scholarly journals Assessing The Performance Impacts of Information Systems From The Resource-Based Perspective: An Empirical Test of The Indirect Effect of IS

1970 ◽  
Vol 24 (2) ◽  
pp. 141-164
Author(s):  
Michael Zhang

Research into the strategic impacts of information systems (IS) from the resource-based view of competitive advantage has increasingly embraced the indirecteffect of IS on firm performance; that is, IS interact with other complementaryorganizational resources in influencing firm performance. Using both survey andarchival data, this study set out to test the indirect effect of IS and determine thecomplementary organizational resources contributing to IS impacts on firm performance.The results provide additional evidence in support of the indirect performanceeffect of IS. Specifically, the study found that the performance impacts ofIS arose from their interactions with firm-specific knowledge, information, verticalintegration and related diversification that complemented IS.

Author(s):  
Gaurav Gupta ◽  
Kevin Tee Liang Tan ◽  
Yaw Seng Ee ◽  
Cynthia Su Chen Phang

The resource-based view (RBV), or resource-based theory, is one of the oldest and most influential theories in the field of information systems. This paper contends that it is timely to revisit, reflect on, and reposition RBV to ensure its continued disciplinary relevance and progress. In doing so, this paper (i) provides a succinct and sharp evaluation of the conventional RBV of information systems that firms use to establish sustainable competitive advantage, and (ii) makes an original contribution by introducing a contemporary RBV of information systems that firms can use to establish transient competitive advantage. Both these contributions should advance the current and future understanding of information systems as (a) an internal firm resource, (b) a source of competitive advantage, and (c) a driver of firm performance.


2018 ◽  
Vol 9 (3) ◽  
pp. 659 ◽  
Author(s):  
Mohamad Nur UTOMO ◽  
Sugeng WAHYUDI ◽  
Harjum MUHARAM ◽  
Jeudi Agustina T.P. SIANTURI

The paper is written as an empirical test on the indirect effect of Commissioner Board Monitoring on firm performance through environmental performance as mediation variable. Research sample is non-financial firms that participate into Performance Assessment Program (PROPER) and that also list at Indonesian Stock Exchange. Commissioner Board Monitoring consists of few attributes such as: Commissioner Board Size, Independent Commissioner Board, and Commissioner Board’s Frequency of Meeting. Environmental performance is measured with the use of PROPER by the Ministry of Life Environment and Forestry for Indonesian Republic. Firm performance is proxied with Return on Asset (ROA) and Tobin’s Q. Research gains some results. Commissioner Board Monitoring has a positive effect on both environmental performance and firm performance. Environmental performance has a positive effect on firm performance. Commissioner Board Size has an indirect effect on firm performance through environmental performance. All these findings support agency theory and stakeholder theory. Any firms attempting to maximize performance shall balance the interest of shareholder (firm owner) and stakeholder.


2018 ◽  
Vol 15 (05) ◽  
pp. 1850040 ◽  
Author(s):  
Anne W. Fuller

This paper looks at the vital role of industrial research and development (R&D). The increased outsourcing of industrial R&D is contrasted with a resource-based view of competitive advantage which maintains capabilities that are valuable, rare, imitable, and non-substitutable (VRIN), and should be internalized in the firm. Traditional business formation literature is also supportive of keeping R&D “inhouse”. R&D outsourcing research is leveraged to posit possible reasons for the increased amount of outsourced R&D. Testable propositions are included that look at factors for R&D outsource decisions and also the impact of these decisions on firm performance. An R&D entropy statistic is introduced as well as several R&D characteristics useful in the decision-making process to create R&D.


2016 ◽  
Vol 15 (03) ◽  
pp. 1650027 ◽  
Author(s):  
Yolande E. Chan ◽  
James S. Denford ◽  
Joyce Y. Jin

In this study, we investigated strategies that small and medium-sized enterprises (SMEs) in Canada employ to create, transfer, and apply knowledge, and we evaluated the importance of supporting dynamic knowledge capabilities and information systems. To examine the empirical support for a model based on the resource-based view of the firm, we conducted a survey of SMEs operating in knowledge-intensive industries. We tested relationships among knowledge strategy, information systems strategy, dynamic knowledge capabilities, and firm performance. SME performance was measured by their physical and financial capital, as well as four intangible types of capital: structural, human, innovation, and relational. We observed that dynamic knowledge capabilities only partially mediate the link between knowledge strategy and performance in SMEs. However, dynamic knowledge capabilities fully mediate the link between information systems (IS) strategy and performance in the small and medium-sized firms studied. We observed that information systems only indirectly influence firm performance, but they directly support the knowledge and innovation capital of SMEs. Further, our results indicated that, in SMEs, knowledge strategies directly influence IS strategies, and that alignment between knowledge strategies and IS strategies positively impacts dynamic knowledge capabilities, and hence firm performance.


2019 ◽  
Vol 5 (1) ◽  
pp. 105-114
Author(s):  
Peter Nderitu Githaiga ◽  
Joyce Kiomosop Komen ◽  
Josephat Cheboi Yegon

Globalization, changing customer expectation and shrinking product life-cycle depict process capital as a source of competitive advantage in modern economies. Consequently, organizations are gradually becoming more process oriented to cope with a dynamic environment. However, the process capital and performance causality is scanty in extant literature. Besides, previous studies overlooked the process aspect of process capital. Thus, the objective of this study was to determine whether the “process” of process capital matters to firm performance. The hypothesis was tested using panel data for the years 2008-2017 extracted from 31 commercial banks in Kenya. The findings showed that process capital had a positive and significant effect on performance (β = 0.275, ρ-value 0.000<0.05). Consistent with the resource based view theory; the study concluded that the process of process capital influences firm performance.


2001 ◽  
Vol 27 (6) ◽  
pp. 643-650 ◽  
Author(s):  
Jay B. Barney

The resource-based view can be positioned relative to at least three theoretical traditions: SCP-based theories of industry determinants of firm performance, neo-classical microeconomics, and evolutionary economics. In the 1991 article, only the first of these ways of positioning the resourcebased view is explored. This article briefly discusses some of the implications of positioning the resource-based view relative to these other two literatures; it also discusses some of the empirical implications of each of these different resource-based theories.


2017 ◽  
Vol 1 (3) ◽  
pp. 4-12
Author(s):  
Mohd Hadzrami Harun Rasit ◽  
Mohammad Azhar Ibrahim

Accounting information systems (AIS) is essential to process business data into useful information. Indeed, empirical evidence suggested that the use of AIS has a positive impact on firm performance. Previous studies were concentrating on small and medium-sized enterprises (SMEs) and public listed companies leaving a gap in the co-operative literature. Furthermore, the users of different types of AIS software that contribute towards improving the firm performance were not adequately explored. As such, this paper draws on the resource-based view (RBV) to examine the gap issue. Using mail questionnaire survey, data were collected from 120 co-operatives. Findings from this study suggest that commercial and developed-in-house AIS software are mostly used by co-operatives. Also, the findings suggest that co-operatives performance is not associated with the types of AIS software used by the co-operatives. This study provides valuable insights into the implementation of AIS among Malaysian co-operatives, which has received little attention thus far from academic, governmental and professional bodies.


Author(s):  
Clyde W. Holsapple ◽  
Jiming Wu

The resource-based view of the firm attributes superior firm performance to organizational resources that are valuable, rare, non-substitutable, and difficult to imitate. Aligned with this view, the authors contend that both information technology (IT) and knowledge management (KM) comprise critical organizational resources that contribute to superior firm performance. The authors also examine the relationship between IT and KM, and develop a new second-order variable – IT-KM competence – with IT capability and KM performance as its formative indicators. Thus, this chapter contributes not only by investigating the determinants of firm performance but also by broadening our understanding of the relationships among IT, KM, and firm performance.


2015 ◽  
Vol 27 (4) ◽  
pp. 43-60
Author(s):  
Stefan Tams ◽  
Kevin Hill

Over the last three decades, much IS research has focused on information systems development (ISD) risk and its impacts on ISD success. While these studies have greatly advanced the understanding of the nomological network of ISD risk and success, the literature is still not sufficiently clear on the firm performance impacts of these concepts. Linking ISD risk and success to firm performance is important so as to better understand whether ISD projects can have broader firm-level implications, for example, in terms of providing firms with a competitive advantage. To address this research need, the present research note advances propositions regarding the linkage between ISD risk, success, and firm-level performance (conceptualized as competitive advantage). This linkage sheds light on the broader effects of ISD risk, and it helps ISD research overcome the isolation in which it is often conducted. Using the concept of residual risk (i.e., the risk present in the later stages of a project that remains after appropriate actions have been taken to mitigate initial risks in the early stages of a project), the authors propose that ISD risk impacts firm performance by reducing ISD success and that the value arising from ISD projects is higher when IT and business plans are synchronized (i.e., when they are in alignment).


2016 ◽  
Vol 11 (6) ◽  
pp. 87 ◽  
Author(s):  
Nur Fadiah Mohd Zawawi ◽  
Sazali Abd Wahab ◽  
Abdullah Al-Mamun ◽  
Abu Sofian Yaacob ◽  
Naresh Kumar AL Samy ◽  
...  

<p>The primary objective of this paper is to contribute to the existing literatures by comprehensively reviewing the definitions, concept, as well as the importance of innovative and innovativeness in the business world. This review covers various definitions of innovation and innovativeness, multi dimensions of innovation and how this innovation acts to generate a good firm performance and competitive advantage, relying strongly on the famous Resource-Based View theory. Since the term ‘innovation’ itself is quite difficult to interpret, observe or evaluate, as argued by many scholars, this review attempts to provide discussion and enhance understanding on these concepts especially in the firm’s context. This review could shed some dynamic ideas for future researchers to further identify, conceptualize and understand the underlying theories and perspectives which strongly influence the previous, current and future concept of innovation.</p>


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