The use of IoT is believed to enhance organizational performance, including in the construction and manufacturing sectors. However, the IoT adoption rate in developing countries, including Indonesia, remains low due to various organizational, technical, and cultural challenges. This research analyzes the adoption process of IoT-based innovation at a concrete manufacturing company in Indonesia. This study uses a qualitative approach and a single case study method. Data were collected through in-depth interviews with internal stakeholders and analyzed using inductive thematic analysis. This study finds that the IoT adoption process in the company progressed through five stages: agenda setting, matching, redefining, clarifying, and routinizing. While the system has been fully implemented, the evaluation and monitoring phases are still ongoing. Key factors influencing the success of technology adoption include innovation attributes, namely relative advantages, complexity, trialability, and observability, and also organizational drivers such as social influence and facilitating conditions. The company’s collectivist culture and peer influence also encouraged healthy competition among units, accelerating technology use. Additionally, clear division of roles and a phased implementation strategy helped mitigate resistance and manage cost-related concerns. Other critical success factors were the collaboration between top management, middle management, and innovation champions at the operational level. This alignment enabled smoother knowledge transfer, faster decision making, and stronger system acceptance among employees. The study highlights that successful IoT adoption depends not only on technological readiness but also holistic organizational readiness for digital transformation from cultural, systemic, and strategic standpoints with emphasizing in leadership commitment. The findings offer practical implications for companies undergoing digital transformation.
Fauzia et al. (Sun,) studied this question.