Strategic IT management: how companies can benefit from an increasing IT influence

2019 ◽  
Vol 32 (2) ◽  
pp. 251-273 ◽  
Author(s):  
Christopher Reichstein

Purpose The purpose of this paper is to analyze the value of a strong decision-making information technology (IT) influence within organizations. Although research and managerial practice has repeatedly shown the importance of IT departments within firms and has commented on the influence of IT departments on business performance, prior research has still no evidence about the value of a strong decision-making IT influence yet. Design/methodology/approach To prove the influence of the IT department within the company, this study identifies and operationalizes a formative construct determined by four main specifics of the IT department: IT department size, IT department value assessment, IT experience of the top management and degree of digitization. A questionnaire was used to collect the data of 124 experts from companies that could be assigned mainly to the sectors manufacturing, trade as well as information and communication. The data were analyzed using exploratory and confirmatory factor analyses. Further, partial least squares structural equation model (PLS-SEM) was used to test the proposed model. Findings The results show that both investments in the size of the IT department as well as in top managers with IT experience, and a high degree of digitization in a company positively influence the role of the IT department. It also shows that a higher general appreciation of the IT department goes hand in hand with a higher influence of IT in the company. The measures are significant as companies, which do have an influential IT department, actually have higher monetary as well as non-monetary business performances. Practical implications The study is aimed equally at science and practice, as it provides information on the extent to which more importance should be attached to IT management in the future and what organizational adjustments need to be made. Originality/value Despite the ongoing discussions on the importance of IT management for business performance, no existing studies have delivered evidence that there is a significant direct link between the decision-making influence of IT and the extent of corporate performance. The present work therefore has two objectives. The theoretical goal is to clarify the impact of the IT department on business performance and to identify the factors that make up an influential IT department. The practical objective of the research is to provide recommendations on how firms could establish or expand the IT department.

2016 ◽  
Vol 46 (2) ◽  
pp. 154-174 ◽  
Author(s):  
Laila Marouf

Purpose The aim of this study is to investigate the role of knowledge sharing (KS) culture in leveraging knowledge management (KM) strategy and human resource (HR) strategy to improve business performance (BP). Design/methodology/approach A structured questionnaire survey was distributed to 120 randomly selected companies in Kuwait. A total of 392 valid responses were collected and tested using a structural equation model. Statistical analysis was conducted using SPSS and LISREL software to verify the research hypotheses. Findings The results revealed the impact of the mediating variable KS culture on the enhancement of BP. Both KM strategy and HR strategy were observed to have a positive direct effect on KS culture. Practical implications The results indicate that top management should make efforts to cultivate a KS culture to achieve better BP and future success. Originality/value The primary research contribution is the conceptual model for the role of KS culture as a mediator between KM strategy, HR strategy and BP.


2021 ◽  
Vol 11 (4) ◽  
pp. 108
Author(s):  
Albertina Paula Monteiro ◽  
Joana Vale ◽  
Amélia Silva

This paper empirically examines the impact of the quality of information and control system (the internal control system, the accounting information system, the financial information, and the non-financial information) on decision-making success and business performance. It follows a quantitative approach. An online questionnaire was developed and applied to the managers of Portuguese companies. The evaluation of the theoretical model was performed using the AMOS statistical software and applying the structural equation model technique. Based on 381 observations, the results show that the model variables explain about 30% and 70% of the variance of financial and non-financial performance, respectively. This study proves to be relevant not only for the development of the literature, as it evaluates an original and complex model, but also for managers, because it identifies the factors that contribute to the success of Portuguese companies.


2017 ◽  
Vol 4 (1) ◽  
pp. 44
Author(s):  
Dimas Khurniawan ◽  
Mohammad Dimyati ◽  
Deasy Wulandari

The purpose of this study acclaims the important of Auditory, Visual and Tactile in affecting consumer’s decision makingbehavior of buying, it is also to figure out it’s impact in Aqua. Thus, it is important to study “The Impact Of SensoryBranding’s Elements On Consumer’s Decision Making Behavior Of Buying Aqua With Neuromarketing Approach InJember”. The population in this study are Aqua’s consumers in Jember. Sampling is taken using purposive sampling methodfrom 100 respondents. Instrument analysis in this study is performed using Structural Equation Model (SEM) withconfirmatory approach. The result shows that: 1) auditory significantly affects consumer’s decision making behavior of buyingAqua in Jember, 2) visual significantly affects consumer’s decision making behavior of buying Aqua in Jember, and 3) tactilesignificantly affects consumer’s decision making behavior of buying Aqua in Jember.


2018 ◽  
Vol 30 (2) ◽  
pp. 1016-1034 ◽  
Author(s):  
Said Elbanna ◽  
Tamer H. Elsharnouby

Purpose The purpose of this study is to address a timely research question by clarifying whether formal planning is a worthy approach for hotels. In so doing, the authors developed a theoretical model that extends prior research by exploring how the formal planning process influences organizational capabilities and decision-making style. The model also examines the impact of the three identified factors on planning effectiveness. Design/methodology/approach Data were collected from 175 hotels located in United Arab Emirates (UAE) and Qatar and hypotheses were tested using structural equation modeling (SEM). Findings The study concludes that the practice of formal planning in the tourism sector does matter and both organizational capabilities and decision-making style are important factors in predicting planning effectiveness. Research limitations/implications Generalizations to organizations operating in other sectors, such as manufacturing or government sectors, should be drawn cautiously. Practical implications Taking into account oil price volatility and serious political crises in the region, this study provides several insights to hotel managers into how the formal planning process can influence planning effectiveness. Originality/value The findings enrich the debate on the role of formal planning in the tourism sector, which has been relatively devoid of similar studies.


2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Bekir Bora Dedeoğlu ◽  
Anil Bilgihan ◽  
Ben Haobin Ye ◽  
Yajun Wang ◽  
Fevzi Okumus

Purpose The purpose of this paper is to examine the impact of social media sharing on tourists’ willingness to pay more (WPM) at destinations. The moderating effects of tourists’ preferred route in decision-making or obtaining information (i.e. central or peripheral routes) were also examined. Design/methodology/approach A theoretical model was developed and tested using partial least squares structural equation modeling (PLS-SEM). Moderating effects of central and peripheral routes were tested using PLS multi-group analysis. Data were collected from 478 tourists in Antalya, Turkey, a sea, sun and sand tourist destination. Findings Findings indicate that importance attached to participant sharing (IPS) and importance attached to non-participant sharing (INPS) are significant antecedents of tourists’ WPM intentions. Moderating effects of tourists’ preferred route in decision-making reveal that the effect of IPS on WPM intention is more influential for those with high central route preferences than those with low central route preferences. While the effects of INPS and IPS on WPM intention is more determinative for those with higher peripheral route preferences. Practical implications Although it is known by the practitioners that consumer-generated contents are important, this research suggests and supports that these contents trigger tourists to pay higher prices. Originality/value How WPM is motivated by others’ social media sharing was not very clear in the literature. Therefore, this research gap was addressed in part by examining the social media sharing structure in terms of whether others posted on organization-related sites or on personal sites.


2020 ◽  
Vol 40 (7/8) ◽  
pp. 659-675
Author(s):  
Aluisius Hery Pratono ◽  
Denni Arli

PurposeThis article attempts to understand the impact of global consumer culture and ethnocentric consumerism on global citizenship by identifying the mediating effect of cultural intelligence.Design/methodology/approachThe proposed structural equation model explains the relationship between global consumer culture, ethnocentric consumerism, and global citizenship. The empirical analysis involves an online survey targeted young people in Indonesia context.FindingsThe empirical evidence broadly supports the view that cultural intelligence strengthens the impact of global consumer culture and ethnocentric consumerism on global citizenship. There is a strong tendency in this study to suggest that global consumerism will not be able to contribute to global citizenship unless cultural intelligence provides as a mediating variable. However, the results do not support the mainstream literature, which suggests that ethnocentric consumerism harms global citizenship.Originality/valueThis study extends the discussion on achieving sustainable development by examining global citizenship leads to a better understanding of consumer culture theory.


2019 ◽  
Vol 45 (12) ◽  
pp. 1526-1541 ◽  
Author(s):  
Harish Kumar Singla ◽  
Amit Hiray

Purpose The purpose of this paper is to find the effect of the hedonism value on the investment preference in India. Design/methodology/approach Based on the literature review, a measurement model is developed to measure hedonism. Further, the effect of hedonism on investment choices of an individual and the impact of age, gender and income level on investment choices and on hedonism are also measured through a structural equation model (SEM). Findings The study finds that the measurement model is reliable, and all five items, that is an exciting life, happiness, pleasure, social recognition and a comfortable life, are an appropriate measure of hedonism. The study finds that hedonists prefer to invest in stock market-related instruments and real estate. The study also ascertains that age and income affect the hedonism value negatively. The findings also indicate that women prefer to invest in fixed income instruments and men prefer to invest in stock market-related instruments. As people grow in age, they prefer to invest in fixed-income instruments and gold as a hedge, thus avoiding risky investments. Research limitations/implications The study does not include education and financial literacy of individuals in the model, rather controls these factors by selecting a sample where the minimum educational qualification of the respondent is graduation. Practical implications It is assumed that the values that drive an individual have the potential to influence his/her investment choices. Therefore, the study advises the firms offering investment services to their clients to ensure that apart from studying the demographic and risk profile of individuals, they also assess their value system. This can help them target their customers more precisely and serve them better. Originality/value The study is perhaps the first attempt to find the effect of personal values (specifically hedonism) on investment choices made by individuals, through the development of an SEM.


2017 ◽  
Vol 8 (1) ◽  
pp. 32-42 ◽  
Author(s):  
Javad Khazaei Pool ◽  
Reza Salehzadeh ◽  
Rashid Khalilakbar

Purpose Limitations of producing energy and the increasing demands in the electricity market in Iran have not only drawn the attention of authorities in the energy industry toward optimization of energy consumption, but also created marketing approaches toward these objectives. In this respect, it is important and even necessary to modify energy consumption behaviors. The purpose of this study is to examine the impact of the criteria of an effective Internet advertisement for modification of energy consumption. Design/methodology/approach To provide a detailed understanding of customers’ perceptions of energy consumption advertising, a survey study was conducted. The research model is first validated and the formulated hypotheses are tested using the structural equation model (SEM). Findings The results showed that the audience’s attention, interest and desire for a piece of advertisement can predict their consumption behavior. Originality/value This study is one of the pioneer studies that highlights the importance of advertising toward modification of energy consumption. It seems that, the identification of the causal relations among attention, interest, desire and action, has not yet been clearly validated in the previous literature. This research contributes to the literature by developing and testing a comprehensive research model using SEM. So, the current paper offers vital guidelines to social marketers who are planning to modify energy consumption.


2019 ◽  
Vol 32 (1) ◽  
pp. 1-22 ◽  
Author(s):  
Matthew Tingchi Liu ◽  
Yongdan Liu ◽  
Ziying Mo ◽  
Zhidong Zhao ◽  
Zhenghao Zhu

Purpose The purpose of this paper is to focus on how corporate social responsibility (CSR) (i.e. responsibility to customers, employees and society) influences customer behavioural loyalty in the hotel industry. The mediating effects of brand image and customer trust on the relationship between CSR and customer behavioural loyalty are also considered. Design/methodology/approach In total, 298 valid responses to questionnaire surveys were collected from a convenience sample in China in 2017. A structural equation model was used to test the hypotheses. Findings Hotel customer behavioural loyalty can be enhanced by CSR performance. Performance in each of the three CSR domains positively impacted customer behavioural loyalty to different degrees. The impact of CSR on the customer had the strongest influence on Chinese customers’ behavioural loyalty among the three CSR domains of customer, employee and society. Brand image and customer trust were found to be mediators of the relationship between CSR performance and customer behavioural loyalty. Originality/value The current research contributes to the literature by demonstrating that CSR activities are not all equally effective. Results reveal that the society dimension of CSR had the strongest impact on Chinese customers’ brand image of hotels among the three CSR dimensions investigated. In terms of Chinese hotel customers’ trust, the CSR–customer dimension plays the most effective role. The findings also support the notion that Chinese consumers are beginning to use CSR information to evaluate hotels.


2016 ◽  
Vol 15 (3) ◽  
pp. 118-122 ◽  
Author(s):  
Chris Pace

Purpose The purpose of this paper is to examine the impact that cyberattacks are having on organizations and the growing need these create for H.R. departments to collaborate more closely with IT departments. Design/methodology/approach Current thinking regarding managing cybersecurity suggests that it should be managed holistically, i.e. by the human resources (HR) department and information technology (IT) department working together more closely. This sees the IT department providing the IT security tools and the HR department providing the appropriate processes and procedures that need to be followed, as well as creating a necessarily more “vigilant” culture. Findings Several practical steps are outlined that will help HR departments protect themselves against a data breach. Originality/value Cyberthreats are amongst the top threats to UK business, according to the government. Managing cybersecurity has long been left almost solely to the technology experts. The continuing number of high-profile data breaches suggests that cybersecurity tools alone will not stop information leaking from companies. There is an important role for HR teams in encouraging and enforcing a more proactive, vigilant culture amongst the workforce and working more closely with IT to improve security practices.


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