Adoption and Diffusion of Data Warehousing Technology: a System Dynamics Approach

This study initially employs multiple criteria decision making (MCDM) to evaluate and prioritise technological alternatives with the potential to fulfil the vision and objectives of one of the largest banks in Thailand. The study results reveal that the predominant preferred technology is data warehouse (i.e. a central source of data that has been extracted, standardised and integrated from various operational databases in support of management’s decision-making processes). Subsequently, system dynamics (SD) is employed to elaborate the diffusion model of data warehouse. The model is developed to identify the present state and the constraints of this technology. Then, strategic policies are proposed to detect those that may diffuse the technology most fruitfully and productively. The five main factors that drive the diffusion rate are: training as an instrument in creating knowledge workers; the co-operation between IT departments and key users; decrease in perceived complexity; top management support and increased positive features of technology.