scholarly journals Business Value Creation from IT Investments: towards a process theory of IT governance

Author(s):  
Peter Marshall ◽  
Judy McKay ◽  
Adi Prananto
Author(s):  
Isaías Scalabrin Bianchi ◽  
Rui Dinis Sousa ◽  
Ruben Pereira ◽  
Steven De Haes

IT governance calls for the definition and implementation of formal mechanisms at the highest level in the organization taking into account structures, processes and relational mechanisms for the creation of business value from IT investments. Several factors can influence IT Governance implementation success. Culture is one of these factors and the one this research will focus on. Seen as probably the most difficult factors to change since it is grounded on practices performed over time, it should receive special attention. This article aims to analyze how culture can influence IT Governance implementation of structure, process and relational mechanisms in the context of higher education. Ten case studies in universities from three different countries: Brazil, Portugal and Netherlands were carried out. The purpose is the identification of relevant differences in IT Governance implementation among organizations from the following cultures: uncertainty avoidance and individualism. This article concludes by presenting key contributions, limitations and future work.


2020 ◽  
Vol 31 (3) ◽  
pp. 313-343
Author(s):  
Aurora Garrido-Moreno ◽  
Víctor García-Morales ◽  
Stephen King ◽  
Nigel Lockett

PurposeAlthough Social Media use has become all-pervasive, previous research has failed to explain how to use Social Media tools strategically to create business value in today's increasingly digital landscapes. Adopting a dynamic capabilities perspective, this paper empirically examines the specific process through which Social Media use translates into better performance and the capabilities involved in this process.Design/methodology/approachA research model is proposed that includes both antecedents and consequences of Social Media use. Existing research was examined to derive the research hypotheses, which were tested using SEM methodology on a sample of 212 hotels.FindingsThe results show that Social Media use does not exert significant direct impact on organizational performance. Rather, the findings confirm the mediating role played by Social CRM and Customer Engagement capabilities in the value creation process.Practical implicationsThe results demonstrate how Social Media tools should be implemented and managed to generate business value in hotels. Implications yield interesting insights for hotel managersOriginality/valueThis study is a first attempt to analyze empirically the real impact of digital media technologies, particularly Social Media use, drawing on the dynamic capabilities perspective and focusing on service firms (hotels). Including the variable “Organizational Readiness” as a basic prerequisite to benefit from Social Media use enhances the study's novelty and contribution.


Author(s):  
Steven De Haes ◽  
Tim Huygh ◽  
Anant Joshi ◽  
Wim Van Grembergen

This paper empirically investigates how adoption of IT governance and management processes, as identified in the IT governance framework COBIT 5, relates to the level of IT-related goals achievement, which in turn associates to the level of enterprise goals achievement. Simultaneously, this research project provides an international benchmark on how organizations are currently adopting the governance and management processes as identified in COBIT 5. The findings suggest that organizations are best in adopting the “IT factory” related management processes and that implementation scores drop in management and governance processes when more business and board involvement is required. Additionally, there are significant differences in perceived implementation maturity of COBIT 5 processes between SMEs and larger organizations. Also, the data offers empirical evidence that the COBIT 5 processes have a positive association with enterprise value creation.


Author(s):  
Yuliana Lisanti

Investment Information Technology (IT) has always been a primary objective of the business which is expected to provide value to businesses through its role as a competitive advantage and the creation of innovation. However, it is ot easy to measure how much value is successfully created, or determine whether the IT strategy is aligned with business strategy, or find out if the IT organization has a strategy that focuses on creating business value. Innovation Value of Institute (IVI) introduces a new concept known as the IT Capability Maturity Framework (IT-CMF) which can help IT organizations to align the business vision with the IT vision so that IT strategy could focus on value creation . the IT-CMF implementation which begins with the assessment of the maturity of IT organization can provide an overall picture, so that organization can prioritize the development of appropriate IT investments to support the value creation for the overall business. 


Author(s):  
Eng K. Chew ◽  
Petter Gottschalk

In many organizations, information technology has become crucial in the support, sustainability, and growth of the business. This pervasive use of technology has created a critical dependency on IT that calls for a specific focus on IT governance. IT governance consists of the leadership and organizational structures and processes that ensure that the organization‘s IT sustains and extends the organization‘s strategy and objectives (Grembergen, Haes, & Guldentops, 2004). IT governance matters because it influences the benefits received from IT investments. Through a combination of practices (such as redesigning business processes and well-designed governance mechanisms) and appropriately matched IT investments, top-performing enterprises generate superior returns on their IT investments (Weill, 2004).


2014 ◽  
Vol 29 (2) ◽  
pp. 170-185 ◽  
Author(s):  
Heikki Lempinen ◽  
Risto Rajala

Organizational information technology (IT) needs are served through increasingly complex configurations of people, technologies, organizations, and shared information. Ideally, an organizational IT service is valuable for both the providers and users of systems and solutions. However, mutually beneficial outcomes may be difficult to achieve within the configurations through which IT services are delivered. We suggest that analyzing stakeholder interplay in IT service processes helps us to understand how information systems (IS) organizations can be leveraged to co-create business value. Through a qualitative empirical inquiry, we explore IT service realization in two case organizations. Through our analysis we find that value creation builds on orchestrated social action among the different stakeholder groups involved. Joint value creation in IT service processes hence calls for specific network leadership and resource integration capabilities from the IS organization. The paper enriches the current understanding of business value creation in IT services by infusing the service logic with traditional IT management perspectives. The findings highlight that the extent to which the IS organization can learn to facilitate the interaction between the essential actors in an ‘IT service system’ and leverage user-perceived value throughout the service process will ultimately determine its success or failure.


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