Small and Medium Enterprises (SMEs) form an integral part of every economy as they are the leadingproviders of revenue and employment. However, as the global economy becomes more reliant onInformation Communication and Technology (ICT), some SMEs are yet to reap the benefits that ICThas to offer. The low rate of adoption and innovative use of ICT amongst SMEs has become significantresearch topics in recent times. One of the many contributing factors towards the above is the failureof SMEs to recognise ICT as a technological innovation, thus affecting their decision to adopt ICT.This and the lack of dynamism between ICT firms and SMEs further impede the development andinnovation of ICT for SMEs. Using a technology-organization-environment framework, this studyattempts to address the above issue by introducing a perception-based model for technologicalinnovation in SMEs. The model is to be further tested against data collected from an Australiancontext. The model has both research and practical contributions. For research, the model attempts tostudy the key determinants and processes of technological innovation and ICT adoption in SMEs.Further, the model attempts to help SMEs recognize that adopting ICT as a technological innovationis important but more of an adaptive than a technical challenge
