By Ferdinand Mahr
Info expertise (IT) has the capability to considerably improve company functionality. besides the fact that, no longer all enterprises own the complementary components that unencumber the entire worth of IT. Ferdinand Mahr develops an integrative theoretical version of IT enhances resembling organizational constitution, human source administration, and company procedure. extra, he analyzes specified datasets amassed via 1,500 cell interviews with managers. He examines how the association and administration required to allow it really is confident functionality results vary with appreciate to a firm's strategic orientation towards potency or innovation. He additionally indicates that using a selected mixture of it might outweigh the often harmful functionality results of hybrid concepts that blend potency- and innovation-orientation. This booklet exhibits that IT does certainly subject if accurately aligned with association and approach.
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Extra resources for Aligning Information Technology, Organization, and Strategy
2002). These findings have been explained by factors complementary to IT that differ from firm to firm, change slowly, and remain invisible in the investment statistics but appear in the stock market valuations of finns (Brynjolfsson and Hitt, 1998a). , 2004). Factors inside a firm's organization design and factors outside the organization design are two different types ofIT complements that have been examined in prior studies. , 2002; Hitt and Brynjolfsson, 1997). Additionally, an open organizational culture was found to enhance IT's performance impact (Powell and DentMicallef 1997).
It is of little practical relevance to know that IT investments may enhance firm perfonnance in conjunction with certain corporate strategies or crganizational environments if it remains unclear how IT must be aligned with other elements of organization design to deliver the functionality required by the strategy or the environment. 2 An overview of the empirical research on IT complements 25 separately analyzing intemal and external IT complements remain largely unsolved in the studies that incorporate both types of complements.
However, empirical research suggests that firms differ significantly in their ability to realize performance gains from IT (Brynjolfsson and Hitt, 1995; Loveman, 1994). , 2002). These findings have been explained by factors complementary to IT that differ from firm to firm, change slowly, and remain invisible in the investment statistics but appear in the stock market valuations of finns (Brynjolfsson and Hitt, 1998a). , 2004). Factors inside a firm's organization design and factors outside the organization design are two different types ofIT complements that have been examined in prior studies.