Information systems,strategic flexibility and firm performance: An empirical investigation |
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| Institution: | 1. Faculty of Engineering Technology, University of Twente, P.O. Box 217, 7500 AE Enschede, The Netherlands;2. University of Glasgow, Gilbert Scott Building, Glasgow, G12 8QQ, United Kingdom;1. School of Economics and Management, Beijing Jiao Tong University, Beijing 100044, China;2. Department of Leadership, Organisations & Behaviour, Henley Business School, University of Reading, Whiteknights, Reading RG6 6UD, United Kingdom;3. Department of Strategy and International Business, Birmingham Business School, University of Birmingham, B15 2TT, United Kingdom;1. School of Industrial Engineering and Management, Oklahoma State University Stillwater, OK 74078, USA;2. Department of Industrial Engineering and Operations Research, University of California, Berkeley Berkeley, CA 94720, USA |
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| Abstract: | 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. |
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