Effective benchmarking of innovation adoptions

Purpose Recent rapid pace in the introduction of innovations has made adopting new technologies, such as those used for electronic procurement, a routine practice. But successful technology adoption depends on a multitude of factors, including those related to the adopter, to the technology, to the provider and the network within which they operate. Without careful consideration of these factors, effectiveness of benchmarking of technology adoptions may be remiss of predictable outcomes. The paper aims to aid in understanding when and how benchmarking applies to technology adoptions by introducing a new conceptual framework. Design/methodology/approach The paper combines facets of established theories of innovation adoption to develop a new broad‐based framework. It then applies the framework to develop propositions on the adoption of two distinct types of e‐procurement technologies (EPT), namely electronic data interchange and online auctions. Findings Three prominent adoption theories that explain innovation adoption are highlighted and it is noted that while useful, on their own, these theories may have limited explanatory power. These paradigms are leveraged to develop an interlocked framework that helps better explain the factors that influence innovation adoption. The factors are categorized into four groups, namely that of the technology, the adopting firm, its trading partners and the network within which it operates. Research limitations/implications The paper's conceptual hypotheses need to be empirically validated in a later study. Practical implications The paper suggests that application of proper benchmarking practices that are reflective of the technology, the adopter, the provider, and network factors. Originality/value This paper fulfils a need to study how benchmarking of innovation adoptions in general, and for EPT in particular, can be made more effective by applying a multi‐dimensional perspective on their adoption.