An empirically derived model of the role of IS networks in business process improvement initiatives

During the past two decades both business managers and academic researchers have shown considerable interest in information system (IS) networks and their effect on business processes and performance. The present study builds on this interest to examine the nature of IS networks and business process improvement initiatives (BPII) and delineate the process by which IS networks influence BPII. Conceptually, both of these variables are considered multidimensional constructs, with IS networks comprising connectivity and flexibility dimensions and BPII involving process improvement initiatives and customer focus dimensions. We develop a model that elaborates on the interrelationships among these variables along with two key contextual antecedents (management support and information intensity) and pose a series of hypotheses. We then present the results of an empirical test of the model that involved structural equation modeling using data collected via a national mail survey from executives from ‘Fortune 500’ divisions. Overall, the results of the study found mixed support for our hypotheses. While network connectivity and network flexibility were found to be significantly related to process improvement initiatives, network flexibility did not have any significant effect on customer focus. The results of the study also indicate that top management support is significantly related to both IS network dimensions, which fully mediate top management support’s influence on both BPII dimensions. Information intensity was also found to be significantly related to BPII and partially mediated by network flexibility with regard to process improvement initiatives. Implications of this study and directions for future research are also discussed.     

Decision Processes for Developing Strategic Applications of Information Systems: A Contingency Approach*

Strategic applications of information systems (IS) are considered by IS researchers to be determined by contextual factors such as environmental uncertainty, and influenced by attributes of the processes preceding them, such as planning and top management support. For better management of the process leading to these applications, it is essential to understand the relationship between process attributes and contextual factors. Utilizing a contingency approach, this article takes a step toward such an understanding. Based on successful strategic IS applications from 81 large companies, it examines the relationship between the context of these applications and the decision-making process leading to them. The results indicate that the external environment is related to whether a rational or political decision-making process is used. The IS function seems to influence the use of the decision process implied by IS researchers, one in which the top management champions the strategic application, while the IS managers contribute by conducting in-depth analysis. However, the organization structure was not related to any decision process attribute. The implications of these findings for future research and practice are also discussed.     

Decisions to Outsource Information Systems Functions: Testing a Strategy-Theoretic Discrepancy Model

In recent years, the decision to outsource information systems (IS) functions has become a viable strategic alternative in managing the increasingly complex IS functions. In this study, the IS outsourcing phenomenon is conceptualized as a strategic decision in the organization. Drawing on resource-based theories, resource dependence theories, and other theories of strategic management, a discrepancy model of this decision is developed. Relationships between a number of strategy-theoretic factors and the IS outsourcing decision are hypothesized. These factors include IS resource performance discrepancies manifested in the form of gaps in information quality, IS support quality, IS cost effectiveness and financial performance, as well as the strategic orientation of the firm. Results of the study indicate that, while cost consideration and the firm's financial performance are not associated with the IS outsourcing decision, difficulties in providing good information outputs and IS support services are associated with the decision. Overall, the findings suggest that the current trend toward outsourcing represents a continuing evolution of the IS function as it attempts to fulfill its traditional mission of providing high quality information resource to the firm. When the performance of the delivered resource begins to slip in the current environment of rising expectation and technological complexity, outsourcing may become a strategic response of necessity. The paper concludes with a discussion of the implications of the results for practicing managers and suggestions for future research.     

Modeling IS Planning Benefits Using ACE

This paper addresses the dearth of research on the determinants of IS planning benefits. Data were collected using a questionnaire survey of top IS executives from 450 companies in Singapore. Of the 103 responses (representing a response rate of 23%), 65 companies undertook IS planning. To test the hypothesis that the determinant-benefit relationships are likely to be nonlinear, the Alternating Conditional Expectations (ACE) algorithm was used. This appears to be the first use of ACE in IS planning research. IS sophistication, communications culture, technology forecasting, top management support, and firm size were found to be nonlinearly related to IS planning benefits (e.g., improved competitiveness, operations, and resource management). For example, IS sophistication affects improved competitiveness positively, and improved resource management negatively. It seems that IS sophistication is directed more at improving competitiveness, even though this may result in less efficient resource management due to bureaucratic procedures. However, at higher levels of IS sophistication, competitiveness stagnates and may even decrease, possibly due to bureaucratic bottlenecks. Implications of our results are discussed.     

The Relationship Between Information System Planning Sophistication and Information System Success: An Empirical Assessment*

Literature on information systems (IS) planning implicitly assumes that a sophisticated IS planning process leads to greater IS success. This paper questions the exclusive reliance on this traditional belief. Instead, because IS planning requires significant organizational resources, prior IS success is essential to convince top management of the importance of IS planning sophistication. Therefore, IS success may influence IS planning sophistication. Several theoretical arguments are advanced in support of this explanation. Data from a survey of 236 academic institutions are used to empirically assess the two alternative directions of the relationship between IS planning sophistication and IS success. Four structural models including the alternative causal directions are evaluated. Two of these models are supported. Together, they imply that for a high level of IS planning sophistication, either the previous ISs should have been successful or the organization should possess advanced information technology capabilities. Thus, empirical results suggest that the explanation presented here (i.e., IS success facilitates IS planning sophistication) provides an equally good alternative to the more traditional explanation (i.e., IS planning sophistication facilitates IS success).     

The influence of top management support for ICTs on organisational performance through knowledge acquisition,transfer, and utilisation

This research analyses, first, whether top management support for information and communications technologies has positive consequences for knowledge management by analysing the specific influence of top management support for ICTs on each of the knowledge management processes (knowledge acquisition, transfer, and utilisation). Second, it analyses the influence of each knowledge management process on organisational performance. The theoretical model is tested using data collected from March to May 2010 from 201 CEOs in Spanish technology organisations. The results indicate that the stage-based disaggregation of the knowledge management process into knowledge acquisition, transfer, and utilisation, and the three-stage management process are the mediating mechanisms in the relationship between top management support for ICTs and organisational performance. CEOs should thus support the information and communication technologies necessary to improve all of the interrelated stages of knowledge management as a mechanism for achieving better organisational performance. Various strategic actions should be stimulated within the organisation to intensify the interrelation between these stages of acquisition, transfer, and utilisation of knowledge.     

Antecedents and consequences of diversity and equality management systems: The importance of gender diversity in the TMT and lower to middle management

Strategic human resource management theory suggests that diversity and equality management (DEM) systems provide a firm with a competitive advantage, leading to superior performance. This study proposes and tests a moderated mediation model focusing on antecedents (i.e. top management team gender diversity) and consequences (i.e. performance) of DEM systems in the context of lower through middle management (LTMM) gender diversity. The model was tested in 248 medium-to large-sized organizations using time-lagged survey and archival data. The findings provide full support for the hypothesis that a gender-diverse top management team is positively associated with DEM systems. The results provide partial support for the following hypotheses: DEM systems are positively associated with performance and this relationship is moderated by LTMM gender diversity; and DEM systems mediate the relationship between TMT gender diversity and performance. We discuss theoretical, research and practical implications.     

The Role of Interorganizational and Organizational Factors on the Decision Mode for Adoption of Interorganizational Systems*

The dramatic growth of interorganizational systems (IOS) has changed the way organizations conduct their business, and has resulted in significant tangible and intangible benefits being realized by participating firms. However, the implementation of these IOS requires the cooperation and commitment of all the participating members. These members may have complex economic and business relationships among themselves that can result in a number of social, political, and economic factors influencing the adoption and implementation of IOS. This study examines the role of interorganizational and organizational factors on the decision mode for adoption of IOS, in the specific context of electronic data interchange (EDI). Four interorganizational factors, based on the socio-political framework derived from research in marketing, and five organizational factors based on research in IS were used in the study. The data for the study were collected through a large scale field survey. Two respondents, the sales/purchase manager and the IS manager, from 201 firms responded to the survey. The results of discriminant analysis of the data reveal that two interorganizational variables, competitive pressure and exercised power, and two organizational variables, internal need and top management support, are important variables to differentiate firms with proactive decision mode from firms with reactive decision mode. The study also evaluates the differences between proactive and reactive firms on three implementation outcomes. Proactive firms are found to have greater extent of adaptation, more external connectivity with trading partners, and better integration of EDI information in their internal IS applications.     

Resource constraints and information systems implementation in Singaporean small businesses

While the information systems (IS) literature has identified potential factors of IS implementation success, none has investigated the relative importance of these factors in the context of small businesses. Small businesses have very different characteristics from large businesses; notably, small businesses suffer from resource poverty. Without knowing the relative importance of key factors, small businesses may be expending their limited resources and energy on less important factors which have limited contribution to IS implementation success. This paper develops a resource-based model of IS implementation for small businesses based on Welsh and White's (Harv Bus Rev 59(4) (1981) 18–32) framework of resource constraints in small businesses and Attewell's (Organ Sci 3(1) (1992) 1–19) knowledge barrier theory. The model is then tested on a sample of 114 small businesses. The results show that small businesses with successful IS tend to have highly effective external experts, adequate IS investment, high users’ IS knowledge, high user involvement, and high CEO support. External expertise is the predominant key factor of IS implementation success in small businesses.     

A process-oriented perspective of IS success: Examining the impact of IS on operational cost

Effective measurement of information system (IS) success continues to be a top concern for both practitioners and researchers. Labeled the “productivity paradox”, previous attempts to quantify the benefits of IS have often resulted in inconclusive or inconsistent results. The present study contributes to IS success research through the development and empirical testing of a process-oriented model of IS success. Using an operational perspective and combining primary and secondary measures, this study examines the influence of lower-level intangible IS and information technology (IT) benefits on higher-level financial measures. Additionally, we introduce IS plan quality as an antecedent to the model's input variables. Primary survey data from CIOs of primarily Fortune 2000 size firms are combined with secondary data, total operational cost, from Compustat to facilitate the examination of the IS benefits. This study also addresses shortcomings cited in other studies that might have contributed to the productivity paradox by including control variables in the model, defining a research perspective—the operational success perspective—and clearly articulating the level of analysis as the organizational level. The results supported a process-oriented view of the benefits from IS and showed how the effects of IS along a path can lead to better organizational performance, in this case, lower overall costs. These results are discussed and future research implications are presented.     

Capability,Quality, and Performance of Offshore IS Vendors: A Theoretical Framework and Empirical Investigation

Information systems (IS) offshoring has become a widespread practice and a strategic sourcing choice for many firms. While much has been written by researchers about the factors that lead to successful offshoring arrangements from the client's viewpoint, the vendor's perspective has been largely scarce. The vendor perspective is equally important as offshore IS vendors need to make important decisions in terms of delivering operational and strategic performance and aligning their resources and processes in order to meet or exceed targeted outcomes. In this article, we propose and test a three‐level capability–quality–performance (CQP) theoretical framework to understand vendor outcomes and their antecedents. The first level of the framework represents three vendor capabilities: relationship management, contract management, and information technology management. The second level has three mediating variables representing process quality: partnership, service, and deliverable quality. The third level has three dependent variables representing vendor outcomes: operational performance, strategic performance, and satisfaction. The model was tested with 188 vendor firms from India and China, the two most popular destinations for IS offshoring. Results support the CQP framework; vendor capabilities are significant predictors of intermediate quality measures, which in turn affect vendor outcomes. Implications of the study findings to both theory development and IS offshore vendor strategic decision making are discussed.     

Swiftness and Intensity of Administrative Innovation Adoption: An Empirical Study of TQM in Information Systems

Considerable attention has been directed toward developing a more complete understanding of innovation adoption by Information Systems (IS) departments. Much of this research has focused on the adoption of technological innovations, and limited research has focused on the adoption of administrative innovations. This paper focuses on an administrative innovation that is increasingly becoming popular among IS departments, namely Total Quality Management (TQM) in systems development. A synthesis of the IS innovation and TQM literatures was conducted to identify environmental, organizational, and task‐related factors that should relate to both the swiftness and the intensity of TQM adoption. The relationships between the identified variables and TQM adoption were examined using data collected from 123 IS departments in Fortune 1000 firms and large government agencies in the U.S. The results indicate that TQM adoption in systems development is influenced by the host organization's quality orientation and factors internal to the IS department including IS management support for quality, the presence of a separate quality assurance function, and the structural complexity of the IS department. Implications of this study for theory, future research, and practice are discussed.     

Planning Implications of the Information Systems Strategic Grid: An Empirical Investigation

In recent years, information systems (IS) planning has come to represent a key IS management tool to practitioners and researchers. Concurrently, there has been increasing recognition by organizations that their IS can be viewed as a strategic resource. This research is an attempt to explore the relationship between these two aspects of IS. It analyzes, in an empirical setting, the contingent nature of some IS planning-related variables in the context of the strategic relevance of an organization's IS. The basis for the empirical test is the IS strategic grid framework developed by Cash, McFarlan, McKenney, and Vitale [6]. A questionnaire survey method is employed to elicit information on the strategic orientation of IS and IS planning issues within respondent organizations. The difference in emphasis on various planning aspects in organizations with different IS environments is analyzed. Results of the analysis indicate that there is empirical support for the strategic grid framework and that there are differences in planning aspects among organizations, depending on their location in the grid. The implications of these findings for IS and IS planning are then discussed.     

Technological distinctive competencies and organizational learning: Effects on organizational innovation to improve firm performance

This paper analyzes how top management support of technology influences the generation of technological skills, technological distinctive competencies and organizational learning. The research also examines the effects of technological distinctive competencies and organizational learning on organizational innovation and reflects how all of these variables impact organizational performance. The results of our empirical analysis, based on a sample of 201 Spanish technological firms, suggest that: (1) top management support positively influences the generation of technological skills, technological distinctive competencies and organizational learning; (2) technological distinctive competencies and organizational learning positively affect organizational performance, directly and indirectly through organizational innovation.     

信息技术资源和信息技术能力的互补性及其绩效影响

信息技术资源和信息技术能力之间的关系是明确信息技术价值实现机理的基础。本文基于资源基础理论、竞争战略理论和核心能力理论,构建了信息技术资源、信息技术能力、信息系统支持企业竞争战略、信息系统支持企业核心能力和企业绩效之间关系的理论模型,研究信息技术资源和信息技术能力在信息技术价值实现过程中的互补性以及其对企业绩效的影响机理。利用层次回归分析方法对296份中国企业的实际调查数据进行了数据分析和模型拟合。研究结果表明信息技术资源和信息技术能力在信息技术价值实现过程中具有互补性,而且两者之间的互补性通过信息系统支持企业竞争战略和信息系统支持企业核心能力等中介变量间接影响企业绩效。     

Task-Structure Relationship of Information Systems Development Subunit: A Congruence Perspective*

Several studies have examined the influence of organizational context (e.g., organization size, environment, strategy) on information systems (IS) performance/success. But very few studies have examined IS structure, and those studies have focused on a particular element of IS structure (e.g., decentralization). Thus, the multidimensional structural configuration of IS as an organizational subunit has escaped research attention. Further, the nature of the task to be performed by the IS subunit as a contextual factor has been virtually ignored in the IS research literature. In this paper, we first develop a congruence model for the task-structure relationship in an information systems development (ISD) subunit setting. Then we test this model as a multivariate relationship followed by subordinate bivariate analyses. Analysis of data from 41 hospitals’ ISD subunits reveals that a congruence relationship between task context and the structure of an ISD subunit is present. Our findings also show that an exclusive association exists between uncertainty in the task environment and the decision-making structure. Likewise, the association between equivocality of task content and the control structure of the ISD subunit is also exclusive. Implications of these findings for decision makers and researchers are discussed.     

Information systems,strategic flexibility and firm performance: An empirical investigation

This study investigated the bottom-line impacts of IS support for strategic flexibility. The performance effects of IS support for two key components of strategic flexibility (product flexibility and cross-functional coordination) and the moderating effects of unique, complementary knowledge and information were examined and tested with both survey and archival data. The results showed that IS support for product flexibility was positively related to sales growth and returns on sales. The study also found a stronger association between IS support for product flexibility and ROS, and a positive relationship between IS support for cross-functional coordination and sales growth, when IS were complemented by unique knowledge and information.     

信息化中高层支持的维度表现以及影响因素分析——一个本土案例研究

通过本土扎根研究对高层支持的维度组成以及影响因素进行探索性分析.提出一个基于本土管理实践的框架模型,目的在于进一步理解信息化变革中的高层行为并为变革提供一定程度的理论支持.研究结果发现,高层支持主要包括资源支持、变革支持等几个重要维度;环境压力、技术优势、管理压力是影响高层支持的重要原因.企业家精神作为调节变量会调节上述自变量与高层支持间的关系.