Investigating the impact of business‐process‐competent information systems (ISs) on business performance

2006 ◽  
Vol 16 (4) ◽  
pp. 421-434 ◽  
Author(s):  
Malamatenia‐Alma A. Pantazi ◽  
Nikolaos B. Georgopoulos
Author(s):  
Ahmad Fayez Albadri

Organizations are increasingly dependent on information systems, and they invest dearly on systems to integrate disparate business functions, automate business processes, and support operations in order to sustain business and survive in a competition-intensive business environment. However, such systems have in many occasions failed fully or partially. The lack of “fit-to purpose” seems to be the common factor among most of the failed cases. This suggests that such systems are not selected, implemented, configured, or supported based on a proper analysis and understanding of the organization structure and hierarchy, business functions, business processes, and business environment. Evidently, the majority of organizations tend to emphasize system specifications that match their operational and tactical requirements, with little attention given to strategic requirements, culminating in issues with strategic planning and decision making. This chapter uses a survey and simple model based on the characteristics and competitiveness indicators of strategic information systems (SIS) to examine the impact of such systems on the business performance in 16 medium to large Arab organizations. The study concludes with an emphasis of the importance of SIS to help organizations achieve excellence and competitive advantage and realize business objectives and goals.


2005 ◽  
Vol 36 (4) ◽  
pp. 33-53 ◽  
Author(s):  
A. K. Garg ◽  
R. J.O. Joubert ◽  
R. Pellissier

The studies to establish the relationship between the external environment and business performance have not produced any conclusive results. Moreover, the field combining environmental uncertainty, information systems (IS) strategy and business performance has not been well explored. Considering the gap in current research, this study conceptualises an information systems environmental alignment model. The model analysed the extent of support provided by IS strategy in the assessment of environmental uncertainty and also examined the impact of IS environmental alignment on business performance. Based on empirical data collected by means of a questionnaire from 22 commercial banks in South Africa (covering more than 90% of the commercial banking sector) and using the Partial Least Squares (PLS) technique, the study validated the IS environmental alignment model and found that banks were using IS support to assess the external environment of business. The results suggest that it is not the IS support or investment in information technology (IT) that impacts on business performance, but rather the effective use of IS support in meeting the information needs of the organisation. The study also found that profitability still remains the key measure of business performance in the banking sector in South Africa. These findings have major implications for IT investment by banks, and for the implementation of IS strategy and general investment in the banking sector. IS environmental alignment is becoming extremely important for business because of the substantial investment in IT and the uncertainty of the business environment.


2014 ◽  
Vol 20 (6) ◽  
pp. 816-843 ◽  
Author(s):  
Youseef Alotaibi ◽  
Fei Liu

Purpose – The purpose of this paper is to investigate the impact of dividing the companies’ customers into different priority groups to be served according to their payment history and feedback on the business performance areas: service quality (SQ), business process time (BPT), business process cost (BPC) and customer satisfaction (CS). Design/methodology/approach – A new numerical model to improve CS service waiting time according to their priority queue class, particularly customers in the high priority queue class will be proposed. To validate the proposed numerical model, a call centre at the selected telecommunication company is used as a case study. An empirical analysis based on data from 130 business and IT managers is used to evaluate and investigate if it has an impact on business process (BP) performance. Bivariate correlation analysis was used to test four hypotheses. The results were subjected to reliability and validity analyses. Findings – The results show that managing customer power is positively associated with BP performance. Furthermore, the results indicate that by using the proposed numerical model, the customers’ satisfaction can be improved. Research limitations/implications – The paper has some limitations as it is only tested on one real business organizations and one BP service. Furthermore, the study was conducted only in telecommunication companies. The questionnaires were answered only by IT and business managers in Saudi Arabian telecommunication companies. Therefore, the results cannot be used as a standard and might not be directly transferrable to any sized firm and any other country. Moreover, the results may be affected by common method variance as the authors collected the data from participants by using the same survey and at the same time. Social implications – The results of this research provide important evidence for business managers and business analysts that managing customers power can enhance the business performance. Originality/value – To date, there is only a few researches have been conducted in the area of separating customers into different priority groups to provide services according to their required delivery time, payment history and feedback. However, most of them have not been evaluated in the business environment. Moreover, no previous study has attempted to empirically demonstrate the relationship between creating a BP model which can manage customer power, SQ, BPT, BPC and CS.


2021 ◽  
Author(s):  
◽  
Valerie Anne Hooper

<p>The purpose of this research was to determine the impact of the strategic alignment between information systems (IS) and marketing on business performance. The work of Chan (1992) was used as a point of departure. She had explored the fit between IS and business strategies and had used strategic orientation as a basis for determining the fit (alignment). Although the marketing literature did not reveal any measure for alignment, measures existed for market orientation. This appeared to be the approximate marketing equivalent of strategic orientation. Given the strategic nature of market orientation, it was decided to use it in addition to strategic orientation in order to calculate alignment. It was also decided to use marketing performance as an intermediary dependent variable. A conceptual model was devised which could be applied to the assessment of alignment according to either strategic orientation or market orientation. It consisted of three constructs: alignment, marketing performance and business performance. Implicit in this model was the calculation of alignment based either on strategic orientation or on market orientation. Two versions of the model would thus be tested. A mixed methods approach was adopted for the research. First, a qualitative phase of interviews with 36 respondents (the heads of information technology (IT)/IS and the heads of marketing of 18 companies) was conducted. The purpose was to obtain a deeper understanding of perceptions of alignment between IS and marketing, and to ascertain the different measures used for marketing performance and business performance. The findings served to refine the conceptual model and inform the second phase survey. The second phase was quantitative and consisted of a mail survey of heads of IT and heads of marketing of large New Zealand companies. In total 415 responses were received, 350 of them being pairs from 175 companies.  Pairs of responses were a requirement for the calculation of alignment. A new formula was developed for the calculation. This was used to calculate alignment according to both strategic orientation and market orientation. The data collected in the second phase were used to test the model, using both factor analysis and structural equation modelling. Statistically significant evidence was provided that indicated that the alignment between IS and marketing exerts a positive impact on both business performance and marketing performance, and that marketing performance exerts a positive impact on business performance. This is so, irrespective of whether alignment is calculated according to strategic orientation or market orientation. The value of the research lies in the development of a parsimonious model which measures the alignment between IS and marketing and the impact of that on business performance. It also lies in the development of a robust formula for the calculation of alignment. It further demonstrates the value of a cross-disciplinary approach which could have significant implications for both academic research and for practitioners. The potential impact on companies consists of the breaking down of the silo mentality; an emphasis on cross-functional teamwork, cross-functional training and job rotation; and an impact on organizational structure and culture.</p>


2021 ◽  
Author(s):  
◽  
Valerie Anne Hooper

<p>The purpose of this research was to determine the impact of the strategic alignment between information systems (IS) and marketing on business performance. The work of Chan (1992) was used as a point of departure. She had explored the fit between IS and business strategies and had used strategic orientation as a basis for determining the fit (alignment). Although the marketing literature did not reveal any measure for alignment, measures existed for market orientation. This appeared to be the approximate marketing equivalent of strategic orientation. Given the strategic nature of market orientation, it was decided to use it in addition to strategic orientation in order to calculate alignment. It was also decided to use marketing performance as an intermediary dependent variable. A conceptual model was devised which could be applied to the assessment of alignment according to either strategic orientation or market orientation. It consisted of three constructs: alignment, marketing performance and business performance. Implicit in this model was the calculation of alignment based either on strategic orientation or on market orientation. Two versions of the model would thus be tested. A mixed methods approach was adopted for the research. First, a qualitative phase of interviews with 36 respondents (the heads of information technology (IT)/IS and the heads of marketing of 18 companies) was conducted. The purpose was to obtain a deeper understanding of perceptions of alignment between IS and marketing, and to ascertain the different measures used for marketing performance and business performance. The findings served to refine the conceptual model and inform the second phase survey. The second phase was quantitative and consisted of a mail survey of heads of IT and heads of marketing of large New Zealand companies. In total 415 responses were received, 350 of them being pairs from 175 companies.  Pairs of responses were a requirement for the calculation of alignment. A new formula was developed for the calculation. This was used to calculate alignment according to both strategic orientation and market orientation. The data collected in the second phase were used to test the model, using both factor analysis and structural equation modelling. Statistically significant evidence was provided that indicated that the alignment between IS and marketing exerts a positive impact on both business performance and marketing performance, and that marketing performance exerts a positive impact on business performance. This is so, irrespective of whether alignment is calculated according to strategic orientation or market orientation. The value of the research lies in the development of a parsimonious model which measures the alignment between IS and marketing and the impact of that on business performance. It also lies in the development of a robust formula for the calculation of alignment. It further demonstrates the value of a cross-disciplinary approach which could have significant implications for both academic research and for practitioners. The potential impact on companies consists of the breaking down of the silo mentality; an emphasis on cross-functional teamwork, cross-functional training and job rotation; and an impact on organizational structure and culture.</p>


2012 ◽  
Vol 18 (1) ◽  
pp. 58-81 ◽  
Author(s):  
Samuel Fosso Wamba

PurposeDespite the high operational and strategic potentials of radio frequency identification (RFID) technology, very few studies have been conducted about its role as enabler of supply chain integration to achieve high‐level operational efficiency. The purpose of this paper, therefore, is to be an initial effort towards bridging the existing knowledge gap in the literature.Design/methodology/approachThis exploratory research was conducted in one retail supply chain. A multi‐method approach combining a longitudinal real‐life case study and a methodology integrating several steps, including a “living laboratory” strategy was used and involved all members of a product line to analyze their contributing activities and their interface with other supply chain members; the aim being to explore the impact of RFID technology on inter‐and intra‐organizational processes and information systems.FindingsThe results provide support to the role of RFID as enabler of better integration of timeliness and accuracy data flows into information systems, business process optimization through automation, better system‐to‐system communication and better inter‐and‐intra‐organizational business process integration. Furthermore, they also validate the unique characteristics of RFID technology such as enabler of real‐time multiple tags items data collection and exchange within the supply chain and the read‐and‐write capability that may help, for example, to reuse some RFID tags within the supply chain and therefore reduce the cost related to the purchase of the said RFID tags. Finally, the study also reveals the importance of business process renovation and complementary investments during the adoption of RFID technology, in order to achieve high level of business value from the technology.Originality/valueThe paper is original in the sense that it provides some empirical support for the enabling role of RFID technology in allowing supply chain integration.


Author(s):  
Bibit - Sudarsono ◽  
Umi - Faddillah

Printing service order information systems sometimes experience problems in completing running business processes including, frequent loss and inaccuracy in registering orders from customers, often also losing order data from customers, recording orders often experience errors, resulting inaccurate reporting of order data. A computerized ordering service information system will greatly help improve performance and accuracy in making reports on business processes running at a company. The existence of enterprise modeling of information systems ordering printing services with the TOGAF framework will be a method that greatly helps management make a decision that will synergize with the business process activities at the company. So that the objectives of the system can be achieved properly. The TOGAF framework can be a solution and will help to produce a system architecture design, a business process architecture, a technology architecture, a number of proposed business opportunity strategy proposals and an ongoing system change proposal.


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