investigation of factors affecting healthcare organization’s adoption of telemedicine
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Investigation of Factors Affecting Healthcare Organizations Adoption of
Telemedicine Technology
Paul Jen-Hwa Hu
University of South Florida
Patrick Y.K. Chau
University of Hong KongOlivia R. Liu Sheng
University of Arizona
Abstract
Recent advances in information and biomedicine
technology have significantly increased the technical
feasibility, clinical viability and economic
affordability of telemedicine-assisted service
collaboration and delivery. The ultimate success of
telemedicine in an adopting organization requires the
organizations proper addressing both technological
and managerial challenges. Based on Tornatzky and
Fleischers framework, we developed and empirically
evaluated a research model for healthcare
organizations adoption of telemedicine technology,
using a survey study that involved public healthcare
organizations in Hong Kong. Results of our
exploratory study suggested that the research model
exhibited reasonable significance and classification
accuracy and that collective attitude of medical staff
and perceived service risks were the two most
significant factors in organizational adoption of
telemedicine technology. Furthermore, several
implications for telemedicine management emergedfrom our study and are discussed as well
1. Introduction
Telemedicine is essentially about use of
information and biomedicine technology to support,
facilitate or improve collaboration and delivery of
healthcare services among geographically dispersed
parties, including physicians and patients [1].
Healthcare organizations have become increasingly
aware of and knowledgeable about telemedicine in
recent years. In effect, many organizations have
exhibited considerable interest in adopting
telemedicine technology to support practices of
member physicians or extend services of the
organization, as manifested by a fast growing
number of telemedicine programs established around
the world.
The ultimate success of telemedicine requires an
adopting organization to address both technological
and managerial challenges effectively [2]. In this
exploratory study, we investigated the decision
factors important for healthcare organizations
adoption of telemedicine technology. We took a
factor modeling approach and specifically employed
the organizational adoption framework proposed by
Tornatzky and Fleischer [3], who suggested that an
organizations adoption of a technological innovation
should take into account several essential contexts,
including the environmental, the organizational and
the technological. This framework conceptually
describes organizational innovation adoption
phenomena and, at the same time, provides a
necessary foundation upon which relevant adoption
factors can be identified within the respective
contexts. Anchoring our analysis of telemedicine
technology adoption by healthcare organizations
within this framework, we identified relevant
adoption factors jointly leading to the development
of a research model, which was evaluated using a
survey study that involved public healthcare
organizations in Hong Kong. Results of the study
provided a desirable point of departure forsubsequent research of organizational adoption of
telemedicine technology in health care.
The organization of the remainder of the paper is
as follows. Section 2 reviews previous telemedicine
research and relevant prior innovation/technology
adoption studies, highlighting our motivation.
Section 3 describes our overall research framework
and the resulting research model, together with the
specific hypotheses to be tested by the study. Section
4 details our research approach, design and data
collection methods, followed by discussion of data
analysis results in Section 5. The paper concludes in
Section 6 with some implications for telemedicinemanagement, readily derived from our findings.
2. Literature Review and Motivation
Broadly, technology adoption can be understood
as an organizations decision to acquire a specific
technology and make it available to target users for
their task performance. Contrary to a common
dichotomous view, we considered technology
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be determined by combination of the organizational,
technological and environmental contexts.
In response to the growing significance of
telemedicine and limited previous research in
organizational adoption, we investigated adoption oftelemedicine technology by healthcare organizations
in Hong Kong. We proposed to develop a research
model that included factors important for
organizational technology adoption and empirically
to examine the model, using a survey study targeting
public healthcare organizations in Hong Kong.
Detailed descriptions of the research framework and
model follow.
3. Research Framework and Model
In this study, we employed the organizational
innovation adoption framework suggested byTornatzky and Fleischer [3] for several reasons.
First, the framework is largely consistent with and
supported by results of most previous research,
including Brancheau and Wetherbe [13], Fichman
[14], Zmud [15], Bretschneider [16], Copper and
Zmud [17], Kimberly and Evanisko [18]. In addition,
the framework appeared to encompass most of the
important adoption issues identified in a previously
conducted case study [9] as well as from our pre-
study interviews with clinical managing physicians
from multiple organizations.
According to Tornatzky and Fleischer [3],
technology adoption that takes place in an
organization is influenced by factors pertaining to the
technological context, the organizational context, and
the external environment. The technological context
essentially describes the technology to be adopted
and can be in part depicted by its important
attributes. The anticipated results of technology use
are another locus of the technological context and
often have significant effects on an adopting
organization, within its existing organizational and
environmental contexts. Thus, the technological
context can be jointly described by important
technology attributes and the anticipated results of
technology use. We replaced Tornatzky and
Fleischers [3] organizational context withorganizational readiness, which refers to the
availability of the conditions needed for an
organizations adopting telemedicine technology
[20]. An organization usually has considerable
influence on its internal condition with respect to a
particular technology adoption. However, desirable
changes to and cultivation of organizational
readiness may require considerable time or resourcesand are often subject to various existing constraints,
internal and external. The external environment
defines the external world in which an organization
operates. In most cases, an organization has limited
influence or control over its external environment
and thus needs to take the context as it is, striving for
an optimal fit with and rapid adaptability to the
context.
Choice of the research framework provided a
foundation upon which specific factors essential for
adoption of telemedicine technology by healthcare
organizations were identified. Figure 1 depicts our
research model. As shown, the technological contextincludes both technology attributes and anticipated
results of technology use. Perceived ease of use [19]
is an important technology attribute. As a group,
physicians are not particularly known for
technological competence and have a tendency to
consider technology as tools for supporting their
practices. Thus, a technology that is difficult to use
or operate is not likely to be well received by
physicians. In turn, as the organization proceeds in
the adoption process, this concern may represent a
backward pressure on the adoption decision making.
The organization consequently needs to properly
evaluate a technologys ease of use as perceived by
physicians. Effects of perceived ease of use havebeen inconsistent in previous research, suggesting its
significance on technology adoption might be
technology-specific or generally of a moderate level.
T e c h n o l o g i c a l C o n t e x tT ech no lo gy A tt r ib ute s: R es u lts o f T ec hn olo gy U se :- P erc e iv ed E as e o f U se - P erc e iv ed B en ef i ts
- P e rc ei ve d T e ch n ol og y S af et y - P e rc ei ve d R i sk s
O r g a n i z a t i o n a l R e a d i n e s s- C o l l e c t i v e A t t i t u d e o f M e d i c a l S t a f f
E x t e r n a l E n v i r o n m e n t- S e r v i c e N e e d s
T e c h n o l o g y
A d o p t i o n
Figure 1: Research Model for OrganizationalAdoption of Telemedicine Technology
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Thus, we hypothesized that perceived ease of use has
a positive effect on an organizations likelihood of
adopting telemedicine technology.
H1: Higher levels of perceived ease of use have a
positive effect on an organizations likelihood ofadopting telemedicine technology.
Perceived technology safety may be another
important technology attribute. Broadly, most
telemedicine technologies have as yet to mature, as
indicated by limited evidence of their clinical
efficacy. To a great extent, physicians are cautious
about the safety of the technology used in their
providing or delivering needed care and services.
This paramount safety concern of physicians can be
summarized by the first principle of their practice:
Do no harm! Accordingly, we posited that perceived
technology safety has a positive effect ontelemedicine technology adoption by healthcare
organizations.
H2: Higher levels of perceived technology safety
have a positive effect on an organizations
likelihood of adopting telemedicine technology.
Perceived service benefits and perceived service
risks are two essential aspects of anticipated results
of technology use. Support for perceived benefits as
a crucial technology adoption factor has been strong
[20]. In this study, perceived service benefits were
largely comparable to Rogerss [12] relative
advantages and refers to the degree to which
telemedicine technology is perceived as being betterthan or superior to existing service arrangements for
patient care and services. Accordingly, we
hypothesized that perceived service benefits have a
positive effect on organizational adoption of
telemedicine technology. On the other hand,
healthcare organizations are concerned with the
service risks that might result from the use of an
innovation, including technology, protocol,
procedure and treatment plan. Understandably, an
organization may have concerns about the potential
risks of telemedicine in such service areas as
physician-patient relationships, patient privacy and
service effectiveness. As such, we postulated thatperceived service risks have negative effects on
technology adoption.
H3: Higher levels of perceived service benefits
resulting from use of telemedicine technology
have a positive effect on an organizations
likelihood of adopting the technology.
H4:Higher levels of perceived service risks resulting
from use of telemedicine technology have a
negative effect on an organizations likelihoodof adopting the technology.
In most cases, physicians are arguably the most
important users of telemedicine technology. Based
on findings from a previously conducted case study
[9] as well as comments made by clinical managing
physicians in pre-study interviews, the attitude of
medical staff toward telemedicine and its enabled
services is important to organizational technology
adoption. The bottom-line is that my staff would
use the technology, commented the chief-of-service
of a surgery department where a previously acquired
computer-based patient record system had seldombeen used by his fellow surgeons. Previous research
has also suggested that attitudes of key personnel are
an important factor for organizational technology
adoption [21-22]. Specifically, attitude assessment
should proceed at a collective rather than an
individual level. Thus, we hypothesized that the
collective attitude of medical staff has a positive
effect on organizational adoption of telemedicine
technology.
H5: Stronger levels of collective attitude of medical
staff toward telemedicine and its enabled
services have a positive effect on an
organizations likelihood of adopting
telemedicine technology.
Service needs are an important factor for the
external environment. Healthcare organizations
purpose is to provide services to those in need and
thus they need to explore and evaluate alternatives
when existing delivery arrangements cannot meet
service demands, measured by service volume or
quality. In their investigation of organizational
adoption of computer-aided software engineering
(CASE) technology, Rai and Yakuni [23] concluded
that needs-pulled factors were important to
organizational adoption decision. Accordingly, we
posited that service needs have a positive effect ontelemedicine technology adoption by healthcare
organizations.
H6: Higher levels of service needs have a positive
effect on an organizations likelihood of
adopting telemedicine technology.
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4. Research Approach, Design and Data
Collection
This section describes our research approach,target organizations, instrument development, and
data collection methods.
4.1 Research Approach We took a factor modeling approach, aimed at
advancing the general understanding of telemedicine
technology adoption by healthcare organizations. As
Kimberly and Evanisko [18] commented,
concentration of the research focus can help to
identify and isolate factors that clarify the nature of
phenomena in a particular sector and, at the very
least, can suggest hypotheses that can be generalized
beyond that sector and tested in other sectors, eventhough the finding may have limited direct
applicability. With the factor modeling approach
taken, we identified factors that may affect
organizational adoption of telemedicine technology
and empirically evaluated their significance,
generating results that will be needed for subsequent
confirmatory studies and research model
development or refinement.
We took a key informant approach to data
collection. Specifically, we used responses of clinical
managing physicians contacted at participating
organizations (including clinical departments) to
assess technology adoption that had taken place intheir respective organizations. The particular target
informants included hospital executive officers,
clinical departments chiefs-of-service, and care
center directors. Use of key informants to obtain
information about the investigated organizations is
justifiable and common [21,24]; its application in our
study was appropriate and desirable for several
reasons. First, key informants presumably have a
fairly comprehensive understanding of the external
environment and the internal condition of the their
respective organization. By and large, our target
informants had better knowledge about the overall
(big) picture and therefore were considered to bemore qualified information providers than individual
physicians. At the same time, key informants were
physicians themselves and therefore were able to
analyze and evaluate technology adoption from the
perspective of care providers as well. The dual role
of target informants as administrator/manager and
clinician was essential and desirable for our
examination of telemedicine technology adoption
taking place at the organizational level.
The dependent variable was organizationaltechnology adoption, which was measured using a
continuum consisting of 7 distinct and consecutive
current adoption levels that approximate the
likelihood of telemedicine technology adoption by
individual organizations. That is, the probability of
an organizations adopting telemedicine technology
will increase as its current adoption stage moves up
the adoption continuum. For instance, an
organization that has already submitted a formal
adoption proposal currently under an external
funding agencys review is more likely to adopt
telemedicine technology than organizations that have
thought about potential adoption but decided not topursue it at present. Use of the adoption continuum
not only described organizational technology
adoption in increasing detail but also permitted
dichotomous classification in data analysis. This
process-oriented treatment is intuitive and logical
because technology adoption taking place in an
organization usually progresses through several
distinct but consecutive latent stages before reaching
an observable state, including actual technology
acquisition and use. In this light, absence of
observable adoption manifestations does not
necessarily suggest that an organization has decided
not to adopt a particular technology. On the contrary,
the technology adoption under consideration mayhave been steadily progressing through the necessary
intermediary latent stages and soon become
observable.
From the data analysis perspective, use of the
adoption continuum is pragmatic and desirable. As
described, the consecutive adoption levels can
represent or indicate the likelihood of technology
adoption and thus are appropriate for our hypothesis
testing. As such, the logistic regression technique can
be applied to classify the dependent variable using
some appropriate adoption stage threshold.
Furthermore, the adoption continuum is effective in
coping with existing real-world constraints. To agreat extent, telemedicine developments in Hong
Kong are largely in an early phase and actual
technology use currently is not widespread but is
expected to grow rapidly. Thus, use of the adoption
continuum allowed our investigation of current
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adoption stages of various organizations in spite of
their overall limited technology use and, at the same
time, enabled the identification of potential adoption
barriers.
4.2 Target Organizations We targeted public healthcare organizations in
Hong Kong, including hospitals, rehabilitation care
centers and specialized clinics. Clinical departments
were considered as independent units of analysis
because of their autonomy and specialization. The
decision to concentrate on public healthcare
organizations was made primarily because of the
relative likelihood of their adopting the technology.
To a certain extent, public healthcare organizations
are more likely to adopt telemedicine technology
than their counterparts in the private sector for
several reasons [9]. First, public healthcareorganizations represent the major care providers in
Hong Kong and thus have greater service needs that
may be effectively addressed by telemedicine than
private care providers. Secondary and tertiary care,
in particular, have considerable under-addressed
service demands. Second, public organizations have
relatively greater access to the resources necessary
for adopting new technologies, compared with
private clinics and hospitals. Third, public
organizations have reasonable technical support,
from both in-house technology bases and the Health
Authority (HA), which probably has the most
sophisticated technology capability in the Hong
Kong healthcare system. Thus, these organizations
tend to be more technologically ready for
telemedicine than private clinics and hospitals.
4.3 Instrument Development The development of our survey instrument
proceeded as follows. First, we reviewed relevant
prior research to identify and select appropriate
candidate measurement inventories, which were then
supplemented with additional items derived based on
findings of pre-study interviews and discussion with
a focus group that consisted of 3 chiefs-of-service
from different specialty areas. The resulting
preliminary question items were examined by thesame focus group, which evaluated their content
validity at face value. Based on group feedback,
several minor modifications, including wording
choice, were made to enhance the question items
communicability in the healthcare context.
The question items were subsequently tested using
a card sorting method [25] that involved one chief-
of-service, one hospital medical executive and onedirector of a long-term care center. None of these
pre-test physicians had participated in the focus
group and, like the focus group physicians, they were
excluded from the subsequent formal study. The
question items were printed on 8x6 index cards,
which were shuffled and presented randomly to the
pre-test physicians, each of whom was asked to sort
the cards into appropriate categories. Results from
the card-sorting test were largely satisfactory; the
physicians were able to categorize the question items
correctly with an accuracy rate of 83 percent or
better.
A 7-point Likert scale was used for all questionitems except the one that measured the dependent
variable, with 1 being strongly agree and 7 being
strongly disagree. To ensure desired balance of the
items in the questionnaire, half of the question items
were properly negated to invite the attention of
respondents who, as a result, might become
increasingly alert to manipulated question items. In
addition, all the question items were arranged
randomly to minimize the potential ceiling (floor)
effect that could induce monotonous responses to
question items designed to measure a particular
underlying construct. To anchor the responses
properly [26], we provided in the questionnaire an
explicit working definition of telemedicine andincluded in each packet selected general references
of telemedicine and some example technologies.
The dependent variable, current adoption level,
was defined at 7 distinct and consecutive levels, each
of which provides a necessary foundation for the
level above it. For data analysis purposes, we
considered an organization as an adopter if it has at
least submitted a formal technology adoption
proposal that was currently under external review.
Thus, as we defined them, adopters also included
organizations that had already implemented
telemedicine technology and used it for clinical
purposes or had located and secured the necessaryfinancial resources and technology source.
Organizations whose current adoption stages had not
reached the particular adoption threshold were then
considered as non-adopters in our data analysis.
We chose proposal submission for external review as
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the minimum adoption criterion because it was
observable, signaling that formal adoption had
begun. Furthermore, the distinction between proposal
submission for external review and its succeeding
stage (i.e., have or about to complete an adoptionplan) was more defined and explicit than that
between the succeeding stage and its precursor (i.e.,
have designed a task force or individual to
investigate potential adoption).
4.4 Data Collection We collected the data using a self-administered
questionnaire survey. Contact information for the
target informants was obtained from an internal
medical staff directory published by the HA. Before
distributing the questionnaires, each target
respondent was informed by a faxed introductory
letter that briefly stated the studys purpose and itsanticipated results and significance. Questionnaire
packets were sent by postal mail. Each contained a
cover letter that explicitly stated the purpose and
intended use of the data to be collected, endorsement
letters from the Hong Kong Telemedicine
Association (HKTA) and the IT division of the HA,
selected general references of telemedicine and
sample technologies, the questionnaire and a self-
addressed stamped envelop. Use of the HA internal
medical staff directory allowed coding and tracking
for individual informants, enabling the identification
of non-respondents to be contacted in subsequent
follow-up procedures.
Each target informant was given approximately 2
weeks to complete the questionnaire, dated from the
estimated packet arrival. A reminder letter was faxed
to all target respondents a week after their estimated
receipt of the questionnaire. A second reminder letter
was faxed each respondents secretary 2 or 3 days
before the specified response time window expired,
asking her to remind the subject to complete the
questionnaire and return it using the stamped return
envelop provided. Reminders and additional
questionnaires were sent by mail to those who failed
to return the completed questionnaire within the
initial response period. Late respondents were given
another 10 days to complete the questionnaires andtheir secretaries were telephoned to inform them
about the incoming questionnaires and ask them
again to remind the subjects to complete the
questionnaires. A second reminder and another
questionnaire were faxed to the target respondents
who had not yet responded at the end of the extended
response period. Finally, a terminating response
window of one week was indicated in a faxed
reminder to the remaining non-respondents, whowere asked a final time to mail in their completed
questionnaires.
5. Data Analysis Results
In this section, we highlight data analysis findings
in terms of respondent profile, measurement
reliability and construct validity, and logistic
regression results, described as follows.
5.1 Respondent Profile Of the 188 questionnaires distributed, 113 were
completed and returned, showing a 60.1 percentresponse rate. Among them, nine were partially
completed and therefore were excluded from the
subsequent data analysis, making the effective
response rate 50%. As a group, the responding
organizations had an average of 34.8 physicians or
specialists and employed 142.1 nurses and 34.3
technicians. Most of our respondents were male
(84.1%), held the post of chief-of-service (66.4%),
and had received their basic medical education in
Hong Kong (81.4%). On the average, respondents
were 43.5 years of age and had had 17.7 years of
post-internship clinical practice.
From the perspective of medical specialty areas,distribution of the responding organizations was
fairly balanced. A total of 18 specialty areas were
represented by the collected data, which showed
relatively higher levels of participation from Internal
Medicine, Pediatrics, Radiotherapy and Oncology,
Surgery, Obstetrics and Gynecology, and Pathology
than other specialty areas. Primary care, long-term
care and rehabilitating care were also included and
accounted for 3.5, 0.9 and 6.2 percent of responses,
respectively.
A total of 62 responses were completed and
returned within the initial response window,
accounting for 65.5 percent of the effective
responses. These respondents were considered earlyrespondents, whereas the remaining ones were late
respondents. Comparative analysis of the early and
late respondents suggested no significant differences
in their respective organizations, as measured by the
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number of physicians, nurses and technicians.
Similarly, these two respondent groups were largely
comparable in several areas, including age, post-
internship clinical experience, and the respective
distribution of gender, post, and country wheremedical school was attended. Jointly, findings from
the comparative analysis suggested little or reduced
non-response bias.
5.2 Measurement Reliability Use of multiple items to measure a specific
construct requires examination of the reliability or
internal consistency among the measurements [27].
We evaluated measurement reliability using the
Chronbach alpha derived from the question items for
the same construct. As shown in Table 1, all
investigated constructs exhibited an alpha value of
close to or greater than 0.7, a common reliabilitythreshold for exploratory research [28]. Thus, data
analysis results suggested that the measurements
used in the study encompassed reasonable reliability.Factor Cronbachs Alpha
Perceived Benefits (5 Items) 0.75
Perceived Risks (4 Items) 0.80
Service Needs (2 Items) 0.85
Collective Attitude of Medical Staff (3 Items ) 0.78
Ease of Use (2 Items) 0.70
Perceived Technology Safety (2 Items) 0.68
Table 1: Analysis of Measurement Reliability
5.3 Convergent and Discriminant Validity
Construct validity of the survey instrument wasevaluated in terms of convergent and discriminant
validity [27]. Specifically, we performed inter-item
correlation analysis and factor analysis. Based on the
analysis results, correlation coefficients were
considerably higher among question items designed
to measure the same construct than among those
intended for different constructs. The observed
higher levels of correlation among measurements for
the same than different constructs suggested that our
instrument exhibited adequate convergent and
discriminant validity.
A principal component factor analysis was also
performed, using varimax rotation method with
Kaiser normalization. A total of 6 components were
extracted, precisely matching the number of
constructs included in our research model. Question
items designed for the same construct exhibited
prominently and distinctively higher factor loadings
on a single component than on others, suggesting
satisfactory convergent and discriminant validity of
the measurements. Jointly, results of correlation
coefficient analysis and factor analysis suggested that
our instrument encompassed adequate construct
validity, as manifested by satisfactory measurement
convergent and discriminant validity.
5.4 Logistic Regression Results Logistic regression was used to evaluate our
research model and hypotheses. Choice of this
particular data analysis technique was based
primarily on its flexibility in assumption
requirements and our intended dichotomous analysis
of the dependent variable. Specifically, we examined
the significance and classification accuracy of the
research model. Regression results showed that the
research model was not significantly different from a
perfect model that can classify all responding
organizations to the correct adopter or non-adopter
category, as indicated by its goodness-of-fit statisticwith chi-square being 73.17 and significance being
0.8551. The classification accuracy or discriminant
power of the model was also examined. Judged from
the adoption threshold used in the study, our data
consisted of 19 adopters and 75 non-respondents.
Thus, random guesswork in theory would result in a
classification accuracy of 67.74%; that is, (19/94)2+
(75/94)2 = 0.6774. On the other hand, the
classification accuracy accomplished by the research
model was 84.04, considerably higher than that of
random choice. The observed superiority suggested
that the research model encompassed desirable
classification accuracy or discriminant power.
Support for individual hypotheses was examined
using the respective regression coefficients and their
significance. As summarized in Table 2, collective
attitude of medical staff, perceived service risks and
perceived ease of use were found to have significant
effects on organizational technology adoption, with
p-values being 0.005, 0.006 and 0.013 respectively.
However, perceived service benefits, service needs
and perceived technology safety appeared to be
insignificant in determining whether or not a
healthcare organization would adopt telemedicine
technology.
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Factor Coefficient Wald Statistic Significance
Perceived Service Benefits -0.42 1.66 0.1975
Perceived Service Risks -0.99 7.72 0.0055
Service Needs 0.46 2.30 0.1292
Collective Attitude of Medical Staff 1.48 8.00 0.0047
Perceived Ease of Use -0.71 6.12 0.0133
Perceived Technology Safety 0.38 1.37 0.2421
Table 2: Logistic Regression Results
6. Implications for Telemedicine
Management
Several implications for telemedicine
management can be readily drawn from our study
findings. First, attitudes of medical staff toward
telemedicine and its enabled services are essential to
technology adoption and thus management may need
to ensure that a favorable collective attitude has been
cultivated and solidified before proceed with actual
technology acquisition and implementation. In our
study, collective attitude of medical staff toward
telemedicine and its enabled services was the mostsignificant factor differentiating adopters and non-
adopters. This may in part have resulted from the
professional nature of health care, in which
physicians often have relatively autonomous
decision making and are able to preserve individual
independence in determining whether or not to adopt
a technology. Compared with end-users in a
business-organization context, physicians appeared
to have more influence on adoption decisions that
may affect their practices, making their attitude
assessment and management an increasingly
important issue in organizational technology
adoption. Our study results suggested that perceived service
risks were the second most significant factor for
organizational adoption of telemedicine technology.
The propensity to resist change can be considerable
in health care, especially when change may bring
about significant service uncertainty or adverse
ramifications to physicians practices. Conceivably,
physicians may be concerned about incorporating
telemedicine in their practices in the light of
potential legal liability and service disputes or
degradation. However, not all perceived service risks
are verifiable and their removal requires evidence-
based information exchange and communication.
Effective means for removing or reducing undue
perceived service risks may include pre-adoption
technology experimentation and trial use as well as
making arrangements for interacting with peers
routinely providing telemedicine-assisted services.
Perceived ease of use of telemedicine technology
was also found to have a significant effect on the
likelihood of an organizations adopting technology.
However, the coefficient obtained from the
regression analysis was negative. This suggests that
an organization currently in an adoption stage close
to reaching actual technology implementation and
use may not consider perceived ease of use as
important actor as would an organization currently
in a primitive adoption stage. The observed
discrepancy is in agreement with some prior
research that has suggested perceived ease of use to
be an insignificant or relatively weak predictor of
technology adoption. In the context of telemedicine,
the finding suggests that an organization highly
anxious about the technologys ease of use may
become less concerned about this particular issue
when it has moved to a more advanced adoption
stage (e.g., beyond formal technology investigationand evaluation). That is, perceived ease of use might
be a relatively less important technology adoption
factor but its significance can be over-appraised by
organizations not familiar with telemedicine or
situated in an early stage of the adoption process.
Undue perceived service risks may result from
knowledge barriers which can be reduced or
removed with detailed technology assessment and
proper communication of evaluation results.
Our study findings also suggested that effects of
perceived service benefits on technology adoption
were not significant. One plausible explanation may
be that telemedicine remains a novelty to many
organizations whose technology adoption or
intention is primarily driven by considerations other
than specific service benefits, including envisioned
professional status enhancement and clinical
technology experimentation or exploration.
Similarly, service needs were not found to be an
important adoption factor, suggesting that
telemedicine should not be viewed as a panacea
for all unmet service needs but rather as facilitating
or supporting some but not all physicians tasks and
services. Desirable sustainability requires an
organization to identify explicitly in its technology
adoption plan the target services of telemedicine that
cannot be satisfactorily addressed by existing servicearrangements. In addition, effects on perceived
technology safety were not significant, either. This
may in part reflect that many organizations tend to
consider technology adoption from the perspective
of service experimentation or clinical trials.
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