Brazilian farmer perception of dynamic capability and performance over the adoption of enterprise resource planning technology

Abstract

The study investigates the perceptions of the effects and impacts on the performance of agricultural and livestock farms based on the view of obtaining dynamic capabilities by the adoption of enterprise resource planning (ERP) technology. The dimensions for measuring farmers’ perceptions of ERP adoption were technological, organizational and environmental and their diffusion and the impacts measured on dynamic capabilities were on internal operations, costs, sales and natural resources. A total of 502 farmers directly involved in managing the production, located in the main agricultural areas of Brazil were interviewed. The results indicated that the perception of obtaining dynamic capabilities in the farms by adopting the ERP was significant, but with lower levels in costs and natural resources. The influence of farm size on ERP adoption and its perception on farm performance was not significant. The proposed model proved to be adequate and can be validated and compared with other producing regions.