital transformation.
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