Challenges of virtuality from the viewpoint of SMEs

Abstract

This study analyses the collaboration in the context of small and medium size enterprises (SMEs). The paper approaches the research topic with a case study of fourteen manufacturing SMEs. In order to develop a collaborative network, companies need to develop their information and communication (ICT) capabilities and networking skills. To take a full advantage of collaboration, the companies have first to redesign and implement their own information sharing systems, such as enterprise resource planning (ERP) systems. This study examines the challenges and risks that may arise in the ERP implementation when building a virtual space for collaboration. Also, the current state of art is presented and scenarios are built of how to develop virtuality further.