Teleworking adoption decision‐making processes: Multinational and Malaysian firms comparison

This paper aims at comparing teleworking adoption decision processes of multinational firms operating in Malaysia and Malaysian indigenous firms. It shows how to make comparative statistical analyses of teleworking adoption decision for the top managers of a firm.

A total of 98 organizations (represented by the CEO or Director of Human Resource Division) furnished usable responses for this study, out of a total of 162 organizations registered with the Penang Development Corporation (the registrar of companies that participated in the survey).

The results of statistical tests show that, in both multinational and Malaysia firms, the nature of work, organisational design, transportation problems, and relative advantage are important telework drivers. Availability of teleworking infrastructures is an important determinant of adoption in Malaysian firms but not in multinational firms, while workforce limitations have a strong influence on teleworking adoption in multinational firms but none in Malaysian firms.

The interest in teleworking as a new work arrangement among practitioners, government policy makers and organisations (foreign and local) in Malaysia, triggered by changes in society, has resulted in an unprecedented interest in research in this area, including the current effort.