The Emergence of Artificial Intelligence as a Reference Discipline for Decision Support Systems Research

It is timely and appropriate to examine both philosophical and pragmatical issues associated with formalizing the adoption of artificial intelligence as a reference discipline for decision support systems research. This paper reflects on where we were when the first special issue of Decision Sciences on expert systems and decision support systems was published, addresses the dynamics of what has taken place subsequent to the publication of that first special issue, sets forth a proposition to stimulate ongoing dialog with respect to synergies between the decision support system research agenda and the research agenda of the artificial intelligence discipline, and demonstrates how the papers appearing in this follow-up special issue of Decision Sciences are representative of an emerging, challenging, and exciting new decision support systems era.     

The Alignment between Organizational Critical Success Factors and Information Technology Capability in Academic Institutions*

Alignment between organizational critical success factors (CSFs) and competencies is widely believed to improve performance. This study examines the performance implications of alignment between CSFs and one source of competence, the organization's information technology (IT) capability. The effects of three antecedent factors–environmental uncertainty, integration, and IT management sophistication–are also examined. This paper uses survey data from 244 large academic institutions, along with some secondary data. Following the profile deviation approach to measure alignment, the academic institutions are divided into three clusters based on their CSFs: the academic comprehensives, the reputed giants, and the small educators. The ideal profile of IT capability is next developed for each cluster in terms of four dimensions: information retrieval, electronic communication, computing facilities for students, and computer-aided education. Alignment is then computed for each institution as the proximity of its IT capability profile from the ideal IT capability profile for the cluster to which it belongs. The results suggest that alignment facilitates both perceived IT success and organizational performance. Moreover, sophisticated IT management facilitates both alignment and perceived IT success, environmental uncertainty facilitates perceived IT success but not alignment, and integration facilitates neither alignment nor perceived IT success.     

Heuristic Optimization of Physical Data Bases: Using a Generic and Abstract Design Model*

Designing efficient physical data bases is a complex activity, involving the consideration of a large number of factors. Mathematical programming-based optimization models for physical design make many simplifying assumptions; thus, their applicability is limited. In this article, we show that heuristic algorithms can be successfully used in the development of very good, physical data base designs. Two heuristic optimization algorithms are proposed in the context of a generic and abstract model for physical design. One algorithm is based on generic principles of heuristic optimization. The other is based on capturing and using problem-specific information in the heuristics. The goodness of the algorithms is demonstrated over a wide range of problems and factor values.     

Modeling Supply Chain Dynamics: A Multiagent Approach*

A global economy and increase in customer expectations in terms of cost and services have put a premium on effective supply chain reengineering. It is essential to perform risk-benefit analysis of reengineering alternatives before making a final decision. Simulation provides an effective pragmatic approach to detailed analysis and evaluation of supply chain design and management alternatives. However, the utility of this methodology is hampered by the time and effort required to develop models with sufficient fidelity to the actual supply chain of interest. In this paper, we describe a supply chain modeling framework designed to overcome this difficulty. Using our approach, supply chain models are composed from software components that represent types of supply chain agents (e.g., retailers, manufacturers, transporters), their constituent control elements (e.g., inventory policy), and their interaction protocols (e.g., message types). The underlying library of supply chain modeling components has been derived from analysis of several different supply chains. It provides a reusable base of domain-specific primitives that enables rapid development of customized decision support tools.     

Developing Measures for Assessing the Organizational Impact of Information Technology: A Comment on Mahmood and Soon's Paper

In a recent study, Mahmood and Soon [26] identified and operationalized a set of variables that can be potentially impacted by information technology. The lack of factor analysis to verify the dimensionality of different variables is a notable omission in the study. This paper describes and employs the limited-information factor analysis approach and the minimum average partial criterion for testing the unidimensionality of different variables in the Mahmood and Soon study. While reconfirming the construct validity of eight variables, our results question the unidimensionality of two original variables. Further testimony is provided in favor of our results by citing previous research studies.     

An Empirical Study of the Effect of Knowledge Management Processes at Individual,Group, and Organizational Levels*

To enhance our understanding of knowledge management, this paper focuses on a specific question: How do knowledge management processes influence perceived knowledge management effectiveness? Prior literature is used to develop the research model, including hypotheses about the effects of four knowledge management processes (internalization, externalization, socialization, and combination) on perceived individual‐level, group‐level, and organizational‐level knowledge management effectiveness. The study was conducted at the John F. Kennedy Space Center of the National Aeronautics and Space Administration using a survey of 159 individuals and two rounds of personal interviews. Structural equation modeling was performed to test measurement and structural models using the survey data. The emergent model suggests that internalization and externalization impact perceived effectiveness of individual‐level knowledge management. Socialization and combination influence perceived effectiveness of knowledge management at group and organizational levels, respectively. The results also support the expected upward impact in perceived effectiveness of knowledge management, from individual to group level, as well as from group level to organizational level. The study's limitations and implications for practice and future research are described.     

An Instrument for Assessing the Organizational Benefits of IS Projects

This paper reports the development of an instrument to measure the organizational benefits of IS projects. The basis for this instrument was a published framework that suggests three categories of such benefits: strategic, informational, and transactional. In a cross-sectional study of 178 IS projects proposed and approved for development, this framework was operationalized and empirically tested using the measurement model of LISREL. The analysis culminated in the validation and refinement of the these categories. The final instrument offers items under three separate subdimensions of strategic benefits: competitive advantage, alignment, and customer relations. Informational benefits are similarly comprised of information access, information quality, and information flexibility. Finally, transactional benefits are also shown to be of three types: communications efficiency, systems development efficiency, and business efficiency. Implications of this multidimensional instrument for IS practitioners and researchers are discussed.     

COMPUTER GRAPHICS AS DECISION AIDS: DIRECTIONS FOR RESEARCH*

Computer-generated graphics are becoming increasingly available to decision makers. Despite claims on the part of vendors that the use of graphics will improve decision speed and quality over traditional methods of data display, the available evidence is far from supportive. Initial studies show graphics to be no more effective in communicating information than tables. Correct interpretation of graphical displays appears to require training, which most users lack. Furthermore, there is evidence that those features that make a graph visually attractive—such as color, design complexity, and realism—may actually detract from accurate comprehension. This paper summarizes the literature dealing with the human use of graphics, develops several propositions based on persistent trends in the literature, and suggests directions for future research.     

A Comprehensive Model for Measuring the Potential Impact of Information Technology on Organizational Strategic Variables*

The existing literature on the impact of information technology (IT) does not include rigorous theory building or empirical studies. This research seems to be the first comprehensive investigation towards the development of an empirically validated comprehensive model for understanding the potential impact of IT on organizational strategic variables. More specifically, organizational and industrial variables that appeared to be affected by IT are identified, measured, and operationalized in the form of a comprehensive model. This study is based on structured interviews with a carefully selected sample of 31 strategic managers who had experience using IT for strategic decisions. In addition, the variables included in the model are well grounded in the information systems literature. The variables are then empirically validated and their reliabilities critically tested. A comprehensive model is derived from these validated variables. The model is a first step towards measuring the overall potential impact of IT on an organization. The model can also be used to gauge IT's potential impact on individual strategic variables. A set of hypotheses is also presented for future research. The hypotheses primarily relate to the impact of IT on organizational strategic performance. The model provides an empirically validated foundation for testing of such hypotheses.     

Partitioning Work Centers for Group Technology: Insights from an Analytical Model*

This paper develops analytical approximations based on an M/M/c queuing model, for the operating characteristics of job shop work centers. The model is used to analyze the effects of partitioning a work center and introducing setup reduction into the cell components. The results using this model are shown to be consistent with the results of prior simulation-based studies of group technology under certain parameter ranges. A simulation experiment was conducted to verify the effects with multi-item, non-Markovian assumptions, and the general effects predicted by the model were found to apply.     

Tandem Configuration Automated Guided Vehicle Systems: A Comparative Study*

Automated guided vehicle (AGV) systems provide the flexibility and integration required for flexible manufacturing systems. Previous AGV system studies have attempted to reduce the controlling complexities commonly encountered in these systems. However, this has not been accomplished without additional resources (e.g., automated guided vehicles) and lower system flexibility. The primary objective of this study is to compare the performance of AGV system configurations that reduce controlling and modification complexities (i.e., tandem configurations) to traditional AGV system configuration. Three AGV system configurations were tested under 16 experimental conditions. Performance metrics considered were AGV utilization, mean flowtime, mean tardiness, and percent tardy. The results of this study extend the findings of the previous studies in demonstrating the viability of tandem configurations, in that the tandem configurations match the performance of traditional configuration across all performance metrics, without sacrificing ease of control and system flexibility. Finally, the cost tradeoffs inherent in selecting a particular configuration are discussed.     

The Significance of Information Systems Research on Emerging Technologies: Seven Information Technologies that Promise to Improve Managerial Effectiveness*

Emerging information technologies are those excitingly novel advances that decision makers are just beginning to notice. These emerging products or processes may have been invented some time ago, but are only now beginning to reveal practical applications. This paper examines this collection of seven studies exploring emerging technologies, classifying them so the context of their results can be related to other emerging technologies. Once the research is classified and the contribution and managerial significance of the research is identified, it becomes apparent that certain barriers exist, holding back the technology from wider use and appreciation. Common obstacles include resistance to, or difficulty with, using the technology; uncertainty concerning the value of the technology; and the complexities involved with implementation. This paper concludes with recommendations for future research aimed at breaking down the barriers in order to move from the technological emergence phase to the technological sublime phase in which decision makers and other end users understand the technology, realize and appreciate its value, and put the technology to its best use.     

Managing the International Strategic Sourcing Process as a Market-Driven Organizational Learning System*

This study examines the effects of market-driven organizational learning on a select set of strategic sourcing outcomes involving the sourcing function of a Fortune 500 multinational corporation. The focus is on the dyadic activities and relationships between the domestic and international strategic business units (SBUs) and the corporate buying center. The hypothesized relationships are tested on the overall sample and based on a two-by-two matrix framework defined by international versus domestic settings and frequent versus infrequent sourcing scenarios. Based on a sample of 179 domestic and 167 international SBUs, the results suggest that market-driven organizational learning in the strategic sourcing units influences customer satisfaction, relationship commitment, and cycle time of the sourcing process. However, while the set of learning orientations appears to be strategically robust across the four quadrant scenarios (moderator settings), the sourcing situations differ somewhat in the specific tactical learning orientations preferred.     

Toward an Understanding of the Behavioral Intention to Use an Information System

Organizational investment in information systems is often large and risky given the variety of information requirements placed on systems today. To make more informed decisions and to meet the challenge of developing systems that satisfy these demands, system developers need to achieve a better understanding of factors that ultimately lead to system usage. To enhance this understanding, we posit a holistic framework to examine several constructs suggested in the literature that lead to the behavioral intention to use an information system. Our framework includes situational involvement, intrinsic involvement, argument for change, perceived usefulness, ease of use, prior usage, and attitude constructs. We extend the Davis, Bagozzi, and Warshaw Technology Acceptance Model (TAM), which is founded on the Theory of Reasoned Action. A diverse sample from industry is used to test our model. Structural equation modeling is used to examine the entire pattern of intercorrelations among the constructs and to test related propositions. A hierarchical structure is used to compare the explanatory ability of TAM with our extension. Our model explains a large portion of the covariance among the constructs that lead to a user's behavioral intention to use an information system and compares favorably with TAM. The results indicate that (1) the direct effect of situational involvement on behavioral intention as well as attitude is significant in the negative direction, (2) attitude seems to play a mediating role, and (3) intrinsic involvement plays a significant role in shaping perceptions. Finally, we conclude that the user involvement construct needs to be separated into its psychological as well as its participative components for developers to understand its impact on the systems development process.     

Information Technology Acceptance by Individual Professionals: A Model Comparison Approach*

The proliferation of innovative and exciting information technology applications that target individual “professionals” has made the examination or re‐examination of existing technology acceptance theories and models in a “professional” setting increasingly important. The current research represents a conceptual replication of several previous model comparison studies. The particular models under investigation are the Technology Acceptance Model (TAM), the Theory of Planned Behavior (TPB), and a decomposed TPB model, potentially adequate in the targeted healthcare professional setting. These models are empirically examined and compared, using the responses to a survey on telemedicine technology acceptance collected from more than 400 physicians practicing in public tertiary hospitals in Hong Kong. Results of the study highlight several plausible limitations of TAM and TPB in explaining or predicting technology acceptance by individual professionals. In addition, findings from the study also suggest that instruments that have been developed and repeatedly tested in previous studies involving end users and business managers in ordinary business settings may not be equally valid in a professional setting. Several implications for technology acceptance/adoption research and technology management practices are discussed.     

An Empirical Investigation into Factors Relating to the Adoption of Executive Information Systems: An Analysis of EIS for Collaboration and Decision Support*

This study focuses on the organizational adoption of Executive Information Systems (EIS). A distinction is made between two related, complementary EIS capabilities—EIS for collaboration support (EIS_c) and EIS for decision support (EIS_d). EIS_c is relatively standardized and replicable, while EIS_d has to be developed in situ given the specific characteristics of the user and task. The adoption process is conceptualized as an initial transition from a state of nonadoption to adoption (adoption status) and subsequent internal propagation of the technology (adoption level). Data collected from a national survey are used to test hypotheses between identified contextual variables and the adoption status and adoption level of EIS_c and EIS_d. Adopters and nonadopters of both EIS_c and EIS_d do not differ in their organization size, suggesting that the traditional paradigm of “EIS as a technology for large firms” is no longer true. Environmental uncertainty is found to promote the transition from a state of nonadoption to adoption of both EIS_c and EIS_d while continuing to catalyze the internal propagation of EIS_d. While no differences are observed in IS department size between adopters and nonadopters of EIS_c, our results suggest that larger IS departments provide the resource base to explore the less standardized of the two capabilities, EIS_d. IS support is also found to be critical for the subsequent internal propagation of EIS_d. Furthermore, the adoption level of both EIS_c and EIS_d are found to be promoted by top management support. Implications of these results are discussed for the organizational adoption of EIS.     

Modular Network Design: Using Information and Communication Technology to Allocate Production Tasks in a Virtual Organization*

The increased interest in customer service and the trend towards customization gives rise to new organizational forms such as the virtual organization. This paper introduces the Modular Network Design (MND) approach to complement Mowshowitz' (1997) theory of virtual organization. This theory focuses on metamanagement of the virtual organization and consists of four activities: (1) determine and analyze customer requirements, (2) track the possibilities for satisfying these requirements, (3) develop and allocate production tasks among the members of the virtual organization, and (4) assess and adjust tasks and allocation procedures. The MND approach elaborates on this theory by breaking down both the requirements and the production tasks into modular entities, and by measuring the performance of the resulting virtual network in terms of operating costs and throughput time. The major contribution of the MND approach lies in its ability to support the assessment of alternative allocations of production tasks among the members of a virtual organization, using Information and Communication Technology (ICT) as enabler. The assessment of such alternative designs is illustrated by an application of MND in the air cargo industry. The results show how the virtual organization and its members can realize significant improvements in operating costs and throughput times when applying ICT to link and reallocate their modular production tasks in response to customized orders.