Title: An empirical study on warehouse automated materials handling equipment adoption in Malaysian warehousing sector

Authors: Siti Norida Wahab; Muhammad Iskandar Hamzah; Zhen Xiang Khoo; Wen Sheng Yau

Addresses: Faculty of Business and Management, Universiti Teknologi MARA, 42300 Puncak Alam, Selangor, Malaysia ' Department of Entrepreneurship and Marketing Studies, Faculty of Business and Management, Universiti Teknologi MARA Cawangan Selangor, Kampus Puncak Alam, 42300 Bandar Puncak Alam, Selangor, Malaysia ' Department of Logistics Management, Faculty of Business, UCSI University, KL Campus, 56000, Kuala Lumpur, Malaysia ' Department of Logistics Management, Faculty of Business, UCSI University, KL Campus, 56000, Kuala Lumpur, Malaysia

Abstract: This paper aims to test factors that influence automated material handling equipment (AMHE) adoption within the warehousing sector. Following a quantitative field survey involving warehouse operators in Klang Valley, Malaysia, the study collects a total of 100 responses. Data were analysed using structural equation modelling. Findings reveal that perceived trust, perceived benefits, and perceived costs have no statistical impact on AMHE adoption while management support, external pressure and knowledge have positive effects on the same outcome. Furthermore, different levels of knowledge were found to have polarised interaction effects on the direction of the relationship between perceived trust and AMHE adoption intention. Hence, this paper provides useful insights for warehouse operators on the importance of having sufficient knowledge of AHME in warehouse operations. Besides, warehouse operators' management needs to emphasise in allocating its resources in terms of investment and technology, towards AMHE adoption. Given that this research is among the few that examine direct and contingency factors behind AMHE's adoption, it should provide valuable knowledge for future research on logistics, AMHE operations and technology adoption among scholars and practitioners.

Keywords: material handling equipment; automation; sustainable warehouse; warehousing; industrial development; technological advancement.

DOI: 10.1504/IJSOM.2022.124991

International Journal of Services and Operations Management, 2022 Vol.42 No.4, pp.539 - 563

Received: 04 Apr 2020
Accepted: 12 Jun 2020
Published online: 22 Aug 2022 *

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