How information technology capability influences organizational agility: empirical evidences from Indian banking industry

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sukanya Panda ◽  
Santanu Kumar Rath

Purpose The purpose of this paper is to highlight a precise investigation of the relationship between information technology (IT) capability and organizational agility along with the moderating impact of environmental factors on this association. Design/methodology/approach Pre-tested structured questionnaires were administered during a matched-pair field survey to collect primary responses from 300 business and IT personnel working in various public and privately owned banking groups functioning in India. The structural equation modeling approach has been used for data analysis. Findings The two-folded research findings are first, IT capability enables organizational agility (studied as business process and market responsive agility), while IT capability has more effect on market responsive agility. Second, the environmental factors (studied as environmental diversity and hostility) possess a significant effect on the IT-agility relationship and, thereby, suggest that a more diverse and less hostile environment is required for the firms to build up superior IT capability for realizing enhanced agility. Originality/value The authors have studied IT capability as a first-order factor, organizational agility and environmental factors as second-order factors and by meticulously examining their critical dimensions this study greatly contributes to the existing IT-agility literature. The derived inferences provide various implications for the bank and IT managers to emphasize on superior IT capability for generating enhanced organizational agility.

2017 ◽  
Vol 40 (7) ◽  
pp. 800-820 ◽  
Author(s):  
Sukanya Panda ◽  
Santanu Kumar Rath

Purpose The purpose of this study underpins investigation of the impact of human IT capabilities (comprising business functions, interpersonal management and technology management expertise) on organizational agility (in terms of sensing and responding agilities). The moderating influence of IT infrastructure spending on this human IT–agility linkage is also thoroughly investigated. Design/methodology/approach Primary data collected from 300 IT personnel working in various publicly owned banking groups functioning across India are used for this study and structural equation modeling (SEM) is used to assess the human IT–agility link. Findings The two-fold research findings highlight the following: first, human IT capabilities enable both the sensing and responding components of agility and second, firms need to focus on translating huge and impudent IT investments into building superior capabilities to effectively shape agility. Originality/value This study greatly contributes to the information system (IS) literature by examining human IT capability and agility in terms of second-order constructs and provides a more holistic and comprehensive understanding of this unique relationship. The study precisely investigates the manner in which distinct human IT capability dimensions interact with both types of agilities along with the moderating effect of IT spending on this linkage.


2018 ◽  
Vol 12 (4) ◽  
pp. 422-440 ◽  
Author(s):  
Sukanya Panda ◽  
Santanu Kumar Rath

Purpose This study aims to test a model in which the effect of strategic information technology (IT)-business alignment on organizational agility is examined by the moderating influence of environmental uncertainty. Design/methodology/approach This research utilizes a matched-pair survey data collected from 300 IT and business executives working in various privately owned Indian financial enterprises, and structural equation modeling is used to examine the alignment–agility linkage. Findings The analysis demonstrates the positive effect of alignment on agility (studied as business process and market responsive agilities), and alignment is more effective on business process agility than market responsive agility. However, the moderation analysis reveals that in a highly uncertain environment, alignment has more effect on market responsive agility but not on business process agility. Originality/value Although previous studies (mostly conducted in the context of developed countries) have reported about the positive IT-business alignment and organizational agility linkage, the literature is silent regarding the influence of external contingent factors on this relationship from a developing country perspective. The authors have conceptualized alignment on the basis of strategic alignment maturity model and meticulously examined its relationship with both categories of agility. This research extends the alignment-agility theory and provides empirical support for this unique association from a developing country (i.e. India) perspective, and thereby, greatly contributes to the alignment literature.


2018 ◽  
pp. 1-27 ◽  
Author(s):  
Sukanya Panda ◽  
Santanu Kumar Rath

AbstractThis study precisely investigates the relationship of information technology (IT) and knowledge management (KM) capabilities with organizational agility along with the moderating influence of external environmental actors on this linkage. A matched-pair field survey was conducted and pretested structured questionnaires were administered to accumulate primary responses from 300 business and IT personnel working in various Indian financial groups. The research findings encompass first, IT and KM capabilities are enablers of organizational agility, while KM capability is more effective on agility. Second, a more diverse and less hostile environment is required for IT and KM capabilities to have more positive influence on agility, yet the moderating effects of environmental factors are found to be more on IT–agility linkage than on KM–agility relationship. These inferences provide several implications for the business and IT executives to concentrate on leveraging both IT and KM capabilities for generating augmented organizational agility.


2019 ◽  
Vol 27 (2) ◽  
pp. 198-216 ◽  
Author(s):  
Juan Cepeda ◽  
José Arias-Pérez

Purpose Currently, it is commonly accepted that information technology capabilities (ITC) positively influence organizational agility. Nevertheless, studies have recently started to demonstrate that different organizational factors mediate this relation under the controvertible assumption that companies are capable of responding quickly to market changes using their IT in combination with other internal resources. Therefore, companies have given very little attention to collaborative work with external partners. The purpose of this study is to analyze the mediating effects of the acquisition and exploitation capabilities of open innovation on the information technology capabilities – organizational agility relationship. Design/methodology/approach Structural equation modeling was used to test the proposed model with survey data from a multinational corporation that operates in South American emerging economies in the pension and savings businesses. Findings This study found that only the open innovation capability of exploitation has a partial mediating effect. This means that this organizational ability serves as a bridge so that IT capabilities can have a positive incidence on organizational agility. Originality/value This paper adopts a more novel study focus that emphasizes the importance of collaborative work and of the use of external resources that are implicit in open innovation capability. On the other hand, this organizational ability implies external embeddedness, which is usually approached mainly from the network theory in the international business literature; however, this study offers a more interesting study focus in which externally oriented organizational abilities such as open innovation are more important for external embeddedness than are the size and quality of the external network.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Guofeng Ma ◽  
Shan Jiang ◽  
Jianyao Jia

PurposeA lack of reliable and effective communication tools poses major barriers impeding the performance of construction projects consisting of diverse participants. Although some construction project teams (CPTs) begin to apply social media (SM) as an available approach for project management the entire mechanism of SM adoption in this specific context remains understudied. Therefore, this study aims to adopt a CPT's lens to investigate the critical antecedents and associated effects underlying SM adoption in the construction industry.Design/methodology/approachBased on the technology–organization–environment (TOE) theory, a conceptual model was proposed and tested by empirical data collected from 159 CPTs in China. Structural equation modeling technique was employed for data analysis.FindingsThe results demonstrate that all the five extracted TOE-based antecedents including two technological factors (i.e. compatibility and expected cost), one organizational factor (i.e. top management support) and two environmental factors (i.e. project partner collaboration and project fit) are crucial to the adoption of SM in CPTs. Besides, SM acceptance is found to mediate the relationships between organizational and environmental factors and SM use. Moreover, SM use significantly predicts the communication effectiveness of CPTs.Research limitations/implicationsA questionnaire study based on cross-sectional data from China may only unveil the logic of SM adoption in the context of Chinese construction industry within a shorter time interval. It is recommended that future research could develop longitudinal studies among various construction practitioners in different countries to further specify and generalize the current findings.Originality/valueThis paper provides a comprehensive understanding of SM adoption in the construction industry by exploring the preadoption antecedents and postadoption effects from the perspective of project teams. The empirical findings advance the current web-based project management literature and afford new insights for construction practitioners into better managing SM application to reap its full capabilities in projects.


2019 ◽  
Vol 74 (4) ◽  
pp. 872-884 ◽  
Author(s):  
Mohammad Reza Jalilvand ◽  
Javad Khazaei Pool ◽  
Masood Khodadadi ◽  
Mehdi Sharifi

Purpose This study aims to provide a better understanding of how information technology (IT) competency and knowledge management (KM) contribute to service supply chain (SSC) (coordination, collaboration and efficiency) practices in the hospitality industry. Design/methodology/approach Drawing on tourism businesses, this study tests the structural relationships of IT competency, KM and SSC. Structural equation modeling is performed to test the hypotheses. A survey of 494 hotels in Iran provided empirical evidence for the existence of interrelationships between multiple constructs. Findings The analysis demonstrated that IT competency is significantly associated with KM. Furthermore, SSC practices are found to be directly impacted by KM and IT competency. Originality/value This study unpacks the mechanism that operates between IT competency, KM and SSC and contributes to the academic research on SSC in the context of the hospitality industry.


2016 ◽  
Vol 7 (1) ◽  
pp. 35-45 ◽  
Author(s):  
Lejla Turulja ◽  
Nijaz Bajgorić

AbstractBackground:Companies can improve their business performance, increase revenues and reduce costs by enhancing their information technology (IT) capability. On the other side, there is an increasing importance of human resource management (HRM) practices related to IT utilization, which are important for the business performance of a company in the rapidly changing knowledge-based economy.Objectives:The objective of this paper is to analyze the relations among IT capability, HRM capability and the firm’s performance outcomes.Methods/Approach:The paper uses survey data and Structural Equation Modeling to analyze the relationships among IT capability, HRM capability and firms’ performance.Results:This paper reveals that IT capability to some extent determines firms’ business performance but it plays more important role in enhancing HRM capability. In addition, HRM capability significantly impacts business performance.Conclusions:The findings indicate that managers should not focus on allocating resources only for IT investments. In order to achieve better business performances, these technologies need to be used to support all business processes including HRM activities.


2020 ◽  
Vol 11 (3) ◽  
pp. 495-509
Author(s):  
Nefike Gunden ◽  
Cristian Morosan ◽  
Agnes L. DeFranco

Purpose This study aims to develop and validate a conceptual model that explains consumers’ persuasion by the information available on online food delivery systems (OFDS). The study validated consumers’ price savings orientation as an antecedent of two types of browsing behaviors (utilitarian and hedonic). Browsing and social influences were examined as predictors of persuasion. Design/methodology/approach A literature review was conducted to determine constructs that constituted the best conceptual model for this study. To test the model, an online instrument was developed, and data were collected with the help of a global marketing panel company from 333 consumers who have used OFDS. Confirmatory factor analysis and structural equation modeling were used to test the hypotheses of the model. Findings The study found that consumers’ price savings orientation strongly influenced both types of browsing. However, while utilitarian browsing did not influence consumers’ persuasion, hedonic browsing and social influence were strong predictors of persuasion. Research limitations/implications Given the uniqueness of the study that stems from its task-technology context and the type of product being purchased, this study advances the literature in hospitality information technology, especially in the relatively neglected foodservice information technology area. The study also provides implications for both restaurants and OFDS as critical stakeholders in this important area. Originality/value To the best of the authors’ knowledge, this is the first study to examine consumers’ persuasion in a food-service online retail context. This study is also the first to examine both types of browsing as distinct constructs in hospitality and to explain their differential role in persuasion.


2015 ◽  
Vol 26 (1) ◽  
pp. 172-194 ◽  
Author(s):  
Hefu Liu ◽  
Qian Huang ◽  
Shaobo Wei ◽  
Liqiang Huang

Purpose – The purpose of this paper is to derive a model to examine how Information Technology (IT) capability affects internet-enabled supply and demand process integration, which will eventually improve firm performance. In addition, the moderating effects of industry type in the research framework are explored. Design/methodology/approach – Data were obtained from a survey administered to 261 firms in the manufacturing and services industry in China. The structural equation modeling approach is used to test the hypotheses. The study further applied the t-test to compare the path coefficiencies between manufacturing and service. Findings – Results from the survey indicate that internet-enabled supply and demand process integration is affected by IT capability, and can directly impact firm performance. The results further indicate that manufacturing and services firms may benefit from IT capability in different ways. Originality/value – The current paper contributes knowledge on the value-realizing mechanism of internet-enabled supply chain integration (SCI) from a resource-based view. It presents a multidimensional explanation of the relationships among IT capability, internet-enabled SCI, and firm performance.


2017 ◽  
Vol 12 (4) ◽  
pp. 690-711
Author(s):  
Seyed Mahmoud Zanjirchi ◽  
Negar Jalilian ◽  
Ali Mirhoseini

Purpose According to the definitions presented for agility drivers, it can be mentioned that supply chain risk factors in terms of feature have very close roles to agility drivers and both of these factors impact the uncertainty in the environment. However, the risk factors with a wider domain are more comprehensive. This study aims to examine the effectiveness of risk as a driver on the organizational agility. Design/methodology/approach To conduct the research, after identification of influential risk factors of supply chain and indicators of organizational agility, questionnaires needed for the research were designed and after confirming their validity and reliability were distributed among the member of the sample. To assess the relationship between supply chain risk and the amount of organizational agility, data obtained from the questionnaires were analyzed using structural equation modeling technique. Findings The results of data analysis showed that supply chain risk factors could be considered as a driver affecting the organizational agility. In addition, in this study, supply chain risk factors were ranked using interpretive structural modeling. The presented comprehensive model indicated that based on causal relationships between risk factors, sovereign risk as the basis for model (three levels) and product and customer satisfaction risks as the output of the model (Level 1) were considered. Originality/value This paper fulfills an identified need to study how the risk factors as drivers of supply chain agility can have effect on agility.


Sign in / Sign up

Export Citation Format

Share Document